The International Labor Organization has sounded the alarm over a looming employment crisis, blaming President Trump’s aggressive trade agenda for a projected drop in global job creation in 2025.
Only 53 million new jobs are expected worldwide, down from 60 million, with over 84 million existing roles now at risk, especially in Asia, Canada, and Mexico, due to heightened tariffs and economic uncertainty.
The International Labour Organization (ILO), a specialized agency of the United Nations, has raised serious concerns over a looming global employment crisis, citing the aggressive trade policies of U.S. President Donald Trump as a key contributing factor. In a report released on Wednesday, the ILO projected a major decline in job creation for the year 2025, with global economic instability expected to affect millions of workers across continents.
According to the ILO, only 53 million jobs are expected to be created globally in 2025, a sharp decline from the previously estimated 60 million. This reduction of 7 million potential jobs is largely attributed to intensifying geopolitical tensions and significant trade disruptions, which are being exacerbated by President Trump’s recent tariff escalations and protectionist economic stance.
The ILO report draws upon economic data from the International Monetary Fund (IMF), which in April downgraded the global GDP growth forecast from 3.2% to 2.8%. This downward revision reflects growing concerns about the ripple effects of ongoing trade conflicts and economic nationalism, particularly as major economies reevaluate their trade partnerships and supply chains.
A striking detail in the ILO’s findings is the vulnerability of an estimated 84 million jobs across 71 countries, all of which are directly or indirectly dependent on consumer demand from the United States. These jobs span various sectors including manufacturing, agriculture, and services, highlighting the extensive reach of U.S. economic influence. The Asia-Pacific region stands to be the hardest hit, with around 56 million jobs at risk, followed by Canada and Mexico, which together could see over 13 million jobs negatively affected.
“Workers tied to US consumption and investment demand now face elevated risks of partial or total income loss due to higher tariffs and the unpredictability of future trade measures,” the ILO report cautioned, underscoring the fragile state of global employment as governments and businesses navigate increasingly uncertain trade environments.
Since retaking office in January 2025, President Trump has pursued an aggressive trade agenda reminiscent of his first term. He has significantly increased import duties on critical goods such as steel, aluminum, and automobiles, and has issued threats to introduce “reciprocal tariffs” as early as July 9, should the United States fail to secure what he deems favorable new trade agreements. These unilateral measures have drawn criticism from economists, labor groups, and international policymakers, who warn that such moves may do more harm than good in an interconnected global economy.
Businesses across the globe, faced with policy instability and potential retaliatory tariffs, are expected to tighten their budgets and reduce hiring efforts. The uncertainty has also prompted delays in investment decisions, further weakening employment prospects, especially in export-oriented industries.
ILO Director General Gilbert Houngbo echoed these concerns, saying, “The global economy is growing at a slower pace than we had anticipated. If geopolitical tensions and trade disruptions continue, they will most certainly have negative ripple effects on labor markets worldwide.”
With job creation stagnating and global trade relations under strain, the ILO is urging world leaders to prioritize multilateral cooperation and policy stability to safeguard workers and promote inclusive economic growth. As 2025 unfolds, the organization warns that unless urgent action is taken, millions of livelihoods could be put at risk.
