Economics Ministry expects recovery of Latvia's labor market in the second half of 2021

  • 2020-10-21
  • LETA/TBT Staff

RIGA - The recovery of the Latvian labor market might be expected in the second half of next year, Normunds Ozols, a senior economist at the Economic Ministry's analytical service, said in an interview to Latvian Radio. 

The expert indicated that it is hard to make very specific forecasts at the moment because the level of uncertainty remains high, but assuming that the Latvian economy is likely to see a U-shaped recovery, the situation on the labor market might improve in the second half of 2021.

At the same time, Ozols believes that because of automation and digitalization, as well as demographic trends, the number of employed people might not return to the pre-crisis level.

As reported, at the end of September, Latvia's registered unemployment rate was 7.7 percent, or 0.5 percentage points lower than the month before. At the end of September 2020, there wee 70,306 people registered as unemployed in Latvia. Their number dropped by 4,707 from August.