The International Labour Organisation (ILO) has projected that around two million workers worldwide may face unemployment in 2024, leading to an increase in the global unemployment rate from 5.1 percent in 2023 to 5.2 percent.
In its latest report titled ‘World Employment and Social Outlook: Trends 2024,’ the ILO noted that despite a drop in joblessness and a narrowing jobs gap compared to pre-pandemic levels, global unemployment is expected to rise in 2024.
The report expressed concerns about growing inequalities and stagnant productivity. It highlighted that global unemployment rates had seen a decline for three consecutive years, decreasing from 6.9 percent in 2019 to 5.1 percent in 2023.
While the 2023 global unemployment rate showed improvement, the report indicated that labour markets demonstrated resilience amid challenging economic conditions. However, uneven recovery and the emergence of new vulnerabilities and crises were impacting prospects for greater social justice.
The number of workers living in extreme poverty (earning less than US$2.15 per person per day in purchasing power parity terms) increased by approximately 1 million in 2023, and those living in moderate poverty (earning less than US$3.65 per day per person in PPP terms) rose by 8.4 million during the same period.
The report projected a worsening outlook for the labour market and global unemployment. It highlighted a decline in disposable incomes in the majority of G20 countries, with the erosion of living standards due to inflation unlikely to be quickly compensated.
Gilbert Houngbo, Director-General of ILO, expressed concern about the findings, stating that the imbalances revealed in the report appear to be not just part of pandemic recovery but structural. He emphasized the urgency of addressing workforce challenges to protect both individual livelihoods and businesses.