Europe's job market is set to take a turn for the worse in the second half of the year as the economy struggles, the European Commission said today.
'Recent developments such as continuing turmoil in financial markets, rising energy and commodity prices, and falling business and consumer confidence may result in the macroeconomic outlook deteriorating further,' the commission said.
'Economic activity is expected to weaken further in the second half of 2008 and the outlook for employment and unemployment can be expected to turn more unfavourable,' it added.
Earlier this month, the commission estimated that the European economy was teetering on the brink of recession as it struggled to cope with the financial crisis, high commodities prices and a slowdown in major trade partners.
A long, gradual decline in the EU's stubbornly high unemployment level has stalled this year with the average jobless rate across the bloc at 6.8% in both the first and second quarters.
