IPA 2010 Project on Human Resources Development in Albania Project funded by European Union Project implemented by International Labour Organisation IPA 2010 Project on Human Resources Development in Albania Introduction of the new ILO Labour Statistics Standards: Implications for the new Employment and Skills Strategy 2014-2020 Farhad Mehran, ILO Consultant & Pranvera Elezi, INSTAT Tirana, 7 February 2014

Contents International standards on labour statistics Work, employment and labour underutilization Reprocessed LFS results, 2012 Subsistence foodstuff producers Seasonal variations Employment and skills strategy targets Improving INSTAT labour force survey programme

International standards concerning labour statistics ICLS Year Topic 19th ICLS 2013 Statistics of work, employment and labour underutilization … 13th ICLS 1982 Statistics of the economically active population, employment, unemployment and underemployment 8th ICLS 1954 Statistics of the labour force, employment and unemployment 1st ICLS 1923 Statistics of wages and hours of labour, Statistics of industrial accidents, Classification of occupations International Conference of Labour Statisticians (ICLS) http://ilo.org/global/statistics-and-databases/standards-and-guidelines/lang--en/index.htm

Work Activities not involving production of goods or services (begging, stealing), self-care (personal grooming, hygiene) and activities that cannot be performed by another person on one’s own behalf (sleeping, learning, own recreation) Any activity performed by persons of any sex and age to produce goods or to provide services for use by others or for own use All activities Work Own-use production work Employment Unpaid trainee work Volunteer work Other work Other activities Production of goods and services for own final use Work performed for others in exchange for pay or profit Work performed for others without pay to acquire workplace experience or skills Non-compulsory work performed for others without pay Not defined, e.g., unpaid community service and unpaid work by prisoners, when ordered by a court or similar authority ILO, Resolution concerning statistics of work, employment and labour underutilization (Geneva, 19th ICLS, 2013).

Labour force and labour underutilization framework Population Labour force Employed Other employed Time-related underemployed Unemployed Outside the labour force Potential labour force Other outside the labour force Labour underutilization

Subsistence foodstuff producers Albania LFS 2012 (2012 Q2 – 2013 Q1) Working age population (Pop 15+) = 2’228’500 Work force = 1’264’900 Labour force = 997’100 Subsistence foodstuff producers = 309’600 Subsistence foodstuff producers in the labour force = 41’800

Source: INSTAT, Labour force surveys 2012 Q2 to 2013 Q1 Source: INSTAT, Labour force surveys 2012 Q2 to 2013 Q1. Reprocessed data according to the international standards adopted by the 19th International Conference of Labour Statisticians, Geneva, 2013.

Labour force status of the working age population, Albania LFS 2012 Reprocessed 2012 Q2 –2013 Q11 INSTAT 20122 Working age population (15+ yrs) 2’228’500 2’229’700 Labour force 997’100 1’290’600 -Employed 779’800 1’117’100 (time-related underemployed) (47’900) - -Unemployed 217’300 173’400 Outside thelabour force 1’231’400 939’100 (potential labour force) (325’100) Source:1INSTAT, Labour force surveys 2012 Q2 to 2013 Q1. Reprocessed data according to the international standards adopted by the 19th International Conference of Labour Statisticians, Geneva, 2013. 2INSTAT, Labour Market 2011-2012.

Source: INSTAT, Labour force surveys 2012 Q2 to 2013 Q1 Source: INSTAT, Labour force surveys 2012 Q2 to 2013 Q1. Reprocessed data according to the international standards adopted by the 19th International Conference of Labour Statisticians, Geneva, 2013. LU1 = Unemployment rate LU2 = Combined rate of unemployment and time-related underemployment LU3 = Combined rate of unemployment and potential labour force LU4 = Composite rate of labour underutilization

Regional comparison Data may not be comparable due to differences in survey definitions and methods Country Year LFPR Emp-Pop UR Albania 2012 44.7% 35.0% 21.8% Kosovo 36.9% 25.5% 30.9% Macedonia 55.2% 38.1% 31.0% Montenegro 2010 50.1% 40.2% 19.7% Serbia 46.7% 35.5% 23.9% Source: National labour force surveys. For Albania, INSTAT reprocessed LFS data, annual average 2012 Q2 – 2013 Q1. For Kosovo, Macedonia, and Montenegro data derived from ILOSTAT http://www.ilo.org/global/statistics-and-databases/lang--en/index.htm For Serbia, Statistical Office of the Republic of Serbia, LFS 2012.

Source: INSTAT, Labour force surveys 2012 Q2 to 2013 Q1 Source: INSTAT, Labour force surveys 2012 Q2 to 2013 Q1. Reprocessed data according to the international standards adopted by the 19th International Conference of Labour Statisticians, Geneva, 2013. LU1 = Unemployment rate LU2 = Combined rate of unemployment and time-related underemployment LU3 = Combined rate of unemployment and potential labour force LU4 = Composite rate of labour underutilization

Rotation sample design Start of regular pattern Year 1 Year 2 Q1 Q2 Q3 Q4 x 2011 2012 Q1 Q2 Q3 Q4 315 126 Overlap Quarter-to-Quarter 80% Year-to-Year 50% Quarter-same-Quarter 20% PSU 441 567 693 819 630 630 630 630 Household 3528 4536 5544 6552 5040 5040 5040 5040

Employment and Skills Strategy Targets 2012 Baseline Target Employment-to-population ratio LFS 35.0% xxx Informal employment (in non-agriculture employment) 39.6% 30% Work force by main economic sectors Agriculture Industry Services Other not classified by sector 100.0% 48.2% 16.0% 33.0% 2.7% Long-term unemployment share 75.1% 60% Youth unemployment rate (15-24 yrs) 40.3% 20.5% Gender gap in employment 16.4 p.p. 10 p.p. Employment-population ratio(Vocational training grads) 54.7% Employment rate(Vocational training graduates) 15.7% Persons (25-64 yrs) participating in lifelong training 1.1% 4% Labour force participation rate 44.7% - Youth neither in employment nor education or training 31.3% Source: INSTAT, Labour force surveys 2012 Q2 to 2013 Q1. Reprocessed data according to the international standards adopted by the 19th International Conference of Labour Statisticians, Geneva, 2013.

Improving INSTAT labour force survey programme Questionnaire redesign Adoption of a modular approach Sample size and sample allocation Quality reporting Sampling errors Non-sampling errors Use of panel data Gross flow statistics Measurement of job creation Use of administrative sources New registered jobseekers at NES (Monthly trend) Small area statistics (Prefectures and districts) Retrospective adjustment of time series Communication of results

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