MONEY MATTERS

Since the economic crisis began in 2008, nearly 30 million people have lost their jobs. The current global jobs growth rate is 1% per year and at this jobs growth rate it is very difficult to employ the 200 million unemployed people waiting their chance to get into a job. Millions of workers are working part-time as they are not able to find regular jobs and many have given up trying to find jobs.

Even before the economic crisis, half of the total unemployment outside agriculture was in the informal economy. Two out of five workers were living below the poverty line with $2 per person, per day. Youth are the hard hit in this crisis with youth unemployment touching 80 million and this two to three times more than the adult rate of unemployment.

The protests taking place in 25 different countries are related to unemployment and income inequality. Millions have jobs but lack the basic elements like dignity, social protection and right to voice their opinion. The situation could become worse and the global jobs recession could last for decades and this would lead to very bad consequences on the society and politics.

Now it is in the hands of the G-20 leaders to convince their citizens and the financial markets that the Euro-zone, the U.S. and Japan will manage their sovereign debt crisis well. Taking emergency measures to stop this financial fire is very important and to retain political legitimacy the G-20 must with equal vigor the tragedy of the millions of the unemployed and insecure workers who are paying the price for a crisis they had no responsibility in bringing about.

Filed under: Uncategorized by SAJ