A new report from the Economic Council of the Labor Movement (ECLM) has predicted that many of the jobs lost as a result of the Coronavirus crisis will not return soon.
The report (here in Danish) showed that only 60 percent of lost jobs are expected to return by the end of 2021.
“GDP fell by almost 7 per cent in the second quarter alone, which is the largest quarterly decline measured by Statistics Denmark since quarterly national accounts began to be kept,” the report was found.
“The decline has been far more brutal than that which followed in the wake of the financial crisis, which took six quarters to reduce GDP by 7 percent.”
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Will not recover overnight
The forecast indicated that there would be 35,000 fewer jobs in the private sector in Denmark by the end of next year compared to the end of 2019.
The expectation is that 58,000 jobs will be recovered between the third quarter of 2020 and the end of 2021 – 60 percent of the jobs lost during the crisis.
โOn the one hand, it is positive that things are starting to light up for the Danish economy after the deep recession. But on the other hand, we must be aware that it will still be difficult to restore the economy, “he said. ECLM Economist, Erik Bjรธrsted.
Source: The Nordic Page