Employment and unemployment as measured by the LFS - 2nd quarter of 2020

The number of the economically inactive and the unemployed increased, year-on-year

03.08.2020
Code: 250145-20
 

Total employment in the Q2 2020 decreased by 83.3 thousand persons, year-on-year (y-o-y) and reached 5 212.6 thousand persons. The number of the unemployed, according to the International Labour Organisation (ILO) methodology, increased by 23.9 thousand persons. The general unemployment rate increased to 2.4%. The number of the economically inactive has markedly increased by 86.1 thousand.
 

Employment

In the Q2 2020, the seasonally adjusted average number of employed persons decreased by 65.3 thousand persons, compared to the Q1 2020.

The number of working persons aged 15+ years decreased by 83.3 thousand persons, y-o-y, i.e. by 1.6%, to 5 212.6 thousand persons. The number of working males decreased by 36.8 thousand persons and the number of working females decreased by 46.5 thousand persons. The number of employees decreased by 73.1 thousand to 4 330.1 thousand. Concurrently, the total number of the self-employed decreased by 10.3 thousand persons due to a decrease in the number of the self-employed with employees by 13.8 thousand.

According to data for the Q2 2020, development of employment in individual economic activities (CZ-NACE sections) in the Czech Republic was often differing1). In the secondary sector of industry and construction, employment decreased, y-o-y, by 15.0 thousand to 1 957.4 thousand, mainly due to a decrease in the number of working persons in manufacturing (by 47.9 thousand). On the contrary, the number of working persons increased, y-o-y, in construction (by 16.9 thousand). Their number increased also in economic activities (CZ-NACE sections) ensuring basic functioning of the society and the economy, i.e. in ‘electricity, gas, steam and air conditioning supply’ and in the section of ‘water supply; sewerage, waste management and remediation activities’. In the tertiary sector of services, the total employment decreased by 67.7 thousand to 3 116.7 thousand. The number of working persons decreased especially in the section of ‘accommodation and food service activities’ (by 30.8 thousand), in ‘transportation and storage’ (by 29.1 thousand), and in ‘wholesale and retail trade; repair of motor vehicles and motorcycles’ (by 17.6 thousand). A marked decrease of employment occurred also in the section of ‘arts, entertainment and recreation’ (by 12.3 thousand). On the other hand, the number of working persons markedly increased in ‘public administration and defence; compulsory social security’ (by 25.4 thousand). In the primary sector of agriculture, forestry and fishing, the number of working persons stagnated; the number of the employed in the sector was 138.4 thousand.

The employment rate (percentage of working persons in the age group 15–64 years) in the Q2 2020 decreased compared to the corresponding period of the previous year by 0.9 percentage point (p. p.) to 74.1%. The male employment rate decreased by 0.9 p. p. to 81.0% and the female employment rate dropped by 1.0 p. p. to 66.8%.
 

Unemployment

The seasonally adjusted average number of unemployed persons according to the ILO methodology2) increased in the Q2 2020 by 27.9 thousand persons, compared to that in the Q1 2020.

The total number of the unemployed aged 15+ years increased by 23.9 thousand persons, y-o-y, and reached 126.3 thousand persons. Both the number of the unemployed females increased by 6.3 thousand persons to 61.5 thousand persons and the number of the unemployed males increased by 17.5 thousand persons to 64.8 thousand persons. On the other hand, the number of persons unemployed for one year and longer decreased by 6.7 thousand persons, y-o-y, and reached 26.3 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) increased by 0.5 p. p. to 2.4% in the Q2 2020.

As for regional comparison, the unemployment rate increased the most in the Královéhradecký Region (by 1.4 p. p., y-o-y, to 2.9%). In the Q2 2020, the highest unemployment rate was in the Karlovarský Region (4.5%), Moravskoslezský Region (3.9%), and Ústecký Region (3.6%), while the lowest one was in the Středočeský Region (1.4%). In the Hl. m. Praha Region (Capital City of Prague) the unemployment rate increased by 0.7 p. p. to 2.2%.
 

Inactivity

The number of the economically inactive persons aged 15+ years increased by 86.1 thousand, year-on-year, to 3 645.3 thousand. The number of economically inactive females increased more than the number of economically inactive males (the increase in females was by 48.0 thousand and that of males by 38.0 thousand). Especially the number of inactive males aged 60+ years markedly increased (by 24.9 thousand) and the number of young females below 30 years (by 33.0 thousand).

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 that they would like to work. In the Q2 2020, the number of such persons was 109.3 thousand persons, i.e. by 4.7 thousand persons more than in the corresponding period of 2019. Majority of persons willing to work, however, is not able to start in a potential job immediately. Only 44.9 thousand of the persons are able to start in a job within a fortnight, at the latest.

Since 1 April 2020, the Czech Statistical Office added to the standard Labour Force Sample Survey special (extraordinary) questions related to impacts of the coronavirus crisis on the labour market. Results of the special survey are processed in an analytical report (2501089-20) – “Most workers perceive impacts of the crisis as temporary” (Czech only; in Czech it is called “Většina pracujících vidí dopady krize jako dočasné“) on the website of the CZSO.
 

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

2) The ILO methodology defines the unemployed as persons 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 number: (+420) 274 052 694, e-mail: dalibor.holy@czso.cz
Contact person: Marta Petráňová, Unit for Labour Forces, Migration and Equal Opportunities, phone number: (+420) 274 054 357, e-mail: marta.petranova@czso.cz
Data source: The 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 2020 and the prediction of the natural population change and net migration in the first half-year of 2020.
End of data collection: 20 July 2020
End of preliminary data processing: 24 July 2020
Related Internet-published document: 250129-20 - “Employment and Unemployment in the Czech Republic as Measured by the Labour Force Sample Survey – quarterly data” with the final survey results will be available on the CZSO website by the end of the Q3 2020. (Home - We publish - Catalogue of Products - Employment and Unemployment)
Next News Release will be published on: 3 November 2020

 

  •      azam080320.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: 03.08.2020
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