New report focuses on outcome of Turkey’s labour market after 2008-2009 crisis
The Ministry of Development and the World Bank have launched a new joint report on May 27, 2013. The report titled; “Managing Labour markets through the Economic Cycle”, looked at the labour market performance during the 2008-2009 crisis and subsequent recovery and analyses recent outcomes in the context of Turkey’s long-term challenge to create sufficient high productivity jobs for its young population.
The report highlighting the remarkable recovery in Turkey’s labor market after the 2008-2009 crisis, indicated that current unemployment rates are down on pre-crisis levels in contrast to many peers in Europe and among emerging markets.
In particular, it said, the strong growth in female employment after the crisis is noteworthy.
The report analyzes policy measures taken during the crisis, such as the targeted reduction in payroll taxes for women and youth, and compares Turkey’s labor market policies and institutions with international peers to distill lessons of experience in managing labor markets during the economy cycle.
It also noted that Turkey’s remarkable employment recovery in the context of the country’s long term challenge to create more high productivity jobs.
It added that Turkey’s working age population will continue to grow for several more decades and current employment rates, particularly among women and youth will remain historically and comparatively low.
Commenting on the report, Martin Raiser, Country Director of the World Bank said, “Turkey’s labor market recovery is remarkable and worthy of further investigation. Turkey’s strong economic performance is followed with interest in many countries, but the labor market remains a structural weakness with low employment rates and many low productivity jobs,” adding that, “if Turkey manages to maintain the recent pace of job creation and move progressively into higher value added activities, it will reap enormous gains from the demographic dividend of a still young and growing population.”
By Dorcas Appiah