OECD: Job market recovering but wage growth remains weak

Angel Gurria
Angel Gurría, OECD

Labour markets are continuing to recover from the crisis and employment is set to return to pre-crisis levels in 2017, but wage growth remains weak, according to a new OECD report.

The OECD Employment Outlook 2016 shows that with the global economy stuck in a low‑growth trap, better skills use and further structural reforms are needed to boost productivity, support job creation, improve job satisfaction and raise living standards.

OECD unemployment rate falls to 7.1% in December 2014

The OECD unemployment rate fell by 0.1 percentage point, to 7.1% in December 2014. Across the OECD area, 43 million people were unemployed, 6.7 million less than the peak recorded in April 2010, but still 8.6 million more than in July 2008.

In the euro area, the unemployment rate declined by 0.1 percentage point, to 11.4%, with the largest falls recorded in Ireland (by 0.2 percentage point, to 10.5%) and Italy (by 0.4 percentage point, to 12.9%).
In December, the unemployment rate also fell in Japan (by 0.1 percentage point, to 3.4%), in Mexico (by 0.4 percentage points, to 4.3%) and in the United States (by 0.2 percentage point, to 5.6%), while it was stable in Canada (at 6.7%) and increased in Korea (by 0.1 percentage point to 3.5%). More recent data referring to January 2015 show that the unemployment rate decreased by 0.1 percentage point in Canada (to 6.6%) while it increased by 0.1 percentage point in the United States (to 5.7%).