May 8th: Europe Marks Victory Day Over Nazi Germany
Across Europe, May 8th is celebrated as Victory Day, commemorating the Allied triumph over Nazi Germany in World War II
The income gap across generations in Europe has widened to the detriment of young people and without adequate policies, an entire generation may never be able to recover, the International Monetary Fund (IMF) warned on Wednesday, cited by The Brussels Times.
Average income inequality in the European Union (EU) has remained stable since 2007, but a closer look at the data shows that this apparent stability results from two opposing trends. On one hand, the incomes of young people aged 18 to 24 years have stagnated after returning to levels attained before the global economic and final crisis. On the other hand, the incomes of people aged 65 years and above have increased by 10% “as pension benefits were better protected,” the IMF noted in a new study.
To reduce risk of young of young people becoming poor and suffering irreparable income loss, it is essential to facilitate their integration into the labour market, the IMF stresses. The Washington-based institution therefore recommends creating incentives for youthful employment such as reducing social security contributions and taxes on low-wage workers.
"To help improve future job prospects, governments can invest in education and training, which can help young people close the skills gap,” IMF Executive Director Christine Lagarde said on Wednesday. "Without action, a generation may never be able to recover,” Lagarde warned in a blog on inequality and poverty across generations in Europe.
“Today, nearly one in five young people in Europe are still looking for work,” she recalled, stressing that it’s not a matter of pitting one generation against another. "Building an economy that works for young people creates a stronger foundation for everyone,” she explained. “And reducing inequalities across generations goes hand-in-hand with creating sustained growth and rebuilding trust within society.”
The IMF head cited the example of Germany, where apprenticeships and training programmes have helped young people stay in the workplace. Another good example, she said, is Portugal, which exempted its first-time job holders from paying social security taxes for three years. “While youth unemployment remains high, this measure goes in the right direction,” she noted.
We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!
A recent national survey conducted by the Market Links agency reveals that nearly half of Bulgarians, constituting 47% of respondents, hold reservations regarding the anticipated benefits of Bulgaria's adoption of the euro
Bulgaria's aspirations to become the 21st member of the Eurozone have sparked discussions regarding the country's economic readiness, as well as its political and institutional preparedness
The European Central Bank (ECB) has weighed in on Bulgaria's draft Law on the adoption of the euro, signaling the need for revisions to ensure alignment with European regulations
A wave of misinformation regarding Croatia's inflation rates has sparked concerns about the potential consequences of adopting the euro in Bulgaria
Artificial intelligence is changing the world’s economic and political landscapes, pushing every country to increase their AI investments.
As the clock ticks down to midnight tonight, Bulgarians are reminded that April 30th marks the final day for filing their 2023 personal income tax returns
Sofia Airport's Terminal 3 Construction Set to Begin in Early 2026
COVID-19 Impact: Bulgaria's Grim Milestone as Highest Death Rate in EU