Friday, March 25, 2016

Record low unemployment, but few Poles work. How it’s possible? – GazetaPrawna.pl

Looking at the latest statistical data from the national labor market, it may seem that in Poland we have virtually full employment. The unemployment rate measured by the Labour Force Survey (LFS), used by the Central Statistical Office and Eurostat has decreased since the end of 2013. By up to three percentage points and now stands at 6.9 percent. That’s the lowest level since the economic changes of the early 90s Additionally, comparing these values ​​with the other economies of the European Union, it seems that our country is a real success in the context of the labor market. According to Eurostat data at the end of January, Poland has lower unemployment than Sweden (7.0 percent.), Belgium (7.9 percent.) And Ireland (8.6 percent.). Theoretically, even worse is the situation in Finland (9.4 percent.) And France (10.2 percent.). But when we look at other parameters of the labor market, the situation looks completely different.

The employment rate, ie the ratio of the number of employees to the number of people of working age (15-64 years) was at the end of 2015. 63.7 percent. This is less than in France (64.3 per cent., Insee data at the end of 2015.), Where the unemployment rate is higher by half than the Vistula River. On the other hand, in Sweden, the employment rate is 76.8 percent. at the same level of unemployment as in Poland.



Low unemployment and low employment. How is this possible?

Looking for reasons for this low rate of employment, rather quickly see that clearly underestimate him people in the age range of 55-64 years. According to CSO data, in this age range is on 45.8 per cent. Interestingly, just in this group, the unemployment rate is very low. It is only 4.9 percent. What does it mean? More than 2.8 million people who not only do not work but also the work are not looking.

In addition, according to Eurostat at the end of 2014. Only 32.9 percent. Polish women aged 55-64 are in employment. It is worth paying attention to it, because the average for the Union as a whole is for this group of 45.2 percent .. In the case of Sweden or Ireland, this ratio reaches 71.5 percent respectively. and 44.7 percent .. Also interesting is the fact that in this category ahead of us also Spain (37.8 percent)., and the country’s official unemployment rate is three times higher than in Poland and amounts to 20.5 percent.

Polish market work is also a serious problem with the absorption of people with lower qualifications. According to OECD data, the percentage of employed in the age of education was below average at the end of 2013. Only 38.5 percent. and it was the second lowest score among the 34 members of the OECD. Ahead of us in this classification, among others, Greece (45.1 percent.), France (54.5 percent.) And Sweden (62.5 percent.).

Statistics clearly improving, when we look at similar group of people with higher education. Here, the employment rate for both sexes in Poland amounts to 84.8 per cent according to the OECD .. It puts us higher than France (84.4 percent). And at the same level as the United Kingdom (84.8 percent.). A high rate of employment is confirmed by the low level of unemployment. According to Eurostat data at the end of 2014. For holders of diploma of higher education stood at only 4.1 percent. It is virtually the same as in Sweden (4.0 percent.) And far less than in France (5.8 percent.), Ireland (6.1 percent.) And Spain (13.8 percent.).



What to it better?

so what is the key to the situation on the domestic labor market actually improved? The data show that, above all, should increase the percentage of people with higher education, which will also determine the longer work. This is confirmed by the OECD study, published in the report “Education at a Glance 2015″. The employment rate of Poles in the age range 55-64 who hold a higher education is 66 percent. at a value of 45.8 percent. for the entire population and only 25 percent. for those who have finished their education at the primary school. This will clearly raise the overall level of employment in our country, which Poland will approach the average values ​​observed in developed countries.

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