The latest report from the International Labor Organization (ILO) reveals that global unemployment remains near a historical low of 5%, reflecting steady recovery from the COVID-19 pandemic. However, significant challenges persist in achieving full labor market recovery.
While the unemployment rate stabilized in 2024, the ILO highlights the widening inequalities, high youth unemployment, and the lasting impacts of inflation that continue to hinder the achievement of decent work for all.
The report underscores that while informal work and working poverty have returned to pre-pandemic levels, particularly in low-income countries, creating decent jobs remains difficult.
It reveals that the global jobs gap – a broader measure of labor market demand – stood at 402 million people in 2024, which includes 186 million unemployed, 137 million temporarily unavailable for work, and 79 million discouraged job seekers. Although the gap has narrowed since the pandemic, it is expected to stabilize over the next two years, signaling a plateau in the recovery.
Youth unemployment remains a significant challenge, with millions of young people, particularly in low-income nations, vulnerable to economic instability and long-term setbacks. The report notes a rise in the global NEET (not in education, employment, or training) rate in 2024, with young women being disproportionately affected.
The ILO also points to global economic deceleration, geopolitical tensions, and inflationary pressures that have slowed income growth. Despite these challenges, opportunities in renewable energy and digital technologies provide potential for job creation, though nations face barriers such as infrastructure deficits and skill shortages.
