The UN News Service reports that around 300 million workers live in extreme poverty, earning less than $3 a day. At the same time, the number of people employed in the informal sector is increasing: by 2026, 2.1 billion people will be working without social protection and labor guarantees.
Low-income countries are showing particularly slow progress, where workers face even harsher working conditions.
The authors of the study note that the slowdown in the transition to more high-tech industries and services is a serious barrier to improving job quality and productivity.
The situation regarding youth unemployment is also concerning: in 2025, the unemployment rate among young people reached 12.4 percent.
Globally, about 260 million young people are neither studying, nor working, nor undergoing vocational training. In low-income countries, this figure reaches 27.9 percent.
The ILO warns that the development of artificial intelligence and automation could exacerbate the situation, especially for educated youth in high-income countries.
Women continue to face systemic barriers related to social norms and stereotypes. They make up only two-fifths of the total workforce and participate in economic activity 24 percent less often than men. Progress in increasing their participation in the economy has virtually stalled.
Moreover, the aging population in developed countries is slowing workforce growth, while in low-income countries, rapid population growth does not lead to the creation of enough jobs.
In 2026, the following employment growth is projected:
- 0.5 percent in middle-income countries;
- 1.8 percent in lower-middle-income countries;
- 3.1 percent in low-income countries.
The ILO warns that the lack of quality jobs could lead to the loss of the demographic dividend for poor countries.
Experts recommend:
- investing in education, skills, and infrastructure;
- reducing employment gaps for youth and women;
- ensuring that global trade promotes decent working conditions;
- mitigating risks associated with debt, AI, and trade uncertainty through coordinated policy.
