The employment situation continues to deteriorate says OECD

Global economic activity is picking up, but the continuing crisis in the euro area is delaying a meaningful recovery, the OECD said in its latest Interim Economic Assessment.

The Assessment, presented in Paris by Chief Economist Pier Carlo Padoan, says that the G7 economies are expected to grow at an annualised 2.4 per cent rate in the first quarter of 2013 and at a 1.8 percent rate in the second. It notes that financial markets are out-pacing real activity, which has been held back by weak business and consumer confidence, and highlights the risk that asset prices may rise beyond levels justified by fundamentals.

“The global economy weakened in late 2012 but the outlook is now improving for OECD  economies,” Mr Padoan said. “Bold policy action remains necessary to ensure a more sustainable recovery, particularly in the euro area, where growth is uneven and remains slower than in other regions. (See his powerpoint presentation)”…

Weak growth and low confidence are expected to com‌plicate efforts to bring down high unemployment rates across much of Europe…

“The employment situation continues to deteriorate in many countries, making it all the more urgent to implement the labour and product market reforms that can stimulate growth and create jobs,” Mr Padoan said.

Chosen excerpts by Job Market Monitor

via Newsroom – Organisation for Economic Co-operation and Development.