In 2024, Morocco’s unemployment rose, with rural areas seeing a significant increase. Economic analysts noted a continuing trend of feminization in unemployment and low job creation post-pandemic. Structural issues were identified, requiring urgent reforms and innovative policies to foster sustainable employment growth in the country, especially for the youth and women.
Moroccan economic analysts and academics convened to evaluate the labor market trends in 2024 and the expected implications of increased unemployment on the economy in 2025. Their analysis revealed a “feminization of unemployment,” particularly pronounced in rural regions, with a reported increase in unemployment rates of 6.3% to 6.8% in rural areas and 16.8% to 16.9% in urban sectors.
Recent data from the High Commission for Planning (HCP) showed a rise in newly unemployed individuals, with those out of work for less than a year increasing from 33.3% to 37.1%. Consequently, the average duration of unemployment slightly dropped from 32 months to 31 months. Despite a fragile economic recovery post-pandemic, the creation of 82,000 jobs in 2024 was insufficient to offset the 157,000 jobs lost in 2023.
Professor Mohamed Adel Ichou from the University of Beni Mellal stated that the unemployment rate escalated to 13.3% in 2024, compared to 13% in 2023, reflecting persistent economic challenges. The youth unemployment rate for those aged 15-24 surged from 35.8% to 36.7%, indicating severe integration issues for women, whose unemployment rose to 19.4%. This trend signals an alarming disconnect between economic growth and job creation, necessitating urgent reforms.
Ichou attributed the rise in unemployment to three primary factors: skill mismatches in the labor market, reliance on traditional sectors prone to economic shifts, and low innovation in the digital economy. He emphasized that without structural reforms, the unemployment rate could exacerbate social instability in 2025. The government must adopt innovative policies to stimulate sustainable job growth.
Professor Zakaria Firano from Mohammed V University highlighted three factors mitigating job creation: ongoing drought impacting agricultural productivity, the low added value generated by non-agricultural sectors, and ineffective investment strategies. Although Morocco invested 28% of its GDP, investment efficiency was low, evidenced by only a 0.8% employment increase per 1% GDP growth.
By the end of 2024, Morocco’s unemployed population reached 1.638 million, a 4% increase attributed primarily to rural unemployment rises. Urban areas also witnessed job losses, particularly in sectors like construction, failing to sustain previous levels of employment. Firano asserted that a development agenda focusing on employment should prioritize job creation and enhance economic resilience.
The persistent unemployment among recent graduates underscores the misalignment between educational outputs and labor market demands. Firano advocated for the development of industries such as renewables, automotive, and aerospace, which could create new avenues for job opportunities, ultimately emphasizing the importance of an employment-driven development strategy.
Morocco’s labor market faces significant challenges as unemployment rates increase, affecting both urban and rural job markets. Analysts are concerned about the ongoing feminization of unemployment, with young people disproportionately impacted. The economy’s sluggish recovery from the pandemic has led to insufficient job creation against a backdrop of job losses, signaling deeper structural issues within the Moroccan workforce. Understanding these dynamics is crucial as the nation navigates economic uncertainties and seeks to enhance job opportunities.
In conclusion, Morocco’s labor market structure has demonstrated alarming increases in unemployment, particularly affecting women and the youth. Analysts emphasize the urgent need for innovative and flexible economic policies, structural reforms, and a focus on new industries to stimulate job growth. Without these critical interventions, rising unemployment may pose significant risks to economic stability and social cohesion in the coming years.
Original Source: www.watanserb.com
