Unemployment is at a record low in our country. Companies speak of a critical situation.

28.05.2024 11:21

Slovakia has the historically lowest unemployment rate, though not in terms of the total number of job seekers. Labour offices still register tens of thousands of job seekers who, however, do not meet employers' requirements. The tense situation on the labour market also puts pressure on the growth of salaries and the costs of monetary benefits. The number of employees recruited from abroad is also rising, but in the future we will need them far more.

„Slovakia has the lowest unemployment rate since its founding,“ Minister of Labour Erik Tomáš announced on Tuesday, marking the crossing of a significant milestone. That is true, if we look at unemployment through the indicator chosen by the head of the ministry. This is the unemployment rate calculated from the total number of job seekers, which also includes those unemployed on family care leave (OČR) or sick leave (PN).

In April of this year this indicator stood at 5.96 percent, while in May 2019 it was exactly six percent. The total number of the economically active population, from which the unemployment rate is calculated, plays in favour of the present. Since this parameter is currently higher, the unemployment rate is also lower.

The record lowest number of unemployed people was reported by labour offices in May 2019. It was 165 thousand people, while in April of this year it was 165.8 thousand job seekers.

If we take the unemployment rate calculated from the economically active population excluding those unemployed on OČR and PN, it decreased in April compared to the previous month by 0.08 percentage point to 4.99 percent, while in the mentioned period five years ago it was at the level of 4.88 percent.

Unemployment is hitting its limits

"As many as 82 percent of all registered job seekers belong to one of the disadvantaged groups of citizens. Of this number, three quarters are job seekers who have minimal or no work habits. Their integration into the labour market is difficult. They have often found themselves in the trap of long-term unemployment,"

stated the Secretary General of the Association of Industrial Unions and Transport Andrej Lasz.

A shortage of qualified workforce

He also pointed out that despite the support measures on the labour market, low workforce mobility persists, that is, the small willingness of Slovaks to travel for work or to relocate because of work. Last but not least, part of the unemployed are also people who are in fact employed, but either work illegally or abroad.

Higher costs for employers

The combination of low unemployment and high demand for the workforce means that employers currently face a rising price of labour, and this development, as expected, will continue.

They are looking abroad

In addition to attracting people with higher salaries or various benefits, companies are also forced to seek a qualified workforce abroad, and since the battle for employees is also taking place on the labour markets of surrounding countries, employers are increasingly seeking the workforce outside the EU. The National Bank of Slovakia reported that over the past month more than two thousand foreigners found work in Slovakia, and the total number rose to a new record value of over 105 thousand.

A wide range of shortage occupations

"At present, foreigners most often fill vacant jobs in industry and transport. Specifically, these are the positions of operator in engineering production, truck driver, assembly worker of electrical and electronic equipment, forklift operator, welder and auxiliary worker in production,"

Lasz summarised.

He added that in construction these are mainly the positions of bricklayers and concrete workers, and from other sectors the most sought-after professions are cooks, processors of meat and fish, but also beauticians.

The full article at HNonline.sk.