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Türkiye's unemployment rate dips to 9.5%, lowest since 2014

by Daily Sabah with Agencies

ISTANBUL Jul 10, 2023 - 10:42 am GMT+3
People walk at the famed Istiklal Avenue in Istanbul, Türkiye, June 29, 2023. (EPA Photo)
People walk at the famed Istiklal Avenue in Istanbul, Türkiye, June 29, 2023. (EPA Photo)
by Daily Sabah with Agencies Jul 10, 2023 10:42 am

The unemployment rate in Türkiye edged down 0.5 percentage points month-over-month to 9.5% in May, official data showed on Monday.

The figure marks the lowest level since March 2014 and is down from a revised 10% in April, according to the Turkish Statistical Institute (TurkStat) data.

The nation's jobless rate fell by 193,000 people to nearly 3.3 million in May on a monthly basis, official figures showed.

The unemployment rate for men was 7.7%, while 13% for women in May.

The data also showed a seasonally adjusted measure of labor under-utilization fell 1.2 percentage points to 22.5%.

The labor under-utilization measure has slid after peaking at 29.6% in January 2021 due to the economic fallout from pandemic measures but has risen slightly in recent months.

The government had endorsed a monetary easing to boost exports and investments as part of policies that it reversed since President Recep Tayyip Erdoğan's reelection in May.

The stimulus helped unemployment drop from nearly 14% in the last two years. It significantly hiked minimum wage and spent record levels on social aid, helping keep economic growth strong at above 5% last year.

The spending drive aimed at safeguarding households from stubborn inflation, which lastly eased to just above 38% in June, a significant regress from a 24-year peak of over 85% in October.

The TurkStat said the employment rate remained unchanged at 48.5% in May. This rate stood at 66% for men and 31.4% for women.

The number of employed persons increased by 63,000 to 31.7 million, the data showed.

"We will continue our fight against unemployment with determination by increasing our employment numbers more and more every day," Labor and Social Security Minister Vedat Işıkhan wrote on Twitter.

The number of persons in the labor force realized as more than 35 million, with a 130,000 decrease from April.

The TurkStat data showed the labor force participation rate in May dropped to 53.6% from 53.9% a month earlier. This rate stood at 71.5% for men and at 36.1% for women.

The youth unemployment rate, for the 15-24 age group, was 17%, down 1.6 percentage points month-over-month in May. This rate came in at 14.3% for men and 22.3% for women.

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  • Last Update: Jul 10, 2023 3:06 pm
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