Reference metadata describe statistical concepts and methodologies used for the collection and generation of data. They provide information on data quality and, since they are strongly content-oriented, assist users in interpreting the data. Reference metadata, unlike structural metadata, can be decoupled from the data.
Labour Market Statistics Sector, Real Sector Statistics Directory
1.3. Contact name
Restricted from publication
1.4. Contact person function
Restricted from publication
1.5. Contact mail address
1.6. Contact email address
Restricted from publication
1.7. Contact phone number
Restricted from publication
1.8. Contact fax number
Restricted from publication
2.1. Data description
The aim of the Labour Cost Survey is to provide national authorities, employers and employees organisations, universities and research institutes, with accurate, detailed and harmonised data on enterprises' labour costs. The survey relates to the labour costs incurred by the employer and asks for information such as employees' wages and salaries, overtime, bonuses, allowances, fringe benefits and other labour costs incurred by the employer throughout the reference year. The Labour Cost Survey is carried out in line with European Regulations: EC 530/1999 and EC 1737/2005.
2.2. Classification system
Data for LCS is available by economic activity according to the Statistical Classification of Economic Activities (NACE). From the reference year 2016 onwards Revision 2 of NACE is adopted.
2.3. Coverage - sector
The target population of this survey is enterprises employing 10 or more persons and operating in NACE Sections B to S, excluding Section O. This implies that relatively all types of economic activities are included in the target group except for agriculture and fishing activities and public administration-related enterprises.
2.4. Statistical concepts and definitions
Labour Costs refer to the total expenditure borne by employers for the purpose of employing staff , They include employee compensation, which is mainly comprised of gross wages and salaries in cash and in kind and employers’ social security contributions, vocational training costs, other expenditure, such as recruitment costs and spending on working clothes, and employment taxes regarded as labour costs minus subsidies received,
Hourly labour costs are annual labour costs divided by the number of hours worked during the reference year
Monthly labour costs per employee are the annual labour costs divided by 12 and by the average number of employees during the year (converted into full-time equivalents),
Employees are all persons who work directly with the enterprise and receive remuneration from employer,
Full-time employees are those whose regular working hours are the same as the collectively agreed or customary hours worked in the enterprise or local unit (are contracted as full time), even if their contract is for less than one year,
Part-time employee is someone who generally works fewer hours than full-time employees of the same enterprise,
Apprentices are all employees who do not yet fully participate in the production process and who work either under an apprenticeship contract or in a situation in which vocational training predominates over productivity,
Average number of hours per week normally worked are hours regularly worked or contracted hours for a typical employee of the following categories in a typical week: a full-time employee, a part-time employee and an apprentice,
Wage and salaries for full-time and part-time employees include bonuses, pay for piecework and shift work, allowances, fees, tips and gratuities, commission and remuneration in kind,
Direct remuneration, bonuses and allowances include the values of any social contributions, income taxes, etc,, payable by the employee even if they are actually withheld by the employer and paid directly to social-insurance schemes, tax authorities etc, on behalf of the employee,
Payments for days not worked (include part covered by employer only) refers to the remuneration paid for statutory, contractual or voluntarily granted leave and public holidays or other paid days not worked,
Wages and salaries in kind (Fringe benefits) are wages and salaries which are not cash transactions; they are goods, services, or other benefits provided free or at reduced prices by the employer to the employees,
Employers’ Social contributions are the social contributions incurred by employers in order to secure for their employees (full-time and part-time employees) the entitlement to social benefits,
Vocational training costs paid by the employer include the expenditures on vocational-training services and facilities,
Employment Taxes (Not Income taxes) cover all taxes based on the wage and salary bill or on employment, These taxes are regarded as labour costs, Here are included penalty taxes to be paid by employers for employing too few handicapped persons, and similar taxes or fees,
Subsidies received by the employer are all amounts received in the form of subsidies of a general nature by the employer intended to refund part or all of the cost of direct remuneration of employees, but not intended to cover social-security or vocational-training costs,
Reference period – data collected through labour cost survey refer to the financial year 2020.
