EU at Risk of Major Job Losses Amid Energy Price Surge Tied to Iran Conflict
Impact of Energy Price Surge on EU Employment
BRUSSELS, June 3 (Reuters) - European automotive, construction, metals, chemicals and transport sectors could lose up to 1.3 million jobs this year as a result of a surge in energy prices caused by the U.S.-Iran conflict, Labour Commissioner Roxana Minzatu said on Wednesday. "Due to the war in the Middle East, up to 1.3 million jobs are at risk and we are talking about jobs in energy-intensive industry, particularly," Minzatu told a news conference.
Sector-Specific Job Loss Estimates
Automotive Industry
• The EU automotive sector could face the biggest layoffs of up to 600,000, the European Commission estimated.
Construction, Metals, Chemicals, and Transport
• Construction, metals, chemicals, transport could lose 56,000 jobs.
Battery and Solar Manufacturing
• Some 85,000 jobs in battery projects could be at risk and 58,852 jobs in solar manufacturing.
Steel Sector and Low-Carbon Measures
• Another 4,500 jobs could go in the steel sector because of low-carbon measures.
Broader Economic and Social Impacts
Effect on Low-Income Households
• Low-income households could spend an additional 1.4% of income on transport fuel.
Employment in Manufacturing and Services
• The EU manufacturing sector employs around 30 million people, while services provide almost 87 million jobs.
Reporting and Editing
(Reporting by Jan StrupczewskiEditing by Gareth Jones)
