Eurozone | Why the labour market will recover faster than usual
The eurozone labour market is heating up. We expect around 2 million jobs will be created from Q2 2021 until the end of the year, recovering almost two-thirds of the jobs lost since the coronavirus pandemic hit. Employment should return to pre-crisis levels by H2 2022, which is a markedly stronger performance than we had expected a few months ago.
What you will learn:
- The labour market has continually performed better than expected as the emergency measures introduced during the pandemic, including furlough schemes, prevented mass layoffs.
- Households’ unemployment expectations are now close to record lows and firms’ hiring intentions are elevated across industries. So, we expect labour market strength to continue into next year.
- We see some risks to the labour outlook. Prematurely withdrawing the emergency support could hurt economic sentiment and put firms’ liquidity under pressure.
Tags:
Related Services
Post
Capital catalysts – Funding development when budgets are tight in Africa
In this presentation deck, we grappled with some of the Africa’s most pressing issues for 2024 and beyond. We explored Africa’s alternative funding strategies during challenging times, examined the continent’s growth hotspot, and unpacked South Africa’s political economy in the lead up to the general elections in 2024.
Find Out More
Post
APAC Key themes 2024 – A year of living cautiously
In 2024, the main influence on Asia is likely to be a global slowdown, particularly in China and the US. Moreover, governments have limited policy space to deal with these headwinds. Other negative influences, however, are set to ease further, including domestic inflation, external pressure on interest rates, and softening semiconductor prices. Overall, we expect a bumpy year as issues become more country-specific and policy responses and economic outcomes diverge.
Find Out More