Promoting employment recovery while meeting fiscal goals

From the introduction of R. Torres, IILS Director:

This Policy Brief shows that the benefits from adopting and pursuing fiscal
measures in support of jobs are significant. Such measures are crucial for
reducing the lag between the incipient economic rebound and job creation.
Indeed, a premature exit from such measures would weaken the economic recovery, prolong the jobs crisis and, paradoxically, compromise fiscal goals in the medium term. By 2015, a premature exit would lead to lower employment by 4 per cent and worsen fiscal deficits more than would be the case with a job-centred strategy.

The paper also provides concrete examples of how implementation of job-centred measures along the lines of the Global Jobs Pact can promote employment recovery and achieve medium-term fiscal sustainability.

http://www.ilo.org/public/english/bureau/inst/download/promoting.pdf