The jobless rate in Japan hit another record due to COVID-19. (Image via The Straits Times)

Survey: Japan job market hit hard by COVID-19

According to the government data on Friday, the unemployment rate in August rose to its highest level in over three years, while job availability fell to its lowest level in more than 6 years. Once more, it was the effect of the novel coronavirus disease (COVID-19) pandemic on the nation. The figures were shown after the new Prime Minister (PM) of Japan, Yoshihide Suga, promised to keep jobs, companies in business, and help Japan's economy to recover from COVID-19 while taking measures to curb the infection.

The data also bashed the optimism brought by recent data of factory output and business sentiment that showed the otherwise economic recovery. The Labour Ministry tabulated the jobless rate rose to 3% in August, the highest number since May 2017, proving the analysts' median forecast true. Meanwhile, the jobs-to-applicants ratio fell to 1.04%, the same level once seen in January 2014. In July, it was 1.08%, ran 0.03% from the median forecast of 1.05%.

The bleak condition in the jobs market will be another hurdle for the Japanese government to support small and mid-sized companies in order to address unemployment. Furthermore, the current economic contraction in Japan is in its worst since post-war as COVID-19 shook international and domestic demands.

Source: https://bit.ly/33k8UAc