Global Unemployment : 10 Countries with Highest Unemployment Rates

The unemployment rate includes those who are currently out of work but have the capacity to work,

The unemployment rate is defined as the ratio of unemployed employees in the overall labour force. The unemployment rate includes those who are currently out of work but have the capacity to work. When comparing unemployment rates between countries, it is critical to remember that it is not necessarily an apples-to-apples comparison. For starters, not every country defines unemployment the same way—for example, some countries define unemployment as being able to work but not actively employed. However, in some nations, a person is only considered unemployed if they are actively looking for work. Unemployed people are those who are not working and are not seeking employment. Clearly, these various definitions will have an effect on the unemployment rates reported by those countries.

The unemployment rate Is the number of people in the labour force who are looking for work but are unable to find it. This figure excludes students and retirees because they are not seeking for work, as well as persons who have given up looking for work (known as discouraged workers). However, comparing international unemployment rates can be difficult because different countries use different criteria for defining unemployed.

Unemployment has a variety of negative consequences, including increased sadness and other mental health issues, increased crime rates, decreased overall economic production and consumption, lower rates of volunteers, and skill loss. Surprisingly, extraordinarily low unemployment might result in economic difficulties such as excessive inflation.

Conflict is a major source of unemployment in several countries. Internally Displaced Persons (IDPs) in particular desire to work, but relocation to a different region of the country breaks their business network and places them in a local economy with differing labour demand. Countries with low economic development, as measured by a low GDP per capita, frequently have fewer labour market possibilities, resulting in high unemployment rates.

According to current data, the following are the ten countries with the highest unemployment rates in 2022,

1. South Africa – 29.25%

2. Djibouti – 26.16%

3. Equatorial Guinea – 25.10%

4. Botswana – 24.70%

5. Grenada – 22.60%

6. Eswatini – 22.50%

7. Lesotho – 22.30%

8. Gabon – 20.50%

9. Namibia – 19.70%

10. Curacao – 19.20%

In 2018, the worldwide unemployment rate fell below 5%, the lowest level since the 2008 financial crisis. That percentage, unfortunately, could not last, attributable in large part to the 2020 COVID-19 pandemic. Prior to the COVID-19 pandemic, the US unemployment rate was 3.8%, according to the Bureau of Labor Statistics (February 2020).