2.5. Statistical unit
The statistical unit is the enterprise.
2.6. Statistical population
LCS applies to all activities in sections B to S (excluding section O) of NACE Rev.2 and represents all statistical units occupying 10 and more employees.
2.7. Reference area
Data on the Labor Cost Survey cover the whole territory of the country (NUTS 1).
2.8. Coverage - Time
LCS data are only available for 2012, 2016 and 2020.
2.9. Base period
Not applicable.
3.1. Source data
The sampling frame for the Labour Cost Survey is based on the Statistical Business Register 2020. The statistical units are enterprises with at least 10 employees for the NACE Rev2 sections B to S (excluding section O). The sample had 2980 enterprises.
3.2. Frequency of data collection
Every 4 years
3.3. Data collection
The data were collected using PAPI method, Paper Assisted Personal Interview. In some cases, electronic questionnaire were sent by e-mail.
3.4. Data validation
To minimize processing errors, each incoming questionnaire is thoroughly checked by trained statisticians using a number of validation rules. In addition, more checks were done during the analysis stage where data was compared with administrative data
3.5. Data compilation
Missing information is imputed based on economic activity of the enterprise and number of employees from administrative data.
3.6. Adjustment
No seasonal adjustments are made
4.1. Quality assurance
INSTAT is committed to ensure the highest quality with respect to the compilation of statistical information. In accordance with the Statistics Law, INSTAT use statistical methods and processes in compliance with internationally recognized scientific principles and standards conduct ongoing analyses of the statistics with a view to quality improvements and ensure that statistics are as up to-date. In performing its tasks it follows the general principles of quality management from the European Statistics Code of Practice. INSTAT declares that it takes into account the following principles: impartiality, quality of processes and products, user orientation, employee orientation, effectiveness of statistical processes, reducing the workload for respondents. Quality controls and validation of data are actions carried out throughout the process. The staffs is involved in different stages such as the data collection, data control, data input and other necessary control are all well trained.
4.2. Quality management - assessment
According to European Commission Regulation (EC) No 698/2006 of 5 May 2006, implementing Council Regulation (EC) No 530/1999, as regards quality evaluation of structural statistics on labour costs and earnings, each Member State shall prepare a quality report for the labour cost survey 24 months after the reference period.
5.1. Relevance - User Needs
LCS users are classified as internal and external users.
External users are:
National authorities: ministries, agencies, councils, other government bodies and public institutions,
International organizations: Eurostat, ILO, etc,
Social Partners: Unions, employers' organizations,
Private organizations, enterprises, media,
Researchers and students,
Internal Users are other sectors within INSTAT that use KPA results as input for their work such as:
Economic Statistics Directorate;
National Accounts Directorate.
5.2. Relevance - User Satisfaction
During 2021 INSTAT conducted a survey to measure user satisfaction from INSTAT publications. The survey results show that the overall quality of Labour Cost statistics is rated 3,53 (70.6%) on a scale of 1 (very poor) to 5 (very good). INSTAT conduct every year the User Satisfaction Survey
All mandatory variables according to the Commission Regulation (EC) No 1737/2005 are covered. Regarding the size class of enterprise and economic activity coverage, the small enterprises (with less than 10 employees) are excluded in the survey as well as section O of NACE.Rev.2.
5.3.1. Data completeness - rate
All mandatory variables required in Commission Regulation 1737/2005 were included in the Labor Cost Survey 2020. Thus, the data completeness rate for the LCS 2020 is 100%, expressed as a ratio of the number of variables collected by INSTAT and the number of variables required by EUROSTAT.
6.1. Accuracy - overall
In terms of accuracy requirements, it is the regulation of the European Commission for LCS which defines the rules of sample design respectively, the effective size of the sample that must be achieved and the representativeness of the sample.
Overall, the data is checked with previous years to identify any significant changes in the data. The internal consistency of the data is checked before it is finalised. The links between variables are checked and coherence between different data series confirmed.
