Swiss unemployment rate drops in July

Unemployment in Switzerland dropped slightly to 2.5 percent in July because of an overall recovery of the Swiss economy and the seasonal performance of the construction and hotel industries.

Unemployment in Switzerland dropped slightly to 2.5 percent in July because of an overall recovery of the Swiss economy and the seasonal performance of the construction and hotel industries.

The State Secretariat in the Economics Ministry said unemployment fell by 0.1 percentage points. That figure means that there are now 2,277 fewer people out of work.

Overall, 90,122 people were still registered as unemployed.
A government spokesman said the drop was in part due to the fact that Swiss economic growth was slowly picking up after a period of stagnation.

The tourism sector – particularly hotels and restaurants – showed brisk business as the vacation season was in full swing. The construction industry also profited from the expected seasonal expansion of orders, the spokesman said.

The government also welcomed a drop in long-term unemployment, which was down to 26.5 percent in July.

However, Swiss economics professor Christian Marazzi, who teaches at a university in southern canton Ticino, questioned the value of the figures as an economic indicator.

He said the figures no longer accurately described the Swiss labour market, which showed clear signs of “Americanisation.”

Marazzi said an increasing number of workers in Switzerland were experiencing job insecurity and instability.


From staff and wire reports.