Statistical Yearbook of the Czech Republic

10 A. Employment, unemployment, wages and labour costs in the national economy
(from data taken from the records of businesses and from other administrative sources)

The figures provided in this part of Chapter 10 (Tables 10-1 to 10-9) were obtained by a survey taken in businesses or from administrative sources. Depending on the number of employees the survey taken in businesses is of either 100% or sample type. Results of the latter are grossed up to basic population to cover all active units incorporated in the CZSO Business Register (unless indicated otherwise).

Before 1998, data on the number of workers were derived from processed CZSO quarterly statistical questionnaires corrected according to data from annual surveys (and for some years also from expert guesses for non-surveyed businesses), since 1998 from processed CZSO annual statistical questionnaires. The data for 2003 are estimated.

To establish the activity and size of businesses, available administrative sources have been employed since 2002 for annual statistical surveys and since 2003 for quarterly surveys, which changed the values of the indicators published before. The same method was applied to update results of the processing of annual questionnaires for 2000 and 2001. Consequently, the time series (in Tables 10-1 and 10-2 from annual questionnaires and in Tables 10-3 and 10-4 from quarterly questionnaires) is not fully comparable as far as methodology is concerned.

Workers in the national economy (both manual and non-manual) include employees and private entrepreneurs (with main job only).

 Registered number of employees includes persons under employment contracts (both main and second jobs) and members of cooperatives having employment contract. It excludes females on maternity leave and child-care leave, persons on parental leave, and temporary members of the armed forces (including persons on compulsory community service), apprentices, persons engaged by companies under contracts for work outside employment.

Average registered number of employees per year is the arithmetic mean of twelve average monthly numbers of employees (calculated as the sum of daily numbers divided by calendar days in the month concerned).

Average gross monthly wage is the ratio of wages excluding other personnel expenses per employee per month. Included in the wages are basic wages and salaries, payments additional to wage or salary, direct remuneration and bonuses, remuneration for being on call to work, and other wage or salary components of charged to be paid to employees in a given period. They are gross wages i.e., before premiums for general health insurance and social security, income tax advances of natural persons, and other statutory deductions or deductions agreed with the employee.

The numbers of workers and employees and the average monthly gross wages exclude employees of businesses not statistically measured and persons performing public office (deputies, senators, full-time councillors at all levels, etc.).

The tabulated data on workers, employees, and average monthly gross wages broken down by industry correspond to the Branch Classification of Economic Activities - OKEČ (CZ-NACE). They refer to businesses classified to the business and non-business spheres (i.e. government departments, organisations semi-subsidised from state or local budgets, and non-profit institutions), which is why they differ from data on workers, employees and wages in the chapters on individual industries, which refer to the business sphere only). The average monthly gross wages (earnings) and medians in Tables 10-5 and 10-6 are broken down by age and major groups of CZ-ISCO-88 classification.

Monthly labour costs are costs spent by the employer to recruit and educate/train employees, remunerate them for work and cover their social needs. The survey on the costs is taken in businesses in all industries irrespective of the number of employees; employees of unincorporated natural persons and of part of the Ministry of Defence and the Ministry of the Interior are excluded. The data were drawn from the results of the processing of CZSO annual statistical questionnaire.

 Registered job applicants are citizens staying permanently in respective area, who have no formal job or similar attachment to an employer, are not gainfully self-employed, and have asked an employment agency to find a job for them.

Registered unemployment rate is the ratio of registered job applicants to the labour force available (i.e. employed persons established by the LFSS plus job applicants).

The following indicators do not correspond to ILO definitions and recommendations:

• workers in the national economy
• average monthly gross wage
• registered job applicants
• registered unemployment rate.

        Minimum wage in the CR

  According to Article 111 (4) of Act No 65/1965 Coll., Labour Code, as amended.