6.2. Sampling error
Standard errors of key indicators are commonly used as a measure of the reliability of data collected through sample survey.
6.2.1. Sampling error - indicators
The computations of CVs have been produced using the software SAS.
In annex "Coefficient of variation", estimates of the key variables Annual labour costs and Hourly labour costs are presented, as well as their standard errors and coefficients of variations. These estimates are presented on economic activity (Nace Rev.2).
6.3. Non-sampling error
Non-sampling errors are basically of 4 types:
1. Coverage errors: errors due to existing divergences between the target population and the basic sampling frame.
2. Measurement errors: errors that occur at the time of data collection. There are a number of sources for these errors such as the survey instrument, the information system, the interviewer and the method of data collection.
3. Processing errors: errors in post-data collection processes such as data entry into the program, editing and weighing.
4. Non-response errors: errors due to an unsuccessful attempt to obtain the desired information from an acceptable entity.
6.3.1. Coverage error
Coverage error includes over-coverage, under-coverage and misclassification.
• over-coverage: concerns either wrongly classified units that are actually outside the scope, or units that do not exist in practice;
• Under-coverage: refers to units that are not included in the sampling frame;
• Misclassification: refers to the incorrect classification of units belonging to the target population.
Regarding the number of employees it is important to note that it is a total which includes full time, part time, apprentices but also owners and family workers, thus the size classes which are different in concept from those of LCS.
6.3.1.1. Over-coverage - rate
The over-coverage rate in Labour Cost Survey is 1.5%.
6.3.1.2. Common units - proportion
Not applicable.
6.3.2. Measurement error
Common sources of measurement error occur due to imperfections in the questionnaire, under-reporting, errors made by interviewers during data collection, and during data analysis.
Data entry of the filled questionnaires was made in INSTAT using SQL with control data checks defined by Eurostat.
6.3.3. Non response error
Non-response errors are errors due to an unsuccessful attempt to retrieve the desired information from an acceptable entity.
Two main types of non-response errors are considered:
• Non-response at the unit level: refers to the lack of information from the entire unit (households and/or persons) selected in the sample;
• Non-response at the variable level: refers to the situation when a model unit has been counted successfully, but not all the required information has been obtained.
6.3.3.1. Unit non-response - rate
84,1% of in-scope enterprises fulfilled the Labour Cost Survey questionnaire.
14,4% of sampled enterprises did not participate in the Labour Cost Survey because were closed, sleeping, or refused to answer.
6.3.3.2. Item non-response - rate
Variable-level non-response: refers to the situation where a survey unit has been successfully enumerated, but not all the required information has been obtained.
In the case of KPA, there are no non-responses at the variable level, since if the unit responds then the information is provided in full.
6.3.4. Processing error
Sometimes the values of costs were written in Albanian Leks, others in thousands of Albanian Leks (national currency).
In some cases is was misunderstood the total hours of work (sometimes we probably got the “total hours worked by one employee during all year”, and in other cases “total hours worked by all employees during one month”).
Imputations were done for the cases of refusal.
6.3.4.1. Imputation - rate
The imputation rate in Labour Cost Survey is 10.1%.
6.3.5. Model assumption error
Not applicable.
6.4. Seasonal adjustment
Not applicable.
6.5. Data revision - policy
LCS Review Policies are made in accordance with the revision policy and the policy of settling errors set by INSTAT. For more information refer to:
• A new classification is implemented (eg of economic activities);
• There are methodological changes;
• Revision of weights (new and/or improved data sources, error corrections)
6.6.1. Data revision - average size
INSTAT has not reviewed the LCS 2020 data.
7.1. Timeliness
The number of days from the last day of the reference period to the (national) publication day of the LCS results.
The results of LCS are published on INSTAT website 631 days after the end of the reference period (T + 631 days) after the end of the reference period. The reference period for the result of LCS is 31 December 2020.
7.1.1. Time lag - first result
LCS data do not have preliminary results.
7.1.2. Time lag - final result
LCS 2020 data were published 1 year + 266 days after the end of the reference period. The reference period of LCS 2020 results is December 31, 2020.
