Call for reforms to halt high unemployment

EUROPE is in for years of low growth and high unemployment unless countries carry out major reforms, the EU’s economics chief Olli Rehn has warned.

He painted a picture of near stagnation with growth at best of 1.5% and unemployment stuck at about 8% even after cyclical recovery if there are no structural reforms.

“This would erode the foundations of our social market economy and drain the resources to take care of the people in need of support,” Mr Rehn said.