1. Labour market indicators ESTP course -MIP Luxembourg 1-3 December 2015 Riccardo Gatto Eurostat – MIP Team

2. Eurostat OUTLINE Labour market indicators Activity rate Long run unemployment rate Youth unemployment rate Conclusions

3. Eurostat Activity rate (AR) common concepts and definitions What the activity is? Common feeling versus formal definition Economic versus Social concept Possible sources of information – The LFS

4. Eurostat Activity rate (AR) – common concepts and definitions

5. Eurostat Activity rate (AR) common concepts and definitions

6. Eurostat Activity rate (AR) common concepts and definitions Why the activity is interesting? Activity vs. Employment (EU 28)

7. Eurostat Activity rate (AR) – common concepts and definitions

8. Eurostat Activity rate (AR) common concepts and definitions Economic implications Potential labour force Social implications discouraged workers (additional indicators)

9. Eurostat AR for MIP AR as a New employment indicators The three year change in p.p. The -0.2 p.p. threshold

10. Eurostat AR for MIP

11. Eurostat AR for MIP Some facts MINDenmark -1.2 (rate: 78.1) Min rateItaly 63.9 MAXHungary +4.6 (rate: 67.0) Max rateSweden 81.5 MedianFrance and UK +1.25 Over threshold26 MS (93%) Under Threshold2 MS (7%)

12. Eurostat AR for MIP

13. Eurostat AR for MIP Activity Rate 3y change in p.p.

14. Eurostat Dissemination Metadata All countries covered – under regulation Precision requirement also under regulation Revision – rare event Quality reports

15. Eurostat Long-term unempl. rate (LTUR) common concepts and definitions What the long-term unemployment is? Common feeling versus formal definition Economic versus Social concept Possible sources of information – The LFS

16. Eurostat Long-term unempl. rate (LTUR) common concepts and definitions

17. Eurostat Long-term unempl. rate (LTUR) common concepts and definitions

18. Eurostat Long-term unempl. rate (LTUR) common concepts and definitions Why the long term unempl. is interesting? LTUR vs. UR (EU 28)

19. Eurostat Long-term unempl. rate (LTUR) common concepts and definitions

20. Eurostat Long-term unempl. rate (LTUR) common concepts and definitions Economic implications human capital loss resources wasted Social implications reallocation problems

21. Eurostat LTUR for MIP LTUR as a New employment indicators The three year change in p.p. The 0.5 p.p. threshold

22. Eurostat AR for MIP

23. Eurostat LTUR for MIP Some facts MINLatvia -4.1 (rate: 4.7) Min rateSweden 1.5 MAXGreece +10.7 (rate: 19.5) Max rateGreece 19.5 MedianPoland and Finland +0.2 Over threshold11 MS (39%) Under Threshold17 MS (61%)

24. Eurostat LTUR for MIP

25. Eurostat Dissemination Metadata All countries covered – under regulation Precision requirement also under regulation Revision – rare event Quality reports

26. Eurostat Youth unempl. rate (YUR) common concepts and definitions What the youth unemployment is? Common feeling versus formal definition Economic versus Social concept Possible sources of information – The LFS

27. Eurostat Youth unempl. rate (YUR) common concepts and definitions

28. Eurostat Youth unempl. rate (YUR) common concepts and definitions

29. Eurostat Youth unempl. rate (YUR) common concepts and definitions Why the youth unemployment is interesting? YUR vs. UR (EU 28)

30. Eurostat Youth unempl. rate (YUR) concepts and definitions

31. Eurostat Youth unempl. rate (YUR) common concepts and definitions Economic implications lack of accumulation of human capital waste of resources Social implications delayed start of working life – delay in everything else frustrating beginning

32. Eurostat YUR for MIP YUR as a New employment indicators The three year change in p.p. The 0.2 p.p. threshold

33. Eurostat AR for MIP

34. Eurostat YUR for MIP Some facts MINLithuania -13.3 (rate: 19.3) Min rateGermany 7.7 MAXCyprus +13.6 (rate: 36.0) Max rateSpain 53.2 MedianSweden and Romania +0.1 Over threshold13 MS (46%) Under Threshold15 MS (54%)

35. Eurostat YUR for MIP

36. Eurostat Dissemination Metadata All countries covered – under regulation Precision requirement also under regulation Revision – rare event Quality reports

37. Eurostat Conclusions New labour market indicators Under regulation / Data and metadata available on Eurostat website Headline indicators in new employment indicators section

38. Eurostat Your turn