G20 saves 21 mln jobs with economy policies in crisis: UN

G20 countries have saved or created 21 million jobs in 2009 and 2010 through policies to tackle the economic crisis, a U.N. agency said.

G20 saves 21 mln jobs with economy policies in crisis: UN

G20 countries have saved or created 21 million jobs in 2009 and 2010 through policies to tackle the economic crisis, a United Nations agency said on Monday.

A study by the International Labour Organisation (ILO) called on G20 governments not to activate exit strategies from their extraordinary stimulus measures prematurely.

But the study, prepared for a meeting of labour and employment ministers in Washington on April 20-21, acknowledges the need for fiscal consolidation.

"Growth remains fragile and private sector demand weak in many countries," the ILO said.

"Measures that support jobs and social protection should be maintained until employment growth gains significantly more momentum," it said in a statement on the study.

Slack conditions in the labour market that accumulated from the second half of 2008 remain high in the first quarter of 2010, despite the beginnings of economic recovery, it said.

Another development is rising informal employment and poverty in some developing and emerging economies, coupled with generally weak growth in real wages in countries at all income levels, it said.

The ILO study found that discretionary fiscal stimulus had created or saved 8 million jobs in G20 countries in 2009 and 6.7 million in 2010, while automatic stabilisers such as unemployment benefits and taxation may have saved or generated 6.2 million jobs across G20 countries in 2009.

The resulting 21 million jobs corresponds to one percent of total employment in the G20 area, it said.

The ILO said that 6 million jobs have been lost in manufacturing, 2.8 million in construction and 2.3 million in wholesale and retail trade in the two years to the third quarter of 2009 among 15 G20 countries with available data.

During the same period utilities, education, public administration and health showed increases in employment.

Reuters

Last Mod: 19 Nisan 2010, 23:23
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