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The human cost of the crisis in Europe at a glance

30 September 2010, 12:38 CET
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(BRUSSELS) - Millions of jobs fell off the European map due to the global financial crisis and many more look set to be squeezed as governments axe public spending across the continent.

Belt-tightening is sending protesters onto streets with a massive demonstration planned Wednesday in Brussels, capital of the European Union, and protests in Spain, Greece, Italy, Latvia, Poland, Portugal and Serbia.

In BRITAIN unemployment hit a 15-year record early this year but is on the wane. (7.8 percent in June 2010, 5.1 at a low in winter 2007-2008).

A historic austerity plan from Conservative Prime Minister David Cameron's government is to see some ministry budgets slashed by 25 percent, a two-year wage freeze for some civil servants and retirement age pushed up to 66.

FRANCE saw a record surge in joblessness (10 percent in July 2010, 7.6 percent in spring 2008).

The conservative government plans to slice spending, cut health benefits, target niche tax benefits and progressively push up retirement age, angering trade unions and triggering huge protests.

GERMANY is the only European nation to have avoided massive unemployment thanks notably to the government's "Kurzarbeit" scheme, when it subsidised shorter working hours to help companies make it though the global downturn.

Unemployment increased slightly in 2009 and has since dropped (6.9 percent in July 2010, 7.1 percent in winter 2008).

The government has also announced a cut in long-term jobless payments and aid to young parents.

In GREECE unemployment is at an 11-year high (11 percent in March 2010, 7.5 percent at its low point in spring-summer 2008).

The EU and the International Monetary Fund in April rescued Greece from imminent default with a massive three-year loan, but exacted a pledge of tough austerity reforms in return.

These include a 15 percent wage cut for civil servants and a public service hiring freeze except in health, education and policing.

IRELAND, whose prosperity was based on real estate and low taxes that attracted foreign investors, was the first eurozone nation to enter recession in early 2008. Unemployment there is at a 16-year high (13.6 percent in July 2010, 4.4 percent at its lowest point in 2007).

Last year saw two successive austerity plans with a general decrease in welfare benefits and a five to 15 percent cutback in civil servant wages.

In ITALY joblessness has sharply increased since mid 2009 but is back on the decline since June this year (8.4 percent in July 2010, 5.8 percent at its lowest point in 2007).

The right-wing government has announced a brace of austerity measures with civil service jobs in the front line (three-year wage freeze). There is likely to be a shortage of health sector workers due to a hiring freeze. In the private sector the retirement age will be progressively pushed up.

POLAND, though the only European country to see growth in 2009 also recorded an increase in unemployment (9.4 percent in July 2010 against 6.9 percent in autumn 2008). Value-added tax is to increase by one point to 23 percent in 2011 for a period of at least three years.

In SPAIN, unemployment has more than doubled (20.3 percent in July 2010, 7.9 percent in spring 2007). The country's labour laws are currently under review to ease flexi-time and hiring and firing.

The socialist government has issued two drastic cutback schemes, including a hike in value-added tax, a cut in ministry budgets, a freeze on pensions, a drop in civil servant wages and no more special benefit schemes such as "baby cheques" and handouts to the long-term unemployed.


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