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Unemployment rates could reach 12.6% in event of COVID-19 second wave: OECD
Updated: 2020-07-08 17:09:38 KST
The rate of unemployment among OECD nations is forecasted to soar by the end of the yearwith industry sectors impacted by the COVID-19 pandemic.
According to figures detailed in an OECD report released Tuesday, the average rate of unemployment for all 37 OECD members is projected to be 12.six percent in the fourth quarter.
The report was the OECD's updated projection based on a "double-hit" scenario of a global second wave of COVID-19.
The report say if average unemployment rates surpass 12-percent, 80 million jobs will soon disappear including those in European countries, Australia, Japan and the United States.
Even if the global coronavirus situation stabilizes, the body noted that the unemployment rate of all OECD member countries will be at 9.4% in the fourth quarter.
In Australia, unemployment rate rose to seven.one percent in May, but could be as high as nine.one percent under a second wave scenario.
In the United States, unemployment rate is expected to remain at 10.four percent in the fourth quarter of 2020, but could rise if a second wave hits.
In the United Kingdom, the rate of unemployment is projected to reach record highs of up to 11.7% by the end of 2020. But in a second wave scenario, it could surpass 14-percent.
However, in South Korea, the rate of unemployment was one of the least drastic among OECD member nations and is expected to remain still.
The OECD forecasts four.eight percent in the fourth quarter, but in a second wave scenario, a rate of five.one percent has been forecasted.
In the meantime, OECD Secretary General Angel Gurria said that the COVID-19 crisis will cast a long shadow across the world, and it is essential to sustain recovery with sectoral policies to boost job creation.
Choi Won-jong, Arirang News.
Reporter : peterwjchoi@gmail.com