Analytics, Employment, Financial Services, Labour-market, Latvia, Wages

Active population

The active population or labour force consists of employed persons and persons who are actively seeking a job.

Compared to the corresponding period of previous year, the number of active population in the 3^rd quarter of 2011 has reduced by 1.7%. Almost two thirds (65.6%) of the population in this age group were active; this indicator comprised 69.8% among men and 61.8% among women.

Employed population

Totally 984.7 thousand persons (56.1% of the total number of population aged 15-74 years) were employed in the country. Only 7% of them did not work due to various reasons (vocation, illness, childcare leave of up to 3 months, etc.). Both the number of employed population and the share of employed in the total population in the reference quarter has increased, if compared to both corresponding period of previous year (in 3^rd quarter of 2010 960.3 thousand persons and 54.2%), and previous quarter (in 2^nd quarter of 2011 the number comprised 966.5 thousand persons and 55.1%). According to the methodology of the Labour Force Survey the number employed population includes 26.1 thousand people, which still having the status of unemployed during the reference week were employed (participated in complex support activities organised by the State Employment Agency, took part in active employment project “Activities for certain groups of persons”, as well as participated in programme “Work practice in local governments with stipend of LVL 80’’).

Women in the total number of employed constituted slightly higher share than men - 50.8% and 49.2%, respectively.

The livelihood of the population usually comes from various sources of income, and because of this during the survey respondents indicated several sources of income. For almost a half (49.2%) of the population in the corresponding age group main source of income was wages and salaries.

Employees by monthly net (after taxes) wages and salaries in the main job, %

Unemployed

Persons who in the reference week did not work and were not temporarily absent from work (vacation, illness, etc,), and who during the last four weeks were actively seeking a job, and in case of finding it were prepared to start working within the next two weeks are considered as unemployed. Of which both unemployed registered in State Employment Agency and persons seeking for a job with using other opportunities.

The results of the Labour Force Survey show that in the 3^rd quarter of 2011 there were 165.3 thousand unemployed or 14.4% of the active population in Latvia (both employed and unemployed). The number of unemployed and their share in active population during this time period has reduced, if compared to both 3^rd quarter of previous year, when there were 210 thousand unemployed and their share comprised 17.9%, and 2^nd quarter of 2011 (187 thousand unemployed and 16.2%, respectively). The share of unemployed men in the total number of active men in the country was higher than that of women (in the share of active women, correspondingly), constituting 16.2% and 12.6%, respectively. Registered unemployment rate in the country in the 3^rd quarter of 2011 comprised 12.0%, according to the data calculated on the basis of the State Employment Agency information.

Slightly more than a half (90.9 thousand persons or 55%) of the unemployed were long-term unemployed. Compared to the corresponding period a year before, their number has reduced by 6.1 thousand. In current economic situation the number of unemployed having previous work experience is still high. In the 3^rd quarter of 2011 there were 138.1 thousand unemployed having previous work experience or 83.6% of the total number of unemployed, but a year before this indicators comprised 182.9 thousand persons and 87.1%, respectively.

Inactive population

Apart from the employed and unemployed there is a part of the population who are not regarded as labour force and consequently they are inactive. In the 3^rd quarter of 2011 there were 604.3 thousand inactive persons, and, if compared to the corresponding period of previous year, their number has grown by 0.3%.

Out of the inactive population the pensioners in the 3^rd quarter of 2011 accounted for slightly more than two fifths (44.3%), pupils and students who in the reference week studied full time and did not work were every third (29.1%), every ninth (11%) considered themselves as housekeepers, every fourteenth (7.2%) were persons who had been ill for a long time or disabled.

Particular attention in this group should be paid to persons who are potential unemployed, but have been discouraged or do not know where and how to find a job. Results of the survey show that during the reference quarter in the country there were 42.1 thousand persons who have been discouraged to find a job (7% of the total number of inactive population). Compared to the 3^rd quarter of 2010, the number of persons, who have been discouraged, has decreased by 5.6 thousand.

More information on Labour Force Survey results is available in the data base of CSB Web Page.

Main indicators of Labour Force Survey in the Baltic States

Persons aged 15-74
Data source: http://ec.europa.eu/eurostat

¹ - Net wages and salaries are calculated basing on minimum gross wages and salaries. Minimum monthly wages and salaries in 2010 – LVL 180, in 2011 – LVL 200.
² - Data of the national Labour Force Surveys.