The International Labour Organization has assessed that the global economy will experience rising inequality and unemployment that may lead to social instabilities.

In its World of Work Report 2013 released Monday, the ILO says emerging and developing economies continue to face still-fragile signs of improvement while many advanced economies continue to face high or even rising unemployment and increasing inequalities.

It also said corporate profitability has returned to pre-crisis levels in many countries but investment is still below pre-crisis levels in most advanced economies. It says the failure to translate profits into investment in advanced economies is holding back employment recovery.

The report says executive compensation at large firms has been resilient while new jobs are not being created and millions are losing jobs.

It forecast that the more advanced an economy, the larger the number of people who will lose their jobs, and the vicious cycle of heightened social jitters will repeat for several years.

It also predicts the employment rate in advanced nations won't recover to pre-crisis levels even past 2017, while the employment rate in emerging nations returns to their pre-crisis levels by 2015.