Unemployment falls in the eurozone during August despite the economic slowdown

The unemployment rate in the eurozone fell one tenth during August compared to July to 7.4%, while in the whole of the European Union (EU) it also dropped one tenth and reached 6.2%, despite to the economic slowdown of the last months.

The community statistics office, Eurostat, stressed when publishing the data on Monday that the number of nineteen countries that share the single currency is the lowest since May 2008, while that of the Twenty-eight is the lowest since the beginning of the historical series in January of the year 2000.

Spain again registered in August the second highest unemployment rate in the EU, after a tenth fell compared to the seventh month of 2019 and stood at 13.8%, data that only exceeded Greece (17% in June) .

In interannual terms, the decline in unemployment in Spain was one of the most pronounced in the entire community club, registering a drop of 1.2 percentage points after going from 15% in August 2018 to 13.8% in it month of this year.

Compared to August 2018, unemployment also dropped six tenths percent in the euro area, from 8%, and five tenths throughout the European Union, from 6.7%.

Therefore, the downward trend of recent months remains, despite the fact that the European economy has been growing more slowly since the end of 2018 and will continue to do so in the second half of 2019, according to the forecasts of international and financial institutions.

The European Commission itself believes that the improvement in employment in the European Union could be halted in the second half due to the slowdown in growth and the weakness of the manufacturing sector, according to the quarterly employment report published on September 20 by the institution.

In addition, last week the Bank of Spain pointed out that in line with the slowdown in growth, the pace of job creation and unemployment reduction will slow down, although the lower decrease in the unemployment rate will also be a consequence of the growth of the active population.

For both 2019 and 2020, the entity has revised two tenths downward in employment growth, to 1.8% and 1.3%, respectively, while it expects the unemployment rate to fall below 13 % at the end of 2021.

Eurostat estimated today that, in the eighth month of 2019, 15.4 million people had no work in the EU, of which 12.2 were in the eurozone.

Compared to August 2018, the number of unemployed fell by 1.2 million people in the Twenty-eight and by 960,000 individuals in the Eurozone. If the comparison is made with July this year, the number of unemployed decreased by 111,000 workers in the EU and 115,000 in the eurozone during August.

By countries, the lowest unemployment rates were registered in the Czech Republic (2%) and Germany (3.1%), in contrast to those in Greece and Spain.

In inter-annual terms, unemployment fell in twenty-four Member States between August 2018 and 2019, remained stable in Luxembourg and grew in Denmark (from 4.9% to 5%), Lithuania (from 6.1% to 6.6%) and Sweden (from 6.3% to 7.1%).

The largest falls occurred in Greece (from 19.2% to 17% between June 2018 and 2019), Cyprus (from 8.2% to 6.8% between August 2018 and 2019), Bulgaria (from 5.2 % to 4%), Spain (from 15% to 13.8%) and Croatia (from 8.1% to 6.9%).

Unemployment among those under 25 years of age fell two tenths between July and August 2019 in the euro countries to 15.4%, while in the Twenty-eight it declined one tenth to 14.2%.

In Spain, the indicator grew by one tenth percentage and reached 32.2%, the second highest figure in the EU.

The lowest percentages were detected in the Czech Republic (5.1%), Germany (5.7%) and Holland (6.9%), compared to those in Greece (33% in June 2019), Spain (32 , 2% in August of this year) and Italy (27.1%).

"The EU unemployment rate continues to decline and remains the lowest in this century. Youth unemployment also continues to fall in most Member States," said European Employment Commissioner Marianne Thyssen.

. (tagsToTranslate) unemployment (t) eurozone (t) August (t) economic slowdown (t)

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