Job markets are defying central bankers’ efforts to cool demand

The strong job market is good for workers but bad for inflation, signalling to the world’s central banks that they cannot ease up

In Ireland, unemployment has dropped to 4.3%. Picture: iStock

Robust labour markets around the world are defying central bankers’ efforts to tamp down inflation, and economists’ predictions that recession is just around the corner.

The strong job market is good for workers, but it is bad for inflation, signalling to the world’s central banks, which are raising interest rates at the most aggressive pace in decades, that they cannot ease up.