‘Euro zone labour shortage could be eased by influx of Ukrainians’

Kiev:  The influx of Ukrainians fleeing the ongoing war could slightly ease the tightness observed in the euro area labour market, according to a monthly report published by the European Central Bank (ECB).

Around 7 million people, mostly women and children, have left Ukraine, said the ECB in the report quoting the UN Refugee Agency (UNHCR), adding that a significant proportion of them is expected to reach the euro zone, reports Xinhua news agency.

Data from the ECB report showed that the war has clearly influenced Ukrainians’ choice of destination countries as 75 per cent of migrants currently live in the euro area, with particularly large numbers in Italy (30 per cent), Germany (18 per cent) and Spain (13 per cent).

However, only 24 per cent of refugees from Ukraine would choose to settle in the euro zone in the pre-crisis years, according to the report.

The unemployment rate of countries in euro zone dropped to a record low since Russia launched its invasion of Ukraine on February 24.

Despite that, refugee access to host country labour markets is often a lengthy process due to the barriers and other frictions, said the report.

–IANS

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