Record increase in restructuring-related unemployment in June

The unemployment in June was 3.68 million, or 5.4 percent in a survey published by the Public Management Ministry on July 30.

Of this, 1.53 million people left their jobs "involuntarily" due to corporate restructuring or bankruptcies. The increase in such involuntary unemployment in June was 610,000, the highest ever. These statistics undermine the government argument that economic recovery is in progress.

The ministry also published its first survey result on the income of the unemployed and their job-seeking activities. The study shows that 1.9 million people in June remained without jobs and income. Of this, 1.14 million were under 34 years old.

Unemployment benefits were available to only 770,000 of the unemployed.

Under the prolonged economic recession, 270,000 people were unable to find jobs even after their terms of unemployment benefits expired. This is a sign that the period of unemployment has become longer.

The ministry's survey on the work force shows that the number of regular employees in June was 45.7 million, a decrease of 1.25 million from a year ago. In May and June 2002, regular workers declined by over a million respectively.

In contrast, temporary employees increased by 500,000 to 6 million. The tendency of such employees to increase suggests that corporations are further promoting moves to replace regular employees with irregular employees. (end)