The Tertiary Education Union has an interesting piece on an ILO report. It’s a short post with a lot of information in it, I hope they don’t mind if we reproduce the whole post here:
ILO WARNS AGAINST NEW AGE OF AUSTERITY
Brace for more austerity in 2016, warns the International Labour Organisation (ILO).
A new report by the ILO that looks at financial trends of 187 countries from 2010 to 2020 argues the world could face a second ‘adjustment shock’ next year and ensuing austerity measures. The study says 132 countries, mostly in the developing world, could suffer.
International Monetary Fund (IMF) projections show that a second major period of governments cutting their spending. Overall, the IMF expects 132 countries to cut budgets in terms of gross domestic product (GDP), including New Zealand.
Spending cuts will affect more than two-thirds of all countries annually, affecting more than six billion people or nearly 80 percent of the global population by 2020.
Recent IMF country reports indicates that governments are considering a range of austerity measures, such as wage cuts and/or caps, including the salaries of education, health and other public sector workers (in 130 countries); pension reforms (in 105 countries); and healthcare reforms (in 56 countries). The report names New Zealand engaging in many of these measures.
A United Nations Global Policy Model indicates that the expected spending cuts will harm GDP and employment in all regions. Compared to a scenario without spending contraction, global GDP is set to be 5.5 percent lower by 2020 further resulting in a net loss of 12 million jobs.
The original is by the Tertiary Education Union.