Unemployment Crisis: There Are Millions in G20 Nations too

Unemployment is in current parlance only associated with the United States of America; in effect, the other countries of the world are either ignored or forgotten. Did we know, the total number of unemployed in the G-20 nations is approximately 100 million and the same increases every passing day?

Therefore, are we now seeing the truth of a systemic unemployment crisis, which is not only restricted to America but also faced by many other economies of the world?

The question arises, what is really causing this crisis and secondly, is there trust that the same will be turned around? To our fate, which is unfortunate, several long-term trends have been formulating since years and have paved way for bringing us to the point we are today.

The fundamental to this was the dominant nature of big corporations in the global economy, and there stance of replacing the worker that live in major industrialised nation with workers that live in countries which have a low labour wage restriction. This isn’t a huge mystery, as to why there is such a huge problem with unemployment. Let’s consider a giant corporation, why will it hire workers that cost the firm more than 10 times as much as other workers. Over the past decade, there have been massive movements of jobs to continue, where labour is cheap. Large corporations are also planning to and terminating labour, to replace them by use of technology. If a particular work can be undertaken by machine with precise output, why would companies miss the opportunity to lower their cost and gain maximum benefit out of the same?

All this considerations, there has been an overall weakening in the western world and as long-term trends intensify, the unemployment worldwide would get worse. The International Labour Organization too is convinced about the growing unemployment in G-20 countries, and has been exclusively put in words by the Director General to CNBC.

When individuals in the G-20 nations lose their jobs, they have been observed to stay out of work for quite a considerable amount of time. In fact, CNBC claims that 30 percent of the workers who lost their jobs in G20 nations have been out of job since a year or longer. Major nations, which are industrialized, too are no longer producing enough jobs for their people.

Nation	Unemployment Condition
South Africa	Above 25 percent
France	Has Hit a 15 Year High
Italy	12.2 percent, highest in 35 years
Poland	13.2 percent
Ireland	13.6 percent
Portugal	17.7 percent
Greece	26.9 percent
Spain	27.2 percent

Unfortunately, it seems, things ain’t going to get better any time soon. Since last recession, the global confidence is the lowest today.

The United States of America, what is their part of the story? 

The official numbers do not look quite bad, as much as that of the rest; the official unemployment rate has been hovering at 7.5 percent, since 54 months now, which is the longest stretch in history.

It is atleast not double digit, but things could get worse and which in no way means that it is doing better.

Mainstream media trying to convince residents that everything is fine, by throwing the standard item, Unemployment rate has been going down, but when we look deep into the calculations, the statement does not seem accurate. Recently New York Times reported that the decline in unemployment rate in recent times could entirely be accounted for by a decline in the participation rate.

To get an accurate depiction of employment position in United States, we need to look at the employment-population ratio, which is a measurement of the working age population that is actually working. We observe that the percentage of working age Americans that actually have a job has been declining in recent decade.

This clearly shows the honesty of the mainstream media, when it tells us about the employment numbers of June 2013. The truth as such is, the unemployment rate has risen in 28 American States, and there has been a decline in 11 states. The only conclusion we can draw is, things are not getting better in the small span of time. Unemployment problems in Europe and America are likely going to continue to get worse in the years ahead.

This is in a way a bad news for most of us, the only thing that we have to offer is our labour in the market place, and the value of the same has been continually declining, which increases the very difficult current position.

The current situation can be compared with game of twisted musical chairs. We have been drafted to play and each time the music stops, more chairs (jobs) are being taken out of the game.

There always exists something,

which you might want to start thinking about and the time is now.