Global Talent Update - June 2014

Europe, Middle East and Africa

Europe, the Middle East and Africa have all exhibited job growth this year, which continued into May, representing a recovery from the recent recession.

Employment in the U.K. expanded further in May, continuing the growth that has so far characterized this year. According to The Telegraph, jobs in the services sector have risen to a 17-year high. The industry represents 70 per cent of the U.K.'s economy, making its growth indicative of the way the entire nation is moving. Construction and manufacturing employment also grew, though less dramatically. Together, the positive performance of these key industries makes it likely that the U.K.'s economy will grow nearly 1 per cent in this year's second quarter, bumping it back up to levels not seen since 2008, at the start of the recession.

Standard Digital suggested that the struggling economy of Kenya may also be rising. A reported 659,400 jobs were created in 2013, though economists have not been able to verify the numbers. The usual rate of growth is closer to 50,000 new workers annually in the country, which currently has an unemployment rate of about 40 per cent. Cabinet Secretary Henry Rotich has poured billions into job creation and poverty alleviation recently.

In the Middle East, more reliable growth is occurring. The Monster Employment Index, which tracks online job listings, found a 19 per cent expansion in the region's employment over the year. The biggest contributors to the region's rising employment this year have been Egypt and Qatar.

Asia-Pacific

The economies of China and Japan have remained relatively stable in the last month, owing largely to international cooperation and increased investment in business.

China's economy has been boosted lately by a growing number of partnerships with other nations. At a recent press conference, Chinese Premier Li Keqiang appeared alongside Greek Prime Minister Antonis Samaras to celebrate a mutually beneficial relationship between the two countries, CCTV reported. Li also used the opportunity to reveal the country's economic targets for this year, which included a 7.5 per cent increase in gross domestic product and urban jobs for over 10 million people.

Similarly, Japan is reporting moderate economic growth. According to a report from the country's Statistics Bureau, business investment is growing and consumer spending is showing signs of improvement in the near future, though exports have remained stagnant. The report also revealed that employment has been stable since April, still improving at a pace of around 0.4 per cent per month. That number also represents a continued drop in unemployment, which shrank 12.7 per cent from April 2013 to April 2014, bringing the seasonally adjusted rate down to 3.6 per cent.

Americas

This month's employment reports from the U.S. and Canada showed that both countries are continuing to recover jobs lost in the recession.

According to figures released by Statistics Canada, 26,000 workers found jobs throughout the month, nearly offsetting the 28,900 losses that took place in April. However, most of the gains came in part-time positions, with full-time employees actually declining by over 23,000.

Employment in educational services, agriculture and accommodation grew the most, as each of these sectors expanded by about 20,000. Little change was noted between May 2013 and May 2014 in these industries or in the workforce.

Despite the gains, unemployment in the country rose from 6.9 per cent to 7.0 per cent, due to the number of people now entering the job market.

A release from the U.S. Bureau of Labor Statistics showed more positive results. Employment in America grew by 217,000 over the month, representing a return to levels not seen since 2008. Both professional services and health care services led the growth, each gaining 55,000 workers.

The unemployment rate, which fell to 6.4 per cent in April, remained steady in May. Over the past year, unemployment has dropped 1.2 per cent, as nearly 2 million people returned to work.