Global Jobs Crisis Hits 402 Million As Economic Recovery Struggles – ILO

By Obi Appolos, Abuja

The global jobs gap has reached a staggering 402 million people, according to the International Labour Organization’s (ILO) World Employment and Social Outlook: Trends 2025 report. This sobering statistic highlights the mounting challenges faced by labour markets worldwide as economic recovery remains sluggish.

The report reveals that 186 million individuals are unemployed, 137 million are temporarily unavailable for work, and 79 million discouraged workers have stopped job hunting entirely. While the global jobs gap has narrowed since the height of the COVID-19 pandemic, progress has slowed significantly, threatening long-term economic stability and social cohesion.

A Worrying Slowdown in Economic Growth

Global economic growth dipped to 3.2% in 2024, a slight decrease from previous years. This slowdown has compounded the strain on labour markets, with youth unemployment stuck at a troubling 12.6%. Low-income countries, in particular, are struggling to create decent jobs, as working poverty and reliance on informal labour persist despite returning to pre-pandemic levels.

The report also highlights the plight of youth left behind by both the education system and the workforce. NEET (Not in Education, Employment, or Training) rates remain alarmingly high, especially for young women. In 2024, 20.4% of young men and a staggering 37% of young women were classified as NEET. The global NEET population grew by over 2 million in the past year alone, underscoring the widening gaps in opportunity and inclusion.

A Ray of Hope: Green and Digital Opportunities

Amid the gloom, the ILO report identifies areas of potential growth, particularly in green and digital sectors. Renewable energy jobs have surged to 16.2 million worldwide, offering a beacon of hope in an otherwise bleak landscape. However, these opportunities remain unevenly distributed, with nearly half of renewable energy employment concentrated in East Asia.

Similarly, the digital sector presents transformative potential for labour markets, but limited infrastructure and skill gaps in many countries hinder broader access to these opportunities. For low-income nations, the barriers to entering these emerging markets remain significant, despite their promise.

ILO Urges Bold Action to Close the Jobs Gap

ILO Director-General Gilbert F. Houngbo has called for urgent action to address the widening jobs gap and prevent further economic and social strain. He emphasized the need for investments in education, infrastructure, and skills training to equip workers for evolving industries.

“Decent work is not only essential for economic growth but also the cornerstone of social justice and a sustainable future,” Houngbo stated. He also advocated for expanded social protection to support vulnerable populations, particularly those most affected by the stalled recovery.

The ILO’s report underscores the urgency of tackling these challenges, warning that failure to act could deepen inequality and hinder global progress toward sustainable development. As the world navigates an uncertain economic future, the need for coordinated action to create inclusive, resilient labour markets has never been more critical.

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