  
  
  

  In force as of
  1 Jan 1992	1 Jan 1996	1 Jan 1998	1 Jan 1999	1 July 1999	1 Jan 2000	1 July 2000	1 Jan 2001	1 Jan 2002	1 Jan 2003	1 Jan 2004
  Minimum monthly wage, CZK
  2 200	2 500	2 650	3 250	3 600	4 000	4 500	5 000	5 700	6 200	6 700

  Notes on tables

  Tables 10-3 and 10-4 . Employees and average monthly gross wages

        Figures in these tables were taken over from the results of the processing of quarterly statistical questionnaires and cover all employees registered by businesses classified to:

  a) the business sphere

  • with 25 employees and over since 1992 (in industry, trade, hotels and restaurants in 1995 and 1996: with 100 employees and over),
  • with 20 employees and over since 1997, including employees of unincorporated self-employed persons,
  • irrespective of the number of employees in financial intermediation;

    b) the non-business sphere, i.e. employees of government departments, organisations semi-subsidized from state or local budgets, and non-profit institutions (e.g. institutions of benefit to public, health insurance companies, etc.).

    Table 10-5and 10-6. Medians and average monthly gross earnings: by CZ-ISCO-88 major group and age group

          The data are taken from the Ministry of Labour and Social Affairs’ Information System on Average Earnings (ISAE). They are obtained by a sample survey into businesses with 10+ employees. The average earnings resulting from this survey are at variance with the average wage obtained via CZSO business surveys (Tables 10-3 and 10-4). The ISAE gives information on individual employees, whereas the business surveys are focused on the registered numbers of employees and the volume of wages for the whole of the business. The ISAE average earnings are calculated in relation to the employee’s paid hours (it is free of any unpaid absence of the employee from work – e.g. due to illness). It also excludes employees whose number of hours of work under contract is less than 30. The average wage obtained via the CZSO business surveys is derived in relation to the registered number of employees (employees with a short unpaid absence are included) and the number of hours of work per week under contract is disregarded.
    

    
    

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          The data shown in Part 10A. Labour are fully comparable with those released in Chapter 1. Key National Economy Indicators in this Yearbook as well as with the data listed in the Statistical Yearbook 2003 (except as described in the third paragraph of this chapter).

          Parts A and B of this chapter give numbers of employed persons or workers obtained from two different sources and survey methods, from business reporting systems and the labour force sample survey (LFSS) taken in households. Given the fact that the results do not always show identical numbers of persons, structures and trends, the following table is given here to show substantial differences in the coverage of the basic population.

     

    
    
    

    Group	BUSINESS STATISTICS (10A)		LFSS (10B)
    	Employees	Self-employed	Employees	Self-employed
    Population 15+ employed	/	as at 31 Dec	-	-
    Population 15+ usually living in dwellings	-	-	/	/
    Females on maternity leave	-	/	/	/
    Persons on family leave (persons on child care leave – included in the survey, but not considered as employed)	-	-	-	-
    Contracts for work and contracts of services	-	x	/	x
    Foreign nationals	/	/	-	-
    Foreign nationals with usual residence in the CR	/	/	/	/
    Persons working outside the CR	With head office of enterprise in the CR only	With head office of enterprise in the CR only	/	/
    Regular members of the armed forces	/	x	/	x
    Temporary members of the armed forces	-	x	/	x
    Compulsory community service	-	x	/	x
    Councillors at all levels exercising public office only	-	x	/	x
    Free professions	-	x	/	x
    Home personnel	-	x	/	x
    Multiple job holders	Multiple job holders	-	Second job holders only	Second job holders only

    
    
    

    /	covered
    -	not covered
    x	not applicable

    
    
    
    
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    Detailed information is available in the following CZSO publications brought out according to the CZSO Catalogue of Publications 2004 (group 3 - LABOUR, SOCIAL STATISTICS, subgroup 31 - Labour and Wages):

    quarterly::

    • "Evidenční počet zaměstnanců a jejich mzdy v ČR" - June, September and December 2004, March 2005

      annually:

      • “Total Labour Costs 2003“ (English version) – 4th quarter of 2004
      • “Vývoj úplných nákladů práce (1994-2003)” - 4th quarter of 2004
      • “Structure of Earnings Survey 2003“ (English version) – 4th quarter of 2004
      • “Mzdová diferenciace zaměstnanců v roce 2003" - 3rd quarter of 2004
      • “Labour Statistics: Time Series of Basic Indicators“ (English version) – January 2005..