Page 11 - Policy Economic Report - Jan 2026

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

2. Global employment stable but decent jobs in short supply- UN

According to the data compiled for the latest Employment and Social Trends 2026 report, the global
unemployment rate is projected to stay stable at around 4.9 per cent this year, equivalent to some 186
million people out of work. The biggest area of growth is in poorer countries – a reflection of the ageing
population in richer economies, where fewer people of working age are available to enter or remain in
work.

Job growth is projected to be 0.5 per cent in upper middle-income countries as opposed to 3.1 per cent
in low-income nations. However, being employed is not necessarily the same as having a quality job or a
decent wage: nearly 300 million workers are living in extreme poverty, earning less than $3 a day.

It is expected that around 2.1 billion people will be working in the informal sector this year, with limited
access to social protection, rights at work, and job security.

The global job situation for young people in low-income countries is described in the report as “daunting”:
more than a quarter (27.9 per cent) are neither in education, employment, or training. Educated youth
in high-income countries are not immune from uncertainty: the study warns that AI and automation could
make it harder for them to find work and calls for “close monitoring” of the technology. Further, the data
shows that social norms and stereotypes remain entrenched as women are around 24 per cent less likely
than men to participate in the labour force.

Figure 6: Share of youth not in employment, education, or training (NEET) by country income group (%)

Source- United Nations Page | 10

January 2026