“Ministers’ Information” issues an integrated analysis on labor and employment market trends and indicators locally and globally

Minister informationIt issues an integrated analysis of labor and employment market trends and indicators, locally and globally

The Information and Decision Support Center of the Council of Ministers issued a new analysis in which it sheds light on the current situation and situation of the global labor market and the accompanying crises or fundamental changes, the trends and prospects of employment at the local level, and the most prominent government efforts in this field, leading to a review of the most prominent future jobs.

The center explained that the rapid technological transformations that the world is witnessing have had an impact on employment. As technological and practical advances have reshaped labor markets on a global level as a whole; This raises questions about employment trends and future jobs, especially since the increasing reliance on technology and new technologies leads to structural changes in the labor market, by displacing jobs and creating new ones, and all future jobs have one main thing in common, which is that they are affected by the continuous technological boom that we are witnessing, as This technological boom will recreate all labor markets on the planet, which raises an important question about the most demanded future jobs in the labor market.

Radical changes will affect the global labor market and 60 million additional job opportunities over the next 15 years as a result of moving towards a green economy.

The Center indicated that the crises that the world has witnessed during the past few years have cast a shadow over the global labor market in terms of employment levels and unemployment rates, as well as work trends, patterns and future. The International Labor Organization indicated in its report on employment trends and social prospects for the year 2023, which was issued in January. 2023, that the global outlook for labor markets will deteriorate significantly during 2022; As a result of emerging geopolitical tensions, the Russian-Ukrainian crisis, the uneven recovery from the coronavirus pandemic, and persistent bottlenecks in supply chains, all of these factors created the conditions for stagflation (high inflation and low growth at the same time) for the first time since the 1970s.

The coronavirus pandemic had major negative repercussions on the global labor market. The pandemic prompted 81 million people to leave work worldwide in 2020, and it also led to a decrease in average working hours for wage workers by about 8.8% in 2020 compared to the fourth quarter of 2019, which is equivalent to 255 million full-time jobs, and this rate This is four times higher than it was during the global financial crisis in 2009.

In addition, the global unemployment rate increased in 2020 to reach 6.5%, up about 1.1 percentage points compared to 2019, and Latin America and the Caribbean, Europe and North America recorded increases in the unemployment rate of at least 2 percentage points. Accordingly, the pandemic has had a significant impact on the global labor market. As it led to changes in the directions and patterns of work.

According to a survey conducted by Gartner, a company specialized in conducting studies and surveys to help business owners around the world to find the best alternatives and solutions, it was found that 48% of employees want to work from home at least part of the time after the end of the pandemic, compared to about 30% before the pandemic, and 32 intend to % of international organizations change full-time work to temporary work or for a specific assignment; In order to save expenses, 16% of managers and employers rely more on technological means to follow up on employees, and according to a survey conducted by the International Labor Organization that included 118 countries representing 86% of the total workforce in the world, 7.9% of the workforce in the world works from home in general. permanent.

The world soon recovered from the pandemic until the Russian-Ukrainian crisis, which broke out in February 2022 and is still ongoing, has no end in sight, and that crisis also had repercussions on the global labor market. As the employment gap in 2022 reached about 473 million, an increase of 33 million from the level of 2019, with the number of unemployed people in the world reaching 205 million (global unemployment rate of 5.8%), which made global unemployment higher by 16 million unemployed, compared to At 2019 levels, this gap was most pronounced in low-income countries, and between females compared to males.

As for operating trends, there are nine trends that will prevail during 2023, according to Gartner, which are:

– Increasing trends towards adopting a hybrid work system (office – remote).

– Increasing pressure on managers due to the dual pressures of remote work and the evolution of employee needs.

Increasing numbers of people are applying for jobs outside their field of expertise.

– The increasing interest of organizations in achieving equality, diversity and inclusion in the workplace.

Concerns related to data privacy in light of the expanding use of technology.

The use of artificial intelligence and machine learning in recruitment processes faces organizational challenges.

– Finding new ways through quiet employment to seize the required talents.

The erosion of social skills among Generation Z revealed the skills gap between generations.

– Increasing interest in the mental health of workers.

Looking at the projections for the years 2023 and 2024, it is expected that the number of employed people worldwide will continue to increase, after a sharp decline in 2020 as a result of the pandemic. However, the ratio of employed people to the total population will remain until 2024 below the pre-pandemic levels of 56.9%, and also talking about the average worker productivity during the years 2023 and 2024, despite the increase in the average number of weekly working hours for wage workers to reach 41.4 hours in 2022, it is less than the pre-pandemic level of 42 hours, and it will also remain below this level in 2022. 2023 and 2024.

