Employment and unemployment as measured by the LFS - 2nd quarter of 2019

Average Age of Working Persons Increased by Two Years since 2010

05.08.2019
Code: 250145-19
 

Total employment in Q2 2019 increased by 6.7 thousand persons, year-on-year (y-o-y) and reached 5 295.9 thousand persons. On the contrary, the number of the unemployed, according to the International Labour Organisation (ILO) methodology, dropped by 15.8 thousand persons, y-o-y. The general unemployment rate of the aged 1564 years declined by 0.3 percentage point (p.p.), y-o-y, to attain 1.9%.

Employment
In Q2 2019 the seasonally adjusted average number of employed persons decreased by 21.3 thousand persons, compared to Q1 2019.

The number of persons in the main job increased by 6.7 thousand persons, i.e. by 0.1%, y-o-y, to reach 5 295.9 thousand persons. Both the number of employed males and the number of employed females grew by 5.9 thousand and 0.8 thousand, respectively. The growth rate of total employment has been, however, declining in a significant way since the second half of 2018.

Changes to the age structure of working persons are, first of all, affected by demographic factors and by prolonged time of preparations for future jobs, and by increased full retirement age. The number of working persons aged up to 40 years was reduced by 56.3 thousand persons. The major reason was the strong generations born in the first half of 1970s already moved to the elder age group. The number of working persons aged 45–49 years grew by 45.7 thousand persons. The number of working persons aged 55–59 years also increased in a significant manner by 24.0 thousand persons. And, moreover, the number of working persons aged 65+ years increased by 6.3 thousand persons as well.

The long-term trend in the average age of working persons is evidence of the population ageing. This average age increased by two years to attain 43.3 years in Q2 2019 since Q2 2010. It is interesting the average age of working females of 43.7 years is higher than that of males at 42.9 years. It also determined by the fact younger females are more frequently economically inactive because they are on the parental leave and carrying of children.

Employment by measured economic activity developed in different ways1. The number of working persons in the tertiary sector of services grew annually by 27.9 thousand persons, y-o-y, most, in terms of the number of working persons, in the economic activities section of in the ‘human health and social work activities’. According to preliminary results, the number of working persons increased in the sections of ‘transportation and storage’ and ‘accommodation and food service activities’ as well. Employment in the secondary sector of industry and construction declined by 7.4 thousand persons, y-o-y. The number of working persons grew in ‘manufacturing’, yet in ‘construction’ employment conversely declined year-on-year. The number of working persons in the primary sector declined by 13.4 thousand persons, y-o-y.

The decline in the increment of total employment is accompanied with a change to the structure of working persons by status in employment. It was the number of persons with the status of employee, which grew most by 14.0 thousand persons, y-o-y, to reach 4 403.2 thousand persons. On the contrary, the number of the self-employed with employees saw a decline by 3.3 thousand persons, y-o-y, to reach 160.8 thousand persons, as well as the number of own-account workers (the self-employed without employees) dropped by 2.4 thousand persons, y-o-y to attain 707.4 thousand persons.

Both employees and the self-employed are ageing. Since Q2 2010 the average age of the self-employed with employees has increased by 3.7 years to reach 49.0 years in Q2 2019. In the same period the average age of own-account workers grew by 2.6 years to attain 45.8 years. The average age in the largest group of employees increased by 1.8 years to attain 42.7 years in this period. In all groups by status in employment, the average age of females in higher than that of males.

The employment rate (percentage of working persons in the age group 15–64 years) grew by 0.3 p.p., compared to Q2 2018, to reach 75.0%. The male employment rate increased by 0.3 p.p. to reach 82.0%, and the female employment rate increased by 0.3 p.p. to attain 67.8%.

Unemployment
The seasonally adjusted average number of unemployed persons according to the ILO methodology2 decreased by 1.5 thousand persons in Q2 2019, compared to that in Q1 2019.

The total number of the unemployed declined by 15.8 thousand persons, y-o-y, and reached 102.4 thousand persons. Both the number of the unemployed females dropped by 10.7 thousand persons to reach 55.1 thousand persons and the number of the unemployed males fell by 5.1 thousand persons to attain 47.3 thousand persons. At the same time, the number of persons unemployed for one year and longer declined by 2.7 thousand persons, y-o-y, and so the total number of them reached 33.0 thousand persons.

The general unemployment rate according to the ILO definition in the age group
15–64 years (the share of the unemployed in the labour force, i.e. the sum of the employed and the unemployed) decreased by 0.3 p.p., compared to Q2 2018, and attained 1.9% in Q2 2019.

Inactivity
In the sample survey, data are collected also on persons, who do not work and do not seek a job in an active manner, and thus do not comply with the ILO conditions for the unemployed, yet they state they would like to be working. In Q2 2019 the number of such persons was 104.6 thousand persons, i.e. by 3.7 thousand persons less than in the same period of 2018. Majority of persons willing to work, however, is not able to start in a potential job immediately. Actually, there are merely 35.1 thousand of the persons able to start in a job within a fortnight, at the latest.

_____________________
1 Data for the aforementioned economic activities sections may be affected by the applied methodology of the Labour Force Sample Survey. The survey covers merely persons living in private households. Data for persons living in collective accommodation establishments are not measured. These establishments, however, often give accommodation to aliens.

2 The ILO methodology defines the unemployed as all persons above a specified age who during the reference period were without a job, did not work an hour for pay, and were in an active manner seeking job they would be able to join within two weeks at the latest. This methodology is uniform for all EU Member States and produces internationally comparable data. It should be noted that the definition of “the unemployed” by the ILO differs from the definition of “job applicants kept in the register of the labour offices” of the Ministry of Labour and Social Affairs.

Notes:
Responsible head at the CZSO
: Dalibor Holý, Head of the Labour Market and Equal Opportunities Statistics Department,
phone: +420 274052694, e-mail: dalibor.holy@czso.cz

Contact person: Marta Petráňová, Unit for Labour Forces, Migration and Equal Opportunities,
phone: +420 274054357, e-mail: marta.petranova@czso.cz
Data source: CZSO, Labour Force Sample Survey (LFSS) conducted in selected private households; collective accommodation establishments are not included in the survey. The LFSS results have been grossed up to the total population of the Czech Republic using data of the population statistics as at 1 January 2019 and the prediction of the natural increase of population and net migration in the first half of 2019.
End of data collection /

End of preliminary data processing: 22 July 2019 / 26 July 2019
Related Internet-published document: 250128-19 - “Employment and Unemployment in the Czech Republic as Measured by the Labour Force Sample Survey – Quarterly Data” with the finalised survey results will be available on the CZSO website by the end of Q3 2019.
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  • azam080519.docx
  • Annexes:
  • Table 1 Employed persons (status in the main job, absolute numbers, percentages, year-on-year increments, and indices)
  • Chart 1 The employed and the unemployed (absolute numbers)
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Published: 05.08.2019
The data are valid as of the release date of the publication.


Contact: Information Services Unit - Headquarters, tel.: +420 274 056 789, email: infoservis@czso.cz