These are steep challenges. But this moment also brings a once-in-a-lifetime opportunity to rebuild more resilient labour markets, addressing long-standing structural issues that have been exacerbated by the COVID-19 crisis. Failing to address inequality and exclusion now is likely to result in deeper social divisions and have a negative impact on productivity and the economic recovery.
After previous crises, most countries quickly tightened the public purse strings. This time, however, countries are committing unprecedented resources to the recovery over the next 5 to 10 years. The United States, for example, has pledged trillions of US dollars, while the European Union is borrowing on behalf of its member countries for the first time to support often large national recovery and resilience plans. Investing in productivity and jobs will help get people back into work.