1. LAMAS January 2016
Agenda Item 2.3 Annual update of the gross hourly earnings Eusebio Bezzina

2. Main items discussed: Earnings data: state of play
Possible update in between SES reference years
First tests and way-forward

3. I. Earnings data – state of play (i)
4-yearly Structure of Earnings Survey (SES)
reference years available: 2002, 2006, 2010,
rich data source (enterprise-employee characteristics)
+ microdata useful to researchers / other DGs
lack of availability for intermediate years
- poor timeliness (legal: T + 18months)
(full availability: T months)

4. I. Earnings data – state of play (ii)
Annual gross earnings data collection
+ annual frequency
gentlemen's agreement
lack of good quality and EU harmonisation
(size-class, employees' profile…)
part of a burden reduction exercise
discontinued since 2011

5. II. Possible annual update
4-yearly SES data extrapolated using annual LCI data
+ enrich timeliness and frequency of earnings data
+ benchmark for researchers / continuation of series
+ no added burden on Member States (NSIs)
slight difference in population: SES (10+) / LCI (1+)
earnings in terms of hours: paid (SES) / worked (LCI)
- national annual data might not fit Eurostat estimates

6. III. First tests and way-forward (i)
Method
Extrapolated hourly earnings for SES-intermediate years
SES: mean gross hourly earnings (B43) in NAC
LCI: annual index for wages and salaries (D11)
2010/2006 growth rates fit for majority of EU (<10 p.p.)
Biggest discrepancies in:
Slovakia (28 p.p.)
Hungary (13 p.p.)
Czech Republic (11 p.p.)
The reasons for such discrepancies could be due to different sources and methodological differences such as sampling techniques
(ex. dedicated 4-yearly SES vs. quarterly LCI using administrative data sources)

7. III. First tests and way-forward (ii)
Results (business economy)

8. III. First tests and way-forward (ii)
Results (whole economy except public admin.)

9. III. First tests and way-forward (iii)
September 2016
2014 extrapolated data can be compared with the actual SES 2014 results for all countries
October 2016
Decision, whether to implement, to be taken at LAMAS

10. III. First tests and way-forward (iii)
In case LAMAS approves
April/May 2017
First estimates for years 2015 and 2016 to be published by NACE breakdown B-N, B-E, B-S excl.O, F, G-N and P-S
Possibility for NSIs to send annual estimates to be used instead of Eurostat's estimates (deadline: 31 March 2017)

11. III. First tests and way-forward (iii)
Same update will take place each year until SES2018 is available in year 2020
Reference year 2018 estimates (available in 2019) will be replaced with actual 2018 SES data in year 2020 and the
series may then be withdrawn from the web
Final decision to be taken at LAMAS October 2016
when SES2014 results are available

12. The LAMAS delegates are invited to:
Comment on any discrepancies identified between 2010/2006 growth rates in SES and LCI data;
Comment on the general proposal to extrapolate SES data using LCI estimates;
Comment on the proposed timetable.

13. Thank you for your attention!