Business

Morning business round-up: Labour market 'alarming'

What made the business news in Asia and Europe this morning? Here's our daily business round-up:

The International Labour Organization has warned that the global employment situation is "alarming" and unlikely to improve soon.

The agency said that austerity measures, especially in advanced economies, were hurting job creation.

That comes as Spain officially re-entered recession amid escalating spending cuts.

The National Statistics Institute said the economy shrank 0.3% over the three months to the end of March, the second consecutive quarterly contraction.

In corporate news, sportswear giant Adidas said that "commercial irregularities" at its Reebok unit in India could cost the firm up to 125m euros ($165m, £101m).

The firm told the BBC it is carrying out an internal investigation. "We will take further steps" when that process has been completed, a spokeswoman said.

Insurance giant Aviva announced it will look again at how much it pays new senior executives after concerns expressed by shareholders.

The concerns centred on whether overall levels of pay accurately reflected shareholder value in the last year.

Media playback is unsupported on your device
Media captionBusiness headlines

The world's biggest brewer, Inbev, reported first quarter profits of $1.7bn, almost double the profit made in the same quarter of 2011.

The brewer said that as well as stronger beer sales, it was helped by lower financing costs and lower taxes.

The Clydesdale and Yorkshire banks will cut 1,400 jobs by 2015, their owner National Australia Bank announced.

NAB blamed a "significant downgrade in the growth prospects of the UK economy".

Over the weekend, Argentine oil firm YPF vowed to keep providing gas supplies as the dispute over its forced nationalisation continues.

The firm said it will keep delivering liquefied natural gas (LNG) to customers, after Repsol decided to cancel deliveries.

The latest edition of Business Daily asks, can soaring chief executive pay be curbed? The team invited Tim Bush from research group Pirc, and Mark Pettman, an executive headhunter, to discuss the question.

Around the BBC