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UNEMPLOYMENT

Sweden’s labour market shows cracks after years of growth

Long, steady improvements in the Swedish labour market are expected to come to an end this year.

Sweden's labour market shows cracks after years of growth
File photo: Fredrik Sandberg/TT
Redundancy support organization TRR said on Monday that nearly six years of declining unemployment figures levelled out in the autumn and is now expected to rise. 
 
“We believe that there will be a slight increase compared to 2018. We anticipate an increase of around 10 percent, going from 11,000 to 12,000 people who will need our services,” Lennart Hedström, the head of TRR Tryggehetsrådet, told broadcaster Sveriges Radio
 
 
TRR Trygghetsrådet is a non-profit group that supports redundant white-collar workers associated with the Swedish Trade Union Confederation (LO). TRR works with roughly 35,000 companies with 950,000 employers nationwide. 
 
Another redundancy group, Trygghetsfonden TSL, also expects more unemployed Swedes will need its services this year. In 2018, TSL was contacted by a record low 10,700 unemployed workers, levels not seen since before the financial crisis. 
 
“By way of comparison, in 2009 we helped 61,000 people who had lost their jobs. We estimate that the number of redundancies will increase somewhat in 2019 but will really increase in 2020,” TSL director Caroline Söder told Sveriges Radio. 
 
Both redundancy groups pointed to several signs of cracks in Sweden’s labour market, including an increase in bankruptcies and slower job growth in Stockholm. 
 
Hedström said that the capital’s slow job growth is emblematic of significant regional differences within the national labour market.  
 
“Stockholm, which has been the clear leader for quite some time, saw an increase in redundant employees in 2018. Västra Götaland is the strongest metropolitan area, while Skåne has had a fairly large increase in the number of unemployed,” he said. 
 
If you’re unlucky enough to get caught up in the expected increase in redundancies this year, here is everything you need to know if you lose your job in Sweden

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BUSINESS

Unemployment in France falls slightly despite the lockdown

Unemployment in France has fallen slightly, despite the ongoing ravages of the health crisis and consequent lockdown, latest statistics show.

Unemployment in France falls slightly despite the lockdown
Photo: Stephane du Sakatin/AFP

The number of unemployed job seekers in mainland France fell by 0.4 percent in the first three months of 2021, according to figures published by the French Ministry of Labour on Tuesday.

There were 3,560,600 unemployed registered at the Pôle Emploi (unemployment office), 12,200 fewer than during the last three months of 2020.

This follows a 2.7 percent fall in the final three months of 2020 – but the rate is still up 6.8 percent compared with the first three months of 2020, before Europe began to feel the economic impact of the Covid pandemic.

Currently all ‘non essential’ shops in France have been closed since April 3rd, while bars, restaurants, cafés, gyms, cinemas, theatres, museums and tourist sites have been closed since October 2020.

Despite the fall the total number of job seekers, the number of people who were in work but with reduced hours was up by 0.8 percent at the start of 2021, to 2,156,300.

That means that in total 5,716,900 people in mainland France were registered with Pôle emploi during this period, an increase of 4.9 percent compared with a year ago.

“Over the course of 2020, in one year, unemployment rose by 8 percent. This is obviously a lot, but we must remember that during the crisis of 2008-2009, unemployment leapt by 25 percent, so we can see that the government assistance is working,” Minister of Labour Élisabeth Borne told BFMTV on Tuesday.

The French government has put together a huge package of economic aid to try and mitigate the effects of the repeated lockdowns, from chômage partiel (furlough) schemes for employees to aid packages for business owners and the self-employed. But many small retailers have been hit hard by the three periods of closure for non-essential shops, while the tourist, leisure and hospitality sectors have also had a devastating year.

The economic downturn linked to the pandemic has disproportionately affected young people in France.  Across all categories of job seekers (unemployed and with reduced hours), the latest figures show a rise of 7.1 percent in a year for those under 25, compared to 4.5 percent for the 25-29 age range, and 4.8 percent for those aged 50 and over.

Men are also more likely to have signed up to Pôle emploi, with a 6.1 percent increase on last year, compared to a 3.8 percent increase among women.

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