The world of work is going through a difficult and unprecedented crisis today in the light of the Covid-19 pandemic. The outlook for the labor market for 2021 is, unfortunately, “grim” and “highly uncertain”.
Many sectors are affected by the crisis and the consequences are significant for the working class. Certain sectors such as services and freight are at a standstill. Others have seen their activity slowed down, while the construction sector, which provides labor, has been paralyzed for several months.
Thousands of companies have seen their financial situation worsened for stopping their activity for nine months. In transport alone, the SNTF, the Air Algerie company, the Algiers Metro, the SNTMV have lost tens of billions of dinars.
The Minister of Finance estimated the losses of public enterprises due to the health crisis at nearly one billion euros. Those of the private sector have not yet been quantified. But many businesses, including restaurants, cafes or travel agencies, are at risk of going out of business.
They have been closed since March 19 as part of the fight against the Covid-19 epidemic. Better still, the gloomy economic outlook, believe many observers, can only exacerbate social tensions and slow down the revival of activity in the various sectors.
Household consumption is at its lowest because of the erosion of purchasing power. Trade unionists believe that companies that are overwhelmed with debt will struggle to recover and that many workers risk losing their jobs.
A situation that will worsen in 2021 with unemployment which is already seeing its rate increase by five points, officially reaching 15% and nearly 30% among young people.
This implies that there will be no recruitment shortly. On Tuesday, the Minister of Labor pledged to regularize the beneficiaries of pre-employment contracts over a period of two years.
How will he proceed, when the 2021 finance law has not planned much to create budgetary employment positions and that the majority of beneficiaries of these contracts (pre-employment) are in the administration? in the public service and not in economic enterprises?
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