The European Commission forecasts that Portugal’s unemployment rate will remain at 6.5% this year, amid growth in both labor supply and employment, it announced this Monday.
In the spring economic forecasts published this Monday, the head of the municipality maintains, compared to the autumn forecasts, the unemployment rate at 6.5% in 2024 and 6.4% in 2025, which compares with the figures of 6.7% and 6.5 % respectively. , planned by the Portuguese government in the Stability Program.
Brussels, in its analysis of the Portuguese economy, notes that “the unemployment rate increased from 6.2% in 2022 to 6.5% in 2023 amid strong growth in both labor supply and employment.”
Let us recall that, according to the labor force survey, employment growth remained steady in the first months of 2024, but unemployment increased slightly along with an increase in labor supply.
“The data shows a significant increase in the working-age population at the beginning of 2024, which is explained by positive migration flows,” he says.
The community leader believes unemployment will fall slightly in the coming months as job creation should gradually offset the increase in job supply.
It also highlighted that as “restrictive employment conditions” continue to apply in some sectors of the economy, wages are expected to rise slightly faster than inflation, also supported by solid profit margins in the corporate sector.
Author: Lusa
Source: CM Jornal
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