7.2. Punctuality
The time lag between the actual delivery of the data and the target date when it should have been delivered.
The data of LCS are disseminated according to the publication calendar. The publication of LCS has been punctuality in time to 100% of publications carried out over the time.
7.2.1. Punctuality - delivery and publication
LCS publication results are published based on the publication calendar, which is published on the INSTAT website every year. The publication of the LCS has been punctual this year, being carried out on time and without delays.
8.1. Comparability - geographical
Data are fully comparable. In addition, there is no divergence of national concepts from European concepts with regards to the definition.
8.1.1. Asymmetry for mirror flow statistics - coefficient
Not filled by INSTAT, it is calculated by EUROSTAT after metadata is published.
8.2. Comparability - over time
LCS data has been collected consistently since 2012. As such, the data can be considered comparable or compatible over time.
For LCS 2020, as well as LCS 2016, sampling was carried out at the beginning of the year following the reference year and was done in all sections of NVE Rev.2 except section O. Sampling carried out close to the reference period minimizes over-coverage.
The collection method was the same as LCS 2016. Respondents had the option to use a printed questionnaire and an online questionnaire. Respondents were given an Instat web address. They send their data by implementing some checks. At the Institute of Statistics, 3.6% of questionnaires were collected by e-mail for LCS 2016 and 2.9% for LCS 2020.
Compared to LCS 2016, in LCS 2020 the part of wages, which has the largest part in the Labor Cost Structure, increases due to the increase in wages.
In LCS 2020, compared to LCS 2016, due to the pandemic period, through the decisions taken by the Albanian government to prevent the spread of Covid-19 and provide economic assistance to businesses, the expenses for professional training, labor taxes and other expenses, as well as increased subsidies received by enterprises.
Compared to LCS 2016, in LCS 2020, for the activities of Construction and Professional, Scientific and Technical Activities, the increase in labor costs is greater than in other sectors due to higher expenses for wages, social security and expenses others paid by the employer.
8.2.1. Length of comparable time series
LCS data can be considered comparable or compatible over time. Comparable time series exist from 2012, 2016 and 2020.
8.3. Coherence - cross domain
See tables in Annex
8.4. Coherence - sub annual and annual statistics
Not applicable.
8.5. Coherence - National Accounts
Coherence with National Accounts was not produced because the variable “Compensation of employees” expressed per employee in NA is available only for public sector enterprises. Information obtained by balance sheets of private sector enterprises does not contain the in-kind component of wages.
8.6. Coherence - internal
The internal consistency of the LCS data is checked before it is finalized. The connections between the variables are checked and the coherence between the different series of data is confirmed. Thus, the data of the year 2020 are comparable and consistent with the years 2012 and 2016.
9.1. Dissemination format - News release
The press release contains information about the main labor cost indicators in Albania. The format of the press release has changed. It is determined by the publishing sector, which also determines the publication date. The press release of LCS is published online on the official website of INSTAT.
9.2. Dissemination format - Publications
The results of LCS 2020 are available for the users on the INSTAT website. The electronic publication in .pdf can be downloaded in the following link:
All information is available in two languages: Albanian and English. Labor Cost Survey data is available at: Database
9.3.1. Data tables - consultations
Page Views (Hits) about Labour Cost Survey in 2021 are around 2.024 clicks.
9.4. Dissemination format - microdata access
As a result of confidentiality preservation, LCS data are not available at micro level. Aggregated data are the only type of data provided to external users. Although micro data are not published, they can be accessed based on Article 31, item 5 Law No. 17/2018, dated 05.04.2018 "On Official Statistics".
9.5. Dissemination format - other
Users can send other specific requests through a dedicated session for contacts in the link below: Contact
9.6. Documentation on methodology
A brief explanation of the definitions, key concepts and methodological explanations for users is published in the press release and publications. When necessary, additional information is provided to the internal users. On the INSTAT website there is a section related to the survey methodology, in the following link: Methodology
9.7. Quality management - documentation
Labour Market Statistics sector documents the entire work process and procedures for internal purposes.
