April 18, 2012

Asia: The Same Growth With Less Jobs

As a result of new labour-saving technologies, economic growth in Asia brings less benefits to employees nowadays.

The Asian Development Bank reports that the share of gains in productivity going to workers has decreased since the 1990s. This implies that a given level of growth produces fewer jobs than it used to do in the past.

For example, in Pakistan an additional percentage point of growth increased employment by almost 1.1 % during the 1990s. Today however, a similar increase in growth would only raise employment by 0.7 %.

There are signals that this trend may change, as when economies mature the low-productivity service sector tends to expand.

Read full article: Employment and growth in Asia >>

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