An advocacy group for the unemployed yesterday urged the government to do more for those without jobs at a time of rising unemployment, especially those who have been without work for more than six months.
Directorate-General of Budget, Accounting and Statistics (DGBAS) figures show that at the end of September 144,000 people had been unemployed for more than six months, 20,000 more than at the same time last year. Among them, 66,000 were classified as long-term jobless, meaning they had been without work for more than a year.
The Council of Labor Affairs’ Bureau of Employment and Vocational Training has long had diverse measures to promote job creation for the long-term jobless, including subsidizing private businesses to hire those who have been unemployed for more than five months.
The bureau also provides them with training to gain new skills that will better meet the demands of the labor market, a council official said.
However, Taiwan Labor Front secretary-general Son Yu-lian (孫友聯) criticized the measures, saying that most long-term unemployed were middle-aged or older, and that vocational training had only a limited effect as some basic skills, such as word processing, presented technical challenges.
He said the nation’s persistently high jobless rate indicated that unemployment in the country was the result not only of cyclical unemployment caused by the global economic downturn, but also of structural unemployment.
Structural unemployment occurs when job seekers’ skills do not match employer demands in the labor market, generally because of structural changes in the economy.
Son said he was skeptical about a new Council of Labor Affairs measure to subsidize businesses for six months that hire workers who have been unemployed for more than three months.
“The measures seem to help many people, especially employers who need short-term manpower, but the structural problem cannot be solved with short-term subsidies,” he said, adding that he expected the unemployment rate to remain high until next year.
He said the government should create long-term job opportunities in the area of public service, such as tour guides and traffic conductors, and extend the period during which those without work are eligible for unemployment benefits.
Currently, people who lose their job can apply for unemployment benefits equal to 60 percent of the average monthly insured wage for up to six months under the labor insurance program.
DGBAS figures show the unemployment rate climbed to 4.27 percent in September, marking the highest level for the same period in the past four years, with 464,000 people out of work.
The DGBAS blamed the global economic downturn for the high unemployment rate, as 31 percent of the jobless, or 145,000 people, have lost their jobs because of businesses closing or downsizing.
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