Global Talent Update - July 2015

GlobeEurope, Middle East and Africa

Employment situations varied greatly throughout Europe, the Middle East and Africa during the month of June. While some nations saw notable increases to wages and workforces, others experienced declines in these areas.

Germany's labour situation continued to improve as the country's unemployment rate dropped to its lowest rate in 25 years. According to Deutsche Welle, June represented the ninth month in a row that the nation's jobless average declined, falling to 6.2 per cent from 6.3 per cent the previous month. The source explained that the country's job vacancies have been on the rise, especially in the health and social services sector.

Great Britain saw an increase in its unemployment rate for the first time in about two years, reported BBC News. The latest figures from the Office for National Statistics showed 1.85 million people were unemployed between March and May. This increase of 15,000 from the previous quarter resulted in a jobless rate of 5.6 per cent. Although some analysts felt this setback could be a sign that the rate of labour market improvement are slowing down, UK Work and Pensions Minister, Priti Patel said the jobs and the vacancies are there. Wages were on the rise, growing 3.2 per cent in the second quarter.

Morocco recently determined its unemployment rate for the end of 2014, which stood at 9.9 per cent, up from 9.2 per cent at the end of 2013. Morocco World News explained that these figures are largely representative of the country's growing youth unemployment problem, as well as a significant drop in the nation's industry sector, which lost about 37,000 positions over the course of last year.

Israel's jobless average rested at 5 per cent for the end of May, up slightly from a record low of 4.9 per cent in April. Port 2 Port explained that the labour force participation rate for people over 15 stood at 64.1 per cent, up from 64 per cent in April. More of the country's workforce reported having full-time positions while the number of part-time workers fell by over 3 per cent.

Asia-Pacific

Recent employment figures from across Asia revealed that many nations have relatively stable employment situations.

Japan's unemployment dropped in the second quarter of 2015, mostly due to steep decline in the number of people searching for work. Because more people joined the workforce due to a more positive labour situation in June, economists expect official numbers will reveal an increase in the jobless rate to 3.4 per cent. However, EconoTimes reported that Japanese unemployment could remain stable, as more manufacturing employers are increasing workforces to meet demand.

Xinhua reported that China's employment situation remained stable in June. In the nation's urban sections, the jobless average rested at just over 4 per cent, as over 7 million jobs have been created in Chinese cities since January. Despite these positive numbers, the job situation remains competitive, as activity has been stagnant over the past few months in industries like manufacturing. Additionally, China recently gained 7.5 million college graduates, all of whom will be seeking gainful employment.

Taiwan's unemployment climbed slightly in June, going from around 3.6 per cent to just over 3.7 per cent. According to Focus Taiwan, this is largely due to an increase in active job seekers, mostly in the form of recent graduates. Despite the increase, the source noted that this was the lowest jobless average the country's graduation season has seen since 2000.

Americas

Employment in the Americas varied during the month of June. Some nations experienced solid economic growth, while others saw their labour situations decline significantly.

Over 220,000 jobs were created in the U.S. throughout June, according to The Associated Press. This caused jobless rates to fall in 21 states and remain relatively stable in 17. Overall, the country's unemployment rate dropped from 5.5 per cent in May to 5.3 per cent in June. The source noted that much of this decline is due to fewer people seeking jobs. Regionally, the lowest unemployment rate was visible in Nebraska at 2.6 per cent. West Virginia had the highest jobless average, at 7.4 per cent.

Brazil's unemployment increased in June to a five-year high, reported Bloomberg. The average stood at 6.9 per cent, up from 6.7 per cent in May. The source explained that the country has not seen a rate this high since the summer of 2010, and Brazilian unemployment is only expected to increase in coming months. Average wages are also down, at 2.9 per cent lower than they were in June 2014.

In Mexico, the unemployment rate increased slightly as the economy maintained relative stability. Overall, the jobless average increased from 4.35 per cent in May to 4.41 per cent in June. EconoTimes reported that this was largely due to increased labour force participation and a slight slowing down of the country's industrial production sector.