As reported by the UN News Service, around 300 million workers live in extreme poverty, earning less than three dollars a day. Furthermore, the number of people employed in the informal sector continues to grow, and by 2026, 2.1 billion individuals will lack social protection and labor rights.
The slow progress is most noticeable in low-income countries, where workers in unfavorable working conditions face even greater hardship.
The authors of the report note that the slowdown in the transition to higher-tech sectors of the economy and services remains a significant barrier to improving productivity and job quality.
The situation regarding youth unemployment is also a serious concern: in 2025, the unemployment rate among youth is expected to reach 12.4 percent.
According to the ILO, approximately 260 million young people worldwide are not in education, employment, or training. In low-income countries, this figure stands at 27.9 percent.
The ILO warns that automation and artificial intelligence could exacerbate existing problems, particularly for educated youth in high-income countries.
Women continue to face significant barriers related to social norms and stereotypes. Their participation in global employment is only 40 percent, and they are 24 percent less likely than men to be engaged in labor activities. Progress in empowering women has virtually stalled.
Additionally, the aging population in developed countries is slowing workforce growth, while in low-income countries, rapid population growth is not accompanied by the creation of sufficient jobs.
The employment growth forecast for 2026 is as follows:
- 0.5 percent — in high-income countries;
- 1.8 percent — in middle-income countries;
- 3.1 percent — in low-income countries.
The ILO warns that without creating a sufficient number of quality jobs, poor countries may miss out on their demographic dividend.
Experts are calling for the following measures:
- investing in education, infrastructure, and skills to enhance productivity;
- reducing employment gaps for youth and women;
- ensuring that global trade contributes to the creation of decent jobs in all regions;
- mitigating risks associated with debt, AI, and trade uncertainty through coherent policies.
