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The number of lost jobs in the Danish capital is among the highest in the country
In a report released last week by the Danish Chamber of Commerce, it was highlighted that two municipalities in Denmark will be facing a tough road to recovery in the aftermath of the coronavirus pandemic. Both Copenhagen and Tårnby lost thousands of full-time jobs during the height of the crisis, severely hindering their post-corona development.
Over the last few months, over 40,000 jobs have been lost in Denmark. Of those, 16,900 have disappeared in Copenhagen and Tårnby alone, meaning that the two municipalities account for around 4 of each 10 jobs lost in the entire country.
According to the Danish Chamber of Commerce, the reasons for this decline are structural. The Copenhagen Airport, for example, is located near Tårnby municipality. With the aviation industry around the world taking an enormous hit, this has resulted in disaster for the entire community around the airport.
In Copenhagen, meanwhile, the reasons are related to the struggles of the tourism sector. With restrictions in place – and with new ones coming and going each day, there is no sign of trouble abating, which would lead to further issues down the line.
The types of problems that the two municipalities are faced with will not be remedied easily according to the Danish Chamber of Commerce. Experts believe that not only have Copenhagen and Tårnby suffered the most from the crisis, but that they will also take the longest time to recover.
According to Tore Stramer, the Chamber of Commerce’s chief economist, the best way to remedy the situation, for now, is to increase liquidity for companies and to support citizens in order to drive up consumption. Such actions, however, must also be met with a long-term strategy that will address the structural problems that the local economies face and will make them more resilient to such crises in the future.
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