“We should feel a mix of great sadness and heightened concern upon seeing the latest unemployment numbers out of Greece,” El Erian, the CEO and Co-CIO of PIMCO, one of the world’s largest global management investment firms and bond managers said.
Greek unemployment rose to a stunning 25.4% in August, setting a new record. More alarming, the jobless rate for 15- to 24-year-olds is 58%. In an article published in CNBC, El Erian says it’s only going to get worse with the jobless lines getting longer.
This is a distressingly sad situation, he said. “While the informal sector can alleviate some of the pressure, it provides only limited relief given the scale and scope of the country’s enormous unemployment crisis – one that speaks to widespread misery while suggesting a high probability of a “lost decade” for Greece (we are already three years into the country’s crisis) and a ‘Lost Generation,'” he added.
The social unrest caused by relentless austerity measures is worsening as well, especially in the aftermath of a new $17.45 billion spending cut and tax hike plan that will leave Greeks with even less disposable income.
(Source: CNBC, Capital)
See all the latest news from Greece and the world at Greekreporter.com. Contact our newsroom to report an update or send your story, photos and videos. Follow GR on Google News and subscribe here to our daily email!
