ECB's Mersch says productivity drive in euro zone has cost jobs
[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
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
International
Indonesia’s push for regional economic integration to continue under Prabowo: Vivian Balakrishnan
Outgoing Singapore, Indonesia leaders to hold their final retreat in Bogor on Apr 29
Beijing city to subsidise domestic AI chips, targets self-reliance by 2027
China passes tariff law as tensions with trading partners simmer
Blinken meets Chinese counterpart Wang Yi in Beijing
South Korea’s public finances no longer a credit rating ‘strength’: Fitch