Turkey’s İstanbul Planning Agency (IPA) affiliated with İstanbul Metropolitan Municipality issued the December 2020 report of “İstanbul Barometer,” which takes the pulse of İstanbul in many topics from the domestic agenda of İstanbul people to their economic preferences.
According to the results of the December report prepared by phone calls with 827 residents of İstanbul, the rate of respondents who think the economy will worsen in the near term in Turkey decreased to 49% compared to October and November.
The rate of those who think that the economy will improve in the near future and its course will not change increased to 25.1% and 25.9% compared to November.
The rate of those who think their own economy will deteriorate in the near future was 49.9%, the rate of those who think it will improve was 20%, and the rate of those who think that the course will not change was measured 30.1%.
56.5% of the participants stated that they could not earn enough to make a living in December, 39.7% said that they earned enough to make a living. Only 3.8% of the participants stated that they could save this month. Compared to November, it was observed that the rate of those who could not make a living decreased.
Compared to November, borrowing and lending rates increased. Borrowers were 46.6%, lenders were 5.5%, both borrowers and lenders were 2.2%, and those who didn't do both were 45.7%.
31.3% of the participants stated that they could not pay the entire credit card debt, while 42% stated that they paid the minimum payment due. Compared to October and November, it was observed that the rate of those who paid the whole credit card debt decreased, while the rate of those who stated that they paid the minimum payment due increased.
70.9% of the participants stated that they would not be able to meet an unexpected urgent expense of 1 thousand Turkish liras and 85.3% of 5 thousand Turkish liras by their own means. There is a decrease in the rate of those who said they could not afford it compared to November.
49.7% of the participants stated that they work, and 80.1% stated that they have an income earner in their household. 69.8% of the employees stated that they are satisfied with their job while 20.6% of them stated that they were not satisfied, and 27.3% of them stated that they fear being fired.
37.2% of the participants stated that they are doing housework, 19.5% are retired, and 15.2% stated that they cannot find a job. 69.1% of the group that cannot find a job stated that they do not believe that they would find a job soon. This rate decreased compared to November.
Turkish Statistical Institute (TURKSTAT) also revealed the results of Household Labour Force Survey October 2020 across Turkey.
According to TURKSTAT, the narrow-defined number of unemployed people decreased by 391 thousand people in October 2020 compared to the same period of the previous year, and reached 4 million 5 thousand people. The narrow unemployment rate was 12.7% with a 0.7% decrease.
According to The Research Institute of the Confederation of Progressive Trade Unions of Turkey (DİSK-AR), narrow unemployment data do not reflect the real situation due to the dismissal ban and the calculation method of TURKSTAT.
While the broad-defined unemployment rate calculated by DİSK-AR based on the details of TURKSTAT data was 27%, the number of broad-defined unemployed increased by 2 million 379 thousand to 9 million 681 thousand. The number of those who are not looking for a job but ready to work increased from 2 million 175 thousand to 4 million 348 thousand.
The number of unemployed people who lost hope increased from 668 thousand to 1 million 511 thousand. Due to the coronavirus pandemic, time-related underemployment (employees working less than normal working hours) increased from 351 thousand to 1 million 246 thousand. The report says that “Narrow-defined unemployment calculation of TURKSTAT does not reflect job loss during the pandemic.”
According to TURKSTAT, the labor force decreased by 1 million 288 thousand people in October 2020 compared to the same period of the previous year, and decreased to 31 million 452 thousand people. The labor force participation rate decreased to 50% with a 3.0 points fall.
Those not in the labor force increased from 29 million 96 thousand to 31 million 483 thousand. 2 million 467 thousand people left the labor market. The number of employed people decreased by 896 thousand people to 27 million 447 thousand people in October 2020, compared to the same period of the previous year, and the employment rate decreased by 2.3 points to 43.6%.