Unemployment in April rises sharply

The impact of the novel coronavirus outbreak was reflected in the Slovak labour market in April this year when the registered unemployment rate reached 6.57 percent. Moreover, the number of unemployed people is likely to increase in the near future. April's unemployment statistics surprised UniCredit Bank Czech Republic and Slovakia analyst Ľubomír Koršňák. "We expected a stronger influx of the unemployed in the records, especially in the months of May-June after the expiration of the legal notice periods. An earlier increase could be due to a higher inflow of sole traders and contract agents whose employment contracts are more flexible, but also give a greater expansion of the opportunity to end employment immediately via an agreement," said Koršňák assessing the development in April. Meanwhile, at its session on Wednesday, the Government decided to extend the implementation period of the project to support the preservation of employment during the declared state of emergency. The state will therefore continue to provide financial compensation to employers and self-employed persons affected by the coronavirus crisis.