Japan unemployment rate continues its escalating trend as the global economy continues to worsen with little sign of recovery in the near time.
This is despite the imminent arrival of new multi-billion stimulus package, ready to be unveiled by the Prime Minister Taro Aso some time this week. Last year, Taro already announced a public spending of $122 billion to kick-off, stimulate and drive the world’s second largest economy.
More than 300,000 people in Japan are now jobless, with the unemployment rate staring bleakly at 4.4%, the highest in four years. The job ratio has also gone down deeply. Today, statistically, 100 job seekers will have to fight for every 59 job vacancies available.
Consumer spending has been cut sharply as families are bracing up for one of the country’s worst financial downturn since the War. The household spending has significantly dropped by 3.5% at the turn of year 2009.
Japan relies heavily in export industry, particularly on its best selling consumer products, gadgets and cars with the likes of Toyota, Honda, Sony, Panasonic and other giants leading the way. But as the economic turmoil began to hit, all suffered heavy losses and had to make drastic changes to cut expenditures such as adjusting shifts, shutting down plant temporarily and laying off workers.