Archive:Employment in detail - quarterly statistics

Data extracted in August 2020

Planned article update: October 2020

Employment rate of young people decreased in 15 out of 26 EU Member States and in 19 countries for those with a medium level of education between the first quarter 2019 and the first quarter 2020

Among the EU Member States, 18 countries out of 26 EU Member States recorded an increase of employment in professional, scientific and technical activities as well as human health and social work activities, these activities were reported the mo recording an increase between 2019Q1 and 2020Q1

A higher number of employed people with science-related occupation were recorded in 22 out of 26 EU Member States on the period 2019Q1-2020Q1.

Large fluctuation in the number of self-employed among the EU Member States: self employed varied by more than 2% in 14 countries between the first quarter 2019 and the first quarter 2020

The COVID-19 pandemic generated pessimistic forecasts in economic results through the European Union. In most EU Member States, businesses as well as public sector have been shaken by worldwide shock waves due to the lock-down and other health related measures. Containment measures like extended short-time work schemes and guaranteed loans have been settled down in order to dampen the impact on employment, this allowed keeping employed people attached to their jobs in the first stage of the crisis to a certain extent avoiding lay-offs even temporary. However, the labour market might have suffered by reducing inflows into employment. It is indeed expected that enterprises slowed down or cancelled hiring process due to the lock-down and the foreseen recession. This might be a first effect of the sanitary crisis on employment. Later on, through the experience of the crisis, some enterprises might lay off in a larger extent. The sanitary crisis emphasizes also a slowdown already begun in the previous quarters in 2019.

This article reports on the employment evolution based on quarterly results of the Labour Force Survey. It looks at the impact of the crisis on the labour market in the different type of activities as well as the consequences on employed people by education level attainment and by professional status.

Full article

Disparate employment rates and evolutions for young, mid-age people or seniors

Among the EU Member States, the share of employed people in the total population, commonly referred to as the employment rate varied in the first quarter of 2020 for people aged 15-64 from 78.4% in the Netherlands, 75.4 in Sweden% and 75.0% in Estonia to 61.4% in Croatia, 58.4% in Italy and 55.9% in Greece. Half of the EU Member States showed a higher employment rate than 69.8% which is the median (see Figure 1). Between 2019Q1 and 2020Q1, the employment rate increased in most of the countries, 15 countries of of the 26 EU Member States for which data is available. This increase was substantial and exceeded 1p.p. in Malta (+2p.p.), Poland (+1.2p.p.) and Romania (+1.2p.p.). On the same period, eight EU countries recorded a lower employment rate compared to 2019Q1. Luxembourg, Sweden and Croatia recording the highest decreases, more than 0.5p.p. with -0.9 percentage points (p.p.), -0.8 p.p. and -0.6 p.p. These results can be seen in Figure 2. However, behind these figures, a great variation in the employment rate but also in its evolution is observed according to the age of employed people.

Less young employed people in 15 out of 26 EU Member States in 2020Q1 compared to 2019Q1

Focusing on young people (aged 15-24 years), more than six out of ten young Dutch people were employed in 2020Q1 (64.7%). The Netherlands is followed by far by Denmark and Austria in which around half of them were employed (53.2% and 50% respectively) among the total population of young people. On the opposite, less than two out of ten people aged 15-24 were employed at the same period in Italy, Bulgaria and Greece (17.5%, 17% and 13.8%). Over the last year, comparing 2019Q1 and 2020Q1, employment of young people decreased in 15 out of the 26 EU Member States for which data is available in 2020Q1 (which means all EU Member States without Germany). The employment rate decreased by more than 2p.p. in Luxembourg, Czechia and Bulgaria (-5.4%, -2.2% and -2.0%) in one year. In Italy and Hungary, the employment rate remained stable while one third of the countries (i.e. nine countries) recorded a higher employment rate of young people: Ireland (+1.7p.p.), Estonia (+1.6p.p.), Belgium (+1.1p.p.).

People aged 25-54 and senior workers maintained their employment rate in most EU countries

Comparing the first quarter 2020 to the same quarter 2019, the employment rate increased in 18 EU Member States and stable in one. Malta, Greece and Poland recorded an increase greater than 1p.p. between both quarters, respectively by +2.8%, 1.2% and 1.0%. The share of employed people aged 55-64 in the total population of the same age decreased in only three countries on the same period, namely in Bulgaria (-0.1p.p.), Austria (-0.7p.p) and Sweden (-1.5p.p.). Increase by more than 2p.p. of the employment rates of senior workers were observed in Latvia (+3.4p.p), Finland, Estonia and Hungary (+2.2p.p.), Belgium and Spain (+2p.p.).

