In late December 2024, 377,000 people or 7.1 percent of the workforce were registered as unemployed with the country's employment agencies. This can be compared to 6.6 percent a year earlier, according to the Employment Agency's monthly statistics. One has to go back to the beginning of 2022 to find higher figures.
"Unemployment increased broadly. Both among women and men, among native-born and foreign-born, as well as among younger and older people, more are registered as unemployed today than a year ago," says Eva Samakovlis, analysis director at the Employment Agency, in a press release.
Fewer new jobs
And even though the recession is described by assessors as relatively mild, it has been quite prolonged. This means that the number of long-term unemployed is clearly increasing again. 150,000 have been without a job for twelve months or more, which is 10,000 more than a year ago.
The demand for labor has been noticeably lower during the year. Almost 50,000 fewer new jobs were reported on average per month to the Employment Agency's job bank during the year, compared to 2023.
Notices of termination decrease
But there are bright spots: Notices of termination have begun to decrease somewhat. In December, nearly 4,300 people were given notice, almost 200 fewer than the same month in 2023. This is a figure that has been trending downward in recent months.
Despite this, and despite the economy being expected to turn around this year, it will take time before it has an impact on the labor market.
"We estimate that unemployment will stop increasing during the first half of 2025 and then gradually decrease as the economy strengthens," says Eva Samakovlis.
