The share of unemployed in all countries of the world due to lockdown measures has increased to around 10-12%, and it is unlikely that the situation will improve in the near future, RISS expert Mikhail Belyaev says. “According to Bloomberg, unemployment in America will not fall below 5.4% even in two years. As for Europe, the International Labor Organization forecasts at least 12 million unemployed,” he added.
According to Belyaev, small and medium-sized businesses where a significant number of migrants are involved are more vulnerable to falling labor demand. There are 50 million migrant workers in the US, about 9 million in Britain, and just over 5 million in France. Such a large number of migrants should not lose their livelihoods. Therefore, the leaders of the countries are trying to maintain economic stability. US Senate approved $2 trillion coronavirus bill aimed at slowing economic free fall, the European Union accepted a 540-billion-euro aid package, and Australia spent 10% of GDP on recovery measures.
RISS expert draws attention to the fact that illegal migration is one of the most serious challenges Europe currently faces. Temporary workers are mainly employed in the agricultural sector of Southern Europe. N.Schmit, European commissioner for jobs and social rights, said “when Europe overcomes the current crisis situation, the labor market should be restored; workers should have decent pay and fair conditions.”
“The world economy is undergoing a serious test. People should realize that without a social component, market efforts alone would not suffice to help countries emerge from the poverty trap,” RISS expert concluded.