‘Numbers conceal realities’ Eurozone chief admits EU recovery is based on 'low quality' jobs

Mario Draghi believes there are too many ‘low quality’ jobs in the bloc

Mario Draghi said seven million jobs have been created in the eurozone over the last three years but admitted the figures “conceal different realities”.

Asked if Europe will fully recover from its recession, Mr Draghi said: “Europe has recovered from the recession.

“Now it has been around four and a half years the economy has been expanding and employment is higher tan ever.

“Seven million jobs have been created over the past three and a half years.”

He added “these numbers conceal different realities, namely and more specifically the quality of these jobs, which need to be improved.”

In 2017 a report from Bank of America Merrill Lynch titled “Job Quality and Escape Velocity” shows much of the impressive falls in eurozone unemployment over last three years has been underpinned by jobs of “deteriorating quality”.

A large amount of these jobs are either temporary or part time jobs. By far the highest proportion of part-time workers in 2016 was found in the Netherlands at 46.6 percent, followed by Austria, Germany, Belgium, the United Kingdom, Sweden, Denmark and Ireland, where part-time work accounted in each case for more than a fifth of those in employment. 

Part-time work has increased distinctly between 1993 and 2016 in Germany, Ireland, Italy and Austria In 2015 the amount of part-time workers were 19 percent in the EU area, it fell to 18.9 percent in 2016. However, it has now become a concern again.

Mr Draghi said: “We have to keep on working and not forget what the main problem is.”

Mr Draghi’s comments came during the ECB’s third Youth Dialogue which allows young people to discuss current issues with Europe’s leaders.

From January 17 to 23 young people were given the chance to speak to Mr Draghi via Twitter or Facebook with the hashtag #AskDraghi.

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