World – OECD second quarter employment rate drops 4%

October 16, 2020

The OECD (Organization for Economic Co-operation and Development) zone employment rate fell 4.0%, year-on-year, to 64.6%, in the second quarter of 2020, its lowest level since the fourth quarter 2010.

Compared to the previous quarter, the OECD employment rate also fell by 4.0%.

In the OECD area, 560 million people were employed in the second quarter of 2020, 34 million less than in the previous quarter.

The OECD added that caution should be exercised in interpreting the latest data, however, as much of the decline in the second quarter reflects a significant increase in the number of furloughed workers in the United States and Canada, where this category of worker is registered as unemployed while they are registered as employed in most other countries.

The employment rate in Australia was 70.5% in the second quarter, compared to 74.2% in the second quarter of 2019 and 74.6% in the first quarter of 2020.

Japan’s employment rate was down 0.6% from a year earlier and 1.0% from the first quarter of 2020. South Korea’s employment rate was down 1.3 % compared to the second quarter of 2019 and the previous quarter.

New Zealand’s employment rate fell 0.8% from the second quarter of 2019 and the previous quarter.

In the euro area, the employment rate fell by 1.7% year-on-year to stand at 66.2% in the second quarter of 2020. Turkey recorded a year-on-year decline of 4.6%, while Israel recorded a decline of 2.3%.

In Canada, the employment rate fell by 9.8% and in the United States, it fell by 8.7%.

Employment rates fell by 4.2% for men, year-on-year, while they fell by 3.9% for women.

At the same time, the unemployment rate for young people (15-24 years old) stood at 36.3% while “prime-age workers” (25-54 years old) recorded an unemployment rate of 74.7 % in Q2 2020 and older workers (55-64 years old) recorded an unemployment rate of 59.3%.