January layoffs were all-time high

The Employment Service predicts more than 260,000 jobseekers by the end of 2009.

19,719 people lost their jobs in January 2009, the highest ever number of layoffs in Israel in a single month, the Israel National Employment Service reported today. The previous record was the previous month, December 2008, when 17,499 people lost their jobs.

Prior to the current economic crisis, layoffs averaged about 10,000 per month, and hiring more than balanced the layoffs. This is no longer the case.

The Employment Service also reports that the number of jobseekers with at least one day's unemployment rose by 3.8% to 215,000 in January from 207,200 in December. The number of jobseekers with degrees rose by 9.9%.

However, it is possible that many jobseekers found new jobs fairly quickly. The number of jobseekers with at least two day's unemployment totaled 192,400 in January.

April 2008 marks the turnaround in the unemployment trend, after four years of steady reduction in the unemployment rate. In the ten months since April, the number of unemployed has increased by 12.9%.

The Employment Service predicts that the number of jobseekers will exceed 260,000 by the end of 2009. This figure is based on the Bank of Israel's growth forecast and current Employment Service trend figures.

Published by Globes [online], Israel business news - www.globes-online.com - on February 17, 2009

© Copyright of Globes Publisher Itonut (1983) Ltd. 2009

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