Turkey’s seasonally adjusted unemployment rate spiked to 9.2% in June from 8.4% in May. The idle labour force ratio, which consists of time-dependent underemployment, potential labour force and unemployed, increased by 3.8 points compared to the previous month and reached 29.2% in June 2024. The youth unemployment rate jumped to 17.6% in July from 15.9% in the previous month.
Starting from the second half of 2024 and throughout in 2025, when the economy is expected to stagnate, we will watch the unemployment rate gradually rise to 11-12%. With the end of year CPI inflation to slow down to 43-45% from its peak of 75% in May 2024, the central bank of Turkey is likely to start easing the policy rate in November -December from the current 50% (simple) rate.
In the statement made by the Turkish Statistical Institute (TURKSTAT), according to the results of the Household Labour Force Survey; It was stated that the number of unemployed people aged 15 and over increased by 234 thousand people in June 2024 compared to the previous month and reached 3 million 305 thousand people. Unemployment rate increased by 0.7 points to 9.2%. Unemployment rate was estimated as 7.6% for men and 12.4% for women.
Seasonally adjusted employment rate was 49.3
In June 2024, the number of employed people decreased by 341 thousand people compared to the previous month and became 32 million 522 thousand people, while the employment rate decreased by 0.6 points to 49.3%. This rate was 66.9% for men and 32.1% for women.
Seasonally adjusted labour force participation rate was 54.4
In June 2024, labour force decreased by 107 thousand people compared to the previous month and became 35 million 827 thousand people, while labour force participation rate decreased by 0.2 points to 54.4%. Labour force participation rate.
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