Employment and unemployment as measured by the LFS - 1. quarter of 2015

Total employment in Q1 2015 increased by 65.4 thousand persons compared to the same period of 2014; the employment rate of the aged 15-64 years reached 69.3% and grew by 1.3 percentage point (p.p.), year-on-year (y-o-y). The number of the unemployed according to the ILO methodology dropped by 40.7 thousand persons, y-o-y; the number of the long-term unemployed decreased by 2.2 thousand persons. The general unemployment rate of the aged 15-64 years declined by 0.8 p.p. y-o-y and was 6.1%.

Employment
In Q1 2015 the seasonally adjusted average number of employed persons increased by 18.2 thousand persons, compared to Q4 2014.

The number of employed persons increased by 65.4 thousand (i.e. by 1.3%), y-o-y, to 4 988.4 thousand. The number of the self-employed in the main job, including family workers, in total fell by 22.5 thousand to 870.5 thousand persons compared to Q1 2014 and their share was 17.5%. On the contrary, compared to Q1 2014, the number of the employees, including members of producer cooperatives, significantly increased by 87.9 thousand to 4 117.9 thousand and their share was 82.5% of total employment.

A growth in total employment was demonstrated in the secondary sector by 32.4 thousand persons compared to the previous year and thus the number of working persons was 1 899.9 thousand in total. In the tertiary sector of services the number of working persons grew by 21.2 thousand persons and the total number of working persons was 2 946.3 thousand compared to the previous year. Surprisingly, the number of persons working in the primary sector increased by 11.3 thousand persons; it was 141.6 thousand persons in total.

The employment rate (percentage of the employed in the age group 15-64 years) reached 69.3% and grew by 1.3 p.p. compared to Q1 2014. The male employment rate increased by 0.9 p.p. to 76.8% and the female employment rate grew by 1.7 p.p. to 61.6%.

There was an important increase in employment compared y-o-y. Female employment was growing in a more dynamic manner due to a raised age limit for the old-age retirement as well as a reduced time interval in between giving birth to the first child and the return to work. Compared to Western Europe this interval has still been significantly longer.

Unemployment
The seasonally adjusted average number of unemployed persons according to the International Labour Organisation (ILO) methodology¹⁾ decreased by insignificant 0.8 thousand persons in comparison to Q4 2014.

The number of unemployed persons reached 317.1 thousand (of which 161.9 thousand females) and the total number of the unemployed dropped by 40.7 thousand persons, y-o-y. The decline in unemployment was manifested more in the female population (by 24.5 thousand persons) than in the male population (by 16.2 thousand persons).

The number of persons unemployed for one year and longer declined by 2.2 thousand, y-o-y and the total number of them reached 144.9 thousand persons. The share of the long-term unemployed in the total number of unemployed persons attained 45.7%.

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) attained 6.1% in Q1 2015 and decreased by 0.8 p.p. compared to the previous year. If broken down by educational attainment, university graduates permanently show a low unemployment rate (2.7%) and the same can be seen for the persons having secondary education with A-level examination (4.4%). A high unemployment rate pertains in the group of persons with basic education (24.3%), and an above-average unemployment rate stays also in the large group of those having secondary education without A-level examination, including persons with apprenticeship certificates (7.2%).

The decrease in the number of unemployed females has been more rapid than that of males for over a long term. Nevertheless, in Q1 2015 the unemployment rate of females aged 15-64 years was still substantially higher (7.0%) than that of males (5.3%) in the Czech Republic. Yet in the summary of all countries of the EU28 the unemployment rates of females and males are balanced.

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 Q1 2015 the number of such persons was 138.6 thousand, i.e. by 6.9 thousand lower than in the same period of 2014. Majority of persons willing to work, however, is not able to start in a potential job immediately. There are 51.3 thousand persons able to start in a job within a fortnight, at the latest.
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¹⁾ 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” registered by the labour offices of the Ministry of Labour and Social Affairs of the CR.


Notes:
Responsible head at the CZSO: Dalibor Holý, phone: +420 274052694, e-mail: dalibor.holy@csu.gov.cz
Contact person: Ondřej Nývlt, phone: +420 274054069, e-mail: ondrej.nyvlt@csu.gov.cz
Authors of the analysis: Bohuslav Mejstřík, Marta Petráňová
Data source: CZSO, Labour Force Sample Survey (LFSS) conducted in selected dwelling 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 2014 and the prediction of the population development in the year of 2014 and in Q1 2015. The results grossed up to the total population of the Czech Republic are based on results of the 2011 Population and Housing Census.
End of data collection / End of preliminary data processing: 15 April 2015 / 22 April 2015
Related Internet-published document: 250128-14 - “Employment and Unemployment in the Czech Republic as Measured by the Labour Force Sample Survey – Quarterly Data” (Catalogue of Products - Catalogue 2014) with the finalised survey results will be available on the CZSO website by the end of Q2 2015.
Next News Release shall be published on: 3 August 2015