Jan 29, 2021 (Nikkei) - Japan's jobs market seems to have dodged a worse fate in December, with the unemployment rate coming in at 2.9%, unchanged from the previous month.
The figure, released by the Statistics Bureau on Friday, represents an increase from 2.2% a year ago. Still, the unemployment rate has been kept relatively low as the government of Prime Minister Yoshihide Suga has pulled out all stops to keep people in jobs and businesses from going under.
The pandemic's effect is most pronounced in sectors such as pubs and restaurants and among casual workers and youths. The number of regular jobs was steady in 2020, while that of non-regular jobs, including part-time positions, declined.
The unemployment rate for those aged 15-24 was 5.1 in December, up 0.3 point from November and was the highest number among all age groups. The figure jumped 1.9 points from a year before, showing that those in the age group suffered the most job losses. The increase in other age groups was largely in line with the average which worsened 0.7 point in 12 months.
Restaurants and hotels axed some 7% of their staff in 2020, the biggest cut among all industries, according to data from the Statistics Bureau. Restaurants have suffered the brunt of two state-of-emergency declarations as a result of the pandemic.
The sector not only accounts for about 6% of total employment in Japan, but is a crucial provider of jobs for young people who might otherwise struggle to pay for further studies or simply to live.
Japan has been hit by a new wave of virus infections since November, and bars and restaurants have been asked to close daily at 8 p.m. from Jan. 8 in Tokyo, Osaka and other metropolitan areas. The government also advised people to work from home and avoid nonessential outings.
