You are here

ECB's Mersch says productivity drive in euro zone has cost jobs

FrankFlags040216.jpg
The drive for more productivity in the eurozone has come through cutting the workforce, a European Central Bank policy setter said on Thursday, warning that such job-shedding could become entrenched.

[FRANKFURT] The drive for more productivity in the eurozone has come through cutting the workforce, a European Central Bank policy setter said on Thursday, warning that such job-shedding could become entrenched.

"Much of the (meagre) productivity growth seen in the euro area has come through labour shedding rather than from strong value added growth," said Yves Mersch, who sits on the ECB's Executive Board.

"And if those displaced don't have the right skills to find another job, structural unemployment is likely to increase further."

REUTERS

sentifi.com

Market voices on:

grab

Receive $80 Grab vouchers valid for use on all Grab services except GrabHitch and GrabShuttle when you subscribe to BT All-Digital at only $0.99*/month.

Find out more at btsub.sg/promo

Powered by GET.comGetCom