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Unemployment in Euro-zone reaches its highest level in a decade

Unemployment in the 16-member Euro-zone jumped more than forecast in May to reach its highest level in more than a decade, according to the European Union’s (EU) statistics office, Eurostat.

The May increase pushed seasonally adjusted unemployment up by 273,000 to 9.5% compared with a 9.3% in April, according to Eurostat, amid concerns that the lay-offs will surge by the end of the year in the wake of the global recession. In May 2008, Euro-zone unemployment stood at 7.4%.

Eurostat said May’s unemployment rate in the broader 27-member EU edged up to 8.9% from 8.7% in April. That was in particular as a result of unemployment in Central Europe as well as in Spain. The recent data showed the May jobless rate in Spain hit 18.7%, 16.3% in Latvia and 15.6% in Estonia.

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