Youngsters hardest hit by coronavirus job losses, make more jobless benefit claims
Youngsters have been hardest hit by the coronavirus crisis, with some 139,000 fewer under 26-year-olds currently now in work, according to new figures from national statistics agency CBS.
In February, 1.4 million 15 to 25-year-olds had a job of some sort, but this has now dropped to below 1.3 million, the CBS said.
But the number of 25 to 45-year-olds in work has only gone down by 18,000.
Not all youngsters who have lost their job are officially unemployed – a figure which only includes people who are actively looking for a job. Nevertheless, the youth jobless figure has now gone up from 6.3% in February to 9.5% in May. The unemployment rate has a whole has gone up from 2.9% to 3.6%, the CBS said.
The state benefits agency UWV said on Thursday that the number of new unemployment claims rose by 42,000 in May, compared with 74,000 in April. Here, too, youngsters accounted for the largest share of the new claims with the total tripling in three months.
Despite the fact the increase in claims appears to be slowing, ‘this does not mean we are over the peak,’ UWV economist Rob Witjes said. ‘We don’t know what is ahead, particularly when the government support measures expire in a couple of months.’
Poverty
The Red Cross said on Thursday it had handed out over 10,000 food parcels to people who had been hard hit by coronavirus since mid May. Much of the food in the parcels is made up of surplus potatoes, onions and eggs which have not been sold to the hospitality industry because cafes and restaurants were closed.
Meanwhile, government’s socio-cultural advisory body SCP warned on Thursday that poverty in the Netherlands will rise unless the government takes positive action. The SCP defines poverty as having less than enough money to provide for basic living needs and to participate in society.
It estimates the number of people living in poverty will rise from 5.3% to 6.8% of the population in the coming years, a total of more than one million people.
The report, which suggests the introduction of a basic income system and a simpler supplementary benefit system would cut poverty levels by 60%, was compiled before the start of the coronavirus crisis.
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