9.7.1. Metadata completeness - rate
Not filled by INSTAT, is calculated by EUROSTAT.
9.7.2. Metadata - consultations
Not filled by INSTAT, is calculated by EUROSTAT after metadata is published.
Persons working for LCS are:
Total staff in Central Office: 2 employees + 4 Operators
Staff in Regional Offices: 70 Interviewers, 4 Controllers.
11.1. Confidentiality - policy
Data collected by statistical units are considered strictly confidential and are used only for statistical and research purposes based on national Statistical Law No.17/2018 “On Official Statistics”, date 10.03.2018 and on Law No.9887, date 10.03.2008 “Personal Data Protection”. Article 31 on Statistics Law reads as follows: Data collected for the production of official statistics shall be treated by INSTAT as confidential and shall be used only in aggregated tables that will not identify the source information unit. Direct identification means when a statistical unit is directly identified from its name or address or any officially allocated and commonly known identification number. When data processing is made in a manner that allows the identification of the data subject, the data should immediately be encrypted in order for the subjects to be no longer identifiable.
11.2. Confidentiality - data treatment
Albanian Institute of Statistics protects and does not disseminate data it has obtained or it has access to, which enable the direct or indirect identification of the statistical units. Albania Institute of Statistics takes all appropriate preventive measures so as to render impossible the identification of individual statistical units by technical or other means that might reasonably be used by a third party. Statistical data that could potentially enable the identification of the statistical unit are disseminated by Albania Institute of Statistics if and
only if:
a) these data have been treated, as it is specifically set out in the Regulation, 5 in such a way that their dissemination does not prejudice statistical confidentiality or
b) the statistical unit has given its consent, without any reservations, for the disclosure of data.
The confidential data that are transmitted to Albania Institute of Statistics are used exclusively for statistical purposes and the only persons who have the right to have access to these data are the personnel engaged in this task. Issues referring to the observance of statistical confidentiality are examined by the staff working in Albania Institute of Statistics. The responsibilities of this staff are to recommend on: which detailed level the statistical data can be disseminated, so as the identification, either directly or indirectly, of the surveyed statistical unit is not possible; the anonymization criteria for the microdata provided to users; the access granting to researchers on confidential data for scientific purposes.
The aim of the Labour Cost Survey is to provide national authorities, employers and employees organisations, universities and research institutes, with accurate, detailed and harmonised data on enterprises' labour costs.
The aim of the Labour Cost Survey is to provide national authorities, employers and employees organisations, universities and research institutes, with accurate, detailed and harmonised data on enterprises' labour costs. The survey relates to the labour costs incurred by the employer and asks for information such as employees' wages and salaries, overtime, bonuses, allowances, fringe benefits and other labour costs incurred by the employer throughout the reference year. The Labour Cost Survey is carried out in line with European Regulations: EC 530/1999 and EC 1737/2005.
