Unemployment will be a key issue

A recent report published today by the Labour Ministry revealed that it takes an unemployed Slovak over 13 months on average to find a new job.

The length of time it takes to register with job centres has also increased by around 2.7 months over last year, which Volksbank analyst Vladimir Vano says is a practical reflection of how even slight stabilisation on the labour market has not yet been accompanied by any tangible recovery in the generation of jobs.

This lack of job generation in the light of positive economic results is also caused by weaker utilisation of industrial capacities, as this is one of the key issues that motivates larger companies to expand into new markets, feels Vano. Analyst David Derenik from Unicredit Bank pointed out how a delay can be seen behind these statistics, justifying it by how during the crisis “many people lost their jobs only temporarily, for shorter periods of time”, adding that overall it was the short-term jobless that were most likely to be successful in getting back onto the labour market.

The new four-party government which should be instated this week will have to tackle many economic burdens that it is about to inherit, and unemployment will definitely have to be one of the crucial points of their economic recovery plans.

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