The population grows faster than the economy

Ecuadornews:

Theaverage annual growth of the Ecuadorian population is about 2%, according tofigures from the National Institute of Statistics and Census (INEC), usedyesterday by the consulting company PWC Ecuador to explain one of the reasonsfor the growth of unemployment in September past it was around 4%.

CarlosLoaiza, consulting partner of PWC Ecuador, explained that 2% corresponds toaround 300,000 new Ecuadorians each year; and that this growth is greater thanthat of the economy, which is reflected in the increase in unemployment.

“Threehundred thousand new Ecuadorians who join (each year) and our GDP (GrossDomestic Product) remains practically stable, at the end of the day we havemore inhabitants but a smaller economy size does not mean a lower GDP percapita, it means a country poorer, “analyzed Loaiza, who indicated thatthe estimate of GDP growth for next year is only 1%.

This analysis was part of the presentation in Guayaquil of the results of salary increases in this year, projections for 2019; and a study of employment and competitiveness, based on a survey of 317 companies.

Regarding salary increases this year, Alberto Parra, leader of People and Organization of PWC Ecuador, indicated that it was located at an average of 1.88% nationwide. In multinational companies it stood at 2.03%, while in domestic 1.84%.

Parra said that 84% of the companies consulted made increases this year, and 14% did not. In 2016, 43% of companies increased their salaries, while in 2017, 78% increased them.

On theprojections for 2019, María Teresa Beltrán, also leader of People andOrganization of PWC Ecuador, said that the companies plan to increase salariesby at least 1%, a maximum of 3.70%, which averages 2.06%. (I)

Source: https://www.eluniverso.com/noticias/2018/11/21/nota/7060560/poblacion-crece-mas-rapido-que-economia