The global financial crisis has triggered a serious slowdown in world economic growth including recession in the largest industrialized countries. Enterprises have stopped hiring and many are laying off workers in considerable numbers. This report examines what we know already about the impact of the crisis on jobs and what we could expect from several possible scenarios of the way it might evolve in the year ahead.
The assessment in this issue of Global Employment Trends is based on an analysis of labour market data that are available to date. This is still limited for the majority of countries and as more information becomes available it will be important to review the scale and pace of trends. Alternative scenarios for selected labour market indicators in 2008 and 2009 illustrate what might happen in labour markets if currently available economic forecasts are further revised downwards as seems likely.
This report starts with an overview of economic events that are shaping labour market outcomes. Thereafter, an analysis of recent labour market developments is presented based on currently available information. A separate section is dedicated to the projections of labour market indicators for 2008 and 2009. A final section concludes, and highlights a number of policy considerations.