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Cyprus government forced to act as unemployment rises to a record high

12 January 2012

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Dealing with unemployment is the government’s priority this year as the number of unemployed in Cyprus climbs to a record high.

Government Spokesman Stephanos Stephanou told reporters the government is examining new measures which would create jobs, as unemployment reached a record-breaking 9.1% in November 2011.

Due to the continuing financial crisis and fuelled by the slow growth, unemployment in Cyprus rose to 9.1% according to figures released by Eurostat, marking a 3.1 increase since the previous year.

According to figures released by Cyprus's Statistical Service those out of work in the third quarter of 2011 increased to a total of 30.800 people.

Stephanou said. “The rise of unemployment in Cyprus is a huge problem, however it is not one of the highest in the EU. Cyprus continues to be below the EU average,”

He said the government was also extremely concerned with the situation, and added: '”We are not complacent. We have a problem stemming from the financial crisis while various external factors increase this problem.”

He reinterated that the government has taken measures which enabled the unemployed to find jobs in a different sector, adding that the Minister of Labour has announced measures aiming at strengthening these policies.

''We hope that with the measures to boost growth currently under consideration by the government and which will be announced soon new jobs will be created and that would alleviate the problem,''

 

Last month the government revealed plans to contain rapidly rising unemployment and stimulate economic growth, with ministers saying they want to streamline complicated building permits and introduce incentives for growth in the energy and tourism sector.

Finance Minister Kikis Kazamias said in December the unemployed total had reached unprecedented levels, blaming this on the immigration of workers from other EU countrie.

 

Sylikiotis pointed the finger at Bulgaria and Romania as being mainly responsible for migration of workers to Cyprus.


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