In its analysis, the center touched on the prospects of the labor market in Egypt, as it indicated that improvements in the educational infrastructure and in legislation will lead to an increase in the skills of the labor force in the long term, and Egypt also enjoys advanced levels of education compared to the countries of the North African region, with large numbers of graduates. Moreover, progressively increasing urbanization allows for a large movement of labour.

And by analyzing the local labor market indicators, despite the repercussions of the pandemic, the unemployment rate in Egypt continued to decline, reaching 7.4% in 2021 compared to 13.0% in 2014, and the number of workers continued to rise to reach 27 million and 200 thousand workers in 2021, compared to With 24,300,000 workers in 2014, the female unemployment rate reached 16% in 2021 compared to 23.6% in 2016; This reflects the Egyptian state’s keenness to enhance women’s participation in the workforce.

In its analysis, the Center reviewed the most prominent government efforts in the field of employment, as Article 21 of the Egyptian Constitution affirmed that the state is committed to allocating a percentage of government spending for university education that is not less than 2% of the gross national product, gradually increasing until it is consistent with international rates. The volume of public spending witnessed on education over the past five years leap; It increased from 109.2 billion pounds in the fiscal year 2017/2018 to reach 192.7 billion pounds in the budget for the fiscal year 2022/2023.

The number of public, private and private universities in Egypt also witnessed a huge jump from 43 universities in the academic year 2013/2014 to 68 universities in the academic year 2021/2022, and in the context of keeping up with the needs of the labor market, the establishment of artificial intelligence colleges has been expanded to reach 10 colleges during The academic year 2022/2023, in addition to 29 technology schools and 8 technology parks established in cooperation with the Ministry of Communications and Information Technology within the framework of the state’s strategy to localize and spread the culture of creativity and innovation nationwide.

In addition to the above, the Egyptian state is about to announce soon the National Employment Strategy, which aims to:

Creating new job opportunities for young people and increasing women’s employment rates.

Keeping pace with the successive changes in the labor market and the requirements of future jobs.

– Reducing unemployment rates.

– Supporting training and qualification for the labor market, and the state has made great efforts in this regard, perhaps the most prominent of which is the establishment of the National Academy for Training, the launch of the Presidential Program for Executives and the Presidential Program for Qualifying Youth for Leadership.

– Promoting the culture of self-employment and investment in employment

– Supporting people with disabilities, which is a top priority and concern of the political leadership.

In addition to the National Employment Strategy, the state is in the process of issuing a new labor law, which comes within the framework of its desire to:

– Keeping abreast of development and modernity in the field of work and adherence to international labor standards and agreements ratified by Egypt.

Completion of the constitutional and legal structure of labor relations.

– Linking wages to production in order to reassure the national and foreign investor and to maximize the role of the mechanisms of consultation, negotiation and dialogue between the two parties to the business relationship.

Creating an attractive climate for investment.

Establishing the principle of social justice.

– Achieving mutual satisfaction and balance between the two parties to the work relationship, and speedy settlement of labor disputes in a manner that achieves prompt justice.

In order to explore the future of work; The “Egyptian Occupational Prediction” platform was launched in March 2023, and it is a platform to promote community discussion and dialogue about developments and evidence-based predictions for the future of work in Egypt. The platform will provide information on 145 professions and their employment expectations until 2030.

In its analysis, the Information and Decision Support Center reviewed the future trends and functions of the labor market, indicating that in light of the rapid and rapid changes that the world is witnessing, there are radical changes that will affect the global labor market in the medium and long term. In this regard, the International Labor Organization indicated that 269 One million jobs could be added globally if investments in education, health and social work were doubled by 2030.

According to estimates, one billion young people will enter the labor market around the world during the period (2015-2025), only about 40% of them will find suitable jobs, which highlights the need to keep up with the requirements of new jobs, which are concentrated in: the availability of high communication skills, and the possession of skills Technology, the ability to create and innovate, and these three requirements come in light of the needs of new jobs; It is expected that 97 million new jobs will appear and 85 million will disappear by 2025.

Green jobs will also emerge; The International Labor Organization expects that an additional 60 million job opportunities will be available over the next fifteen years as a result of moving towards a green economy. In light of the trend towards mechanization at work, the world will witness a significant expansion in the use of robots. Moreover, there is now what is known as the gig economy – an economy that is based on digital platforms that connect employees and customers to provide services or share assets -; Technological innovations provide new opportunities for remote and online work.

Leave a Comment