(Bloomberg) -- Italy's jobless rate rose higher than estimatedas 81,000 more people sought employment and companies trimmedtheir workforces.
Unemployment hit 10.1 percent in September after a revised 9.8percent the month before. That is far above the euro-area rate,which probably held steady at 8.1 percent last month.
Italy's populist government is counting on its expansiveeconomic program to help trim the unemployment rate to 9.8percent next year, before it drops to 8.6 percent in 2021.
“Italy's budget law will provide tranquility and stability toItaly and is based on producing more jobs,” Deputy PremierMatteo Salvini said last week after the plan was rejected by theEuropean Union.
There were about 34,000 fewer people employed in September, inaddition to those looking for a job. There were 77,000 fewerpermanent workers, while the number on fixed-term contracts roseby 27,000. Youth unemployment rose to 31.6 percent from 31.3percent.
Still after stalling in the third quarter, Italy's economy mayfind it difficult to produce the kind of growth the governmentenvisions.
The unemployment rate reported by statistics agency Istat onWednesday was above the 9.9 percent median of 12 estimates in aBloomberg survey.
Istat originally reported an unemployment rate of 9.7 percent inAugust.
©2018 Bloomberg L.P.
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