Home WorldEurope Nearly a third of Ukraine’s jobs are lost amid war, says UN Labor Agency

Nearly a third of Ukraine’s jobs are lost amid war, says UN Labor Agency

by YAR

Russia’s war has caused colossal job and income losses for Ukrainians, destroying nearly a third of all jobs in the country and threatening the loss of millions more if the conflict continues, the Ukrainian labor organization said on Wednesday. United Nations.

The economic turmoil, coupled with a massive refugee outflow and large-scale internal displacement, has eliminated 4.8 million jobs in Ukraine since Russia’s aggression began, the agency, the International Labor Organization, said in its first report on the economic consequences of the invasion. . If the military escalation continues, more than 43 percent of jobs, some seven million, could be lost, he added.

The report underscored the grim economic cost of Russia’s aggression and the challenges ahead for Ukraine, neighboring countries and the world economy should the war widen into a protracted crisis.

Economic activity in Ukraine has come to a virtual standstill in much of the country, forcing the closure of approximately 50 percent of Ukraine’s businesses, a situation made worse by the destruction of buildings, roads, hospitals and other essential physical assets. . In the first month of the conflict alone, critical infrastructure worth an estimated $60-100 billion was damaged or destroyed.

If the invasion does not subside quickly, up to 90 percent of the Ukrainian population could face poverty or vulnerability to poverty, the organization warned. The European Bank for Reconstruction and Development forecast Tuesday that Ukraine’s economy will contract by 30 percent this year.

Ukraine’s neighbors are not spared either. Of the more than 5.2 million refugees who have fled the hostilities, many have arrived in Hungary, Poland, Moldova, Romania and Slovakia. While those countries are working to integrate new arrivals, the prospect of protracted conflict means refugees could remain in exile longer than expected, putting pressure on labor markets and possibly increasing unemployment in host countries. said the ILO.

Russia’s own economic crisis as a result of the punishment of international sanctions is also having repercussions beyond its borders. The economies of countries such as Kazakhstan, Kyrgyzstan, Tajikistan and Uzbekistan depend on remittances from hundreds of thousands of migrant workers in Russia. If they lose their jobs and are forced to return to their home countries, “there will be serious economic losses in Central Asia as a whole,” the ILO said.

A protracted conflict would also continue to impact the world economy through higher prices for basic goods, especially food and fuel.

“Higher inflation rates will have a negative impact on income and poverty, especially among the poor who depend on wages as their main source of income,” the organization concluded.

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