Not Applicable
Labour Costs refer to the total expenditure borne by employers for the purpose of employing staff , They include employee compensation, which is mainly comprised of gross wages and salaries in cash and in kind and employers’ social security contributions, vocational training costs, other expenditure, such as recruitment costs and spending on working clothes, and employment taxes regarded as labour costs minus subsidies received,
Hourly labour costs are annual labour costs divided by the number of hours worked during the reference year
Monthly labour costs per employee are the annual labour costs divided by 12 and by the average number of employees during the year (converted into full-time equivalents),
Employees are all persons who work directly with the enterprise and receive remuneration from employer,
Full-time employees are those whose regular working hours are the same as the collectively agreed or customary hours worked in the enterprise or local unit (are contracted as full time), even if their contract is for less than one year,
Part-time employee is someone who generally works fewer hours than full-time employees of the same enterprise,
Apprentices are all employees who do not yet fully participate in the production process and who work either under an apprenticeship contract or in a situation in which vocational training predominates over productivity,
Average number of hours per week normally worked are hours regularly worked or contracted hours for a typical employee of the following categories in a typical week: a full-time employee, a part-time employee and an apprentice,
Wage and salaries for full-time and part-time employees include bonuses, pay for piecework and shift work, allowances, fees, tips and gratuities, commission and remuneration in kind,
Direct remuneration, bonuses and allowances include the values of any social contributions, income taxes, etc,, payable by the employee even if they are actually withheld by the employer and paid directly to social-insurance schemes, tax authorities etc, on behalf of the employee,
Payments for days not worked (include part covered by employer only) refers to the remuneration paid for statutory, contractual or voluntarily granted leave and public holidays or other paid days not worked,
Wages and salaries in kind (Fringe benefits) are wages and salaries which are not cash transactions; they are goods, services, or other benefits provided free or at reduced prices by the employer to the employees,
Employers’ Social contributions are the social contributions incurred by employers in order to secure for their employees (full-time and part-time employees) the entitlement to social benefits,
Vocational training costs paid by the employer include the expenditures on vocational-training services and facilities,
Employment Taxes (Not Income taxes) cover all taxes based on the wage and salary bill or on employment, These taxes are regarded as labour costs, Here are included penalty taxes to be paid by employers for employing too few handicapped persons, and similar taxes or fees,
Subsidies received by the employer are all amounts received in the form of subsidies of a general nature by the employer intended to refund part or all of the cost of direct remuneration of employees, but not intended to cover social-security or vocational-training costs,
Reference period – data collected through labour cost survey refer to the financial year 2020.
The statistical unit is the enterprise.
LCS applies to all activities in sections B to S (excluding section O) of NACE Rev.2 and represents all statistical units occupying 10 and more employees.
Data on the Labor Cost Survey cover the whole territory of the country (NUTS 1).
Not Applicable
In terms of accuracy requirements, it is the regulation of the European Commission for LCS which defines the rules of sample design respectively, the effective size of the sample that must be achieved and the representativeness of the sample.
Overall, the data is checked with previous years to identify any significant changes in the data. The internal consistency of the data is checked before it is finalised. The links between variables are checked and coherence between different data series confirmed.
Not Applicable
Missing information is imputed based on economic activity of the enterprise and number of employees from administrative data.
The sampling frame for the Labour Cost Survey is based on the Statistical Business Register 2020. The statistical units are enterprises with at least 10 employees for the NACE Rev2 sections B to S (excluding section O). The sample had 2980 enterprises.
Not Applicable
The number of days from the last day of the reference period to the (national) publication day of the LCS results.
The results of LCS are published on INSTAT website 631 days after the end of the reference period (T + 631 days) after the end of the reference period. The reference period for the result of LCS is 31 December 2020.
Data are fully comparable. In addition, there is no divergence of national concepts from European concepts with regards to the definition.
LCS data has been collected consistently since 2012. As such, the data can be considered comparable or compatible over time.
For LCS 2020, as well as LCS 2016, sampling was carried out at the beginning of the year following the reference year and was done in all sections of NVE Rev.2 except section O. Sampling carried out close to the reference period minimizes over-coverage.
The collection method was the same as LCS 2016. Respondents had the option to use a printed questionnaire and an online questionnaire. Respondents were given an Instat web address. They send their data by implementing some checks. At the Institute of Statistics, 3.6% of questionnaires were collected by e-mail for LCS 2016 and 2.9% for LCS 2020.
Compared to LCS 2016, in LCS 2020 the part of wages, which has the largest part in the Labor Cost Structure, increases due to the increase in wages.
In LCS 2020, compared to LCS 2016, due to the pandemic period, through the decisions taken by the Albanian government to prevent the spread of Covid-19 and provide economic assistance to businesses, the expenses for professional training, labor taxes and other expenses, as well as increased subsidies received by enterprises.
Compared to LCS 2016, in LCS 2020, for the activities of Construction and Professional, Scientific and Technical Activities, the increase in labor costs is greater than in other sectors due to higher expenses for wages, social security and expenses others paid by the employer.