In the context of the COVID-19 pandemic, it is expected that the downturn in the business activity had direct and short-term consequences like, among others, freezing the hiring, stopping contract before the end of the probationary period and not renewing fixed-term contracts. Young people is therefore the first age group that might be impacted. The attachment to the labour market might be therefore less strong than for people aged 25-54 and senior workers. Older people already in employment might suffer in a second stage mass dismissals.

Figure 1: Employment rates by age category and by country, 2020Q1
(in % of the total population)
Source: Eurostat (lfsq_ergaed)

Figure 2: Change in the employment rates by age category and by country, 2020Q1-2019Q1
(in percentage points)
Source: Eurostat (lfsq_ergaed)

The higher is level of education, the higher is the employment rate

Among the 26 EU Member States for which 2020Q1 data on education has been released, the following pattern can be observed although in different extent in all countries: the employment rate of people aged between 15 and 64 who attained a high level of education (tertiary degree) is higher than the employment rate recorded by those who attained at most a medium level i.e. upper secondary and post-secondary non-tertiary education level. In the same way, those people with a medium level of education accounted for more employed people than people who attained at most the lower secondary education level (see Figure 3). In Malta, Lithuania and Slovenia, more than 90% of the population aged 15-64 with a high level of education is employed while Spain, Italy and Greece recorded the lowest employment rates in this category which stood for less than 80% in the first quarter 2020. These three countries also had the lowest employment rates for people who attained a medium level of education (less than 65%). In this same education category which is the medium level, more than 80% is nevertheless employed in Sweden, Czechia and the Netherlands. The share of employed people with a low level of education are much below the shares found for more educated people in teh vast majority of countries. In Slovakia and in Czechia, the gap between the employment rate of people with a medium level of education and a low level of education reached more than 50p.p.: 18.6% (for people with a low level) against 74.6% (for people with a medium level) in Slovakia and 27.9% against 80.5% in Czechia. Moreover, more than six out of ten people with a low level of education are employed in Malta, the Netherlands and Portugal (64.2%, 61,6% and 60.4%) but less than three out of ten of those people were employed in Czechia (27.9%), Croatia (24.6%), Poland (23.3%), Lithuania (21.3%) and Slovakia (18.6%).

In terms of evolution, the employment rate decreased in 12 out of 26 EU Member States for people with a low level of education, in nine EU MSs for people with a medium level of education and again in 12 EU MSs for people with a high level of education (see Figure 4). Nevertheless, only five EU Member States recorded a higher share of employed people for each category of education level, namely Malta, Denmark, Romania, Finland and Poland and only one EU Member State, Portugal, recorded a lower share for all the categories. This means that the vast majority of countries recorded disparate developments among the education categories.

Figure 3: Employment rates by education level attainment, people aged 15-64, by country, 2020Q1
(in % of the total population)
Source: Eurostat (lfsq_ergaed)

Figure 4: Change in the employment rates by education level attainment, people aged 15-64, by country, 2019Q1-2020Q1
(in percentage points)
Source: Eurostat (lfsq_ergaed)

Focus on employment of young people with low, medium and high level of education

Figure 5 presents the specific evolutions of the employment rate by age and also by education level. Based on this figure again, it can be easily noticed that more countries recorded a decrease of the share of employed young people than of employed mid-age people or seniors. Mainly, a vast majority of the EU Member States, 19 exactly out of 26, registered a decrease in the employment share of young people with a medium level of education between the first quarter 2019 and the first quarter 2020, two countries maintained the employment rate at the same level and only five showed a higher share of employed people aged 15-24 with a medium level of education. These five countries are Belgium, Greece and Hungary with a increase of the employment rate between 0 and less than 0.5p.p. as well as Estonia and Romania with an increase higher than 0.5p.p. The decrease in terms of employment is not so frequent among countries for young people with a low or high level of education, for which a lower employment rates were registered in 11 countries. In the other age categories i.e. 25-54 and 55-64, the category of people with a medium level of education is the category for which less countries recorded a decrease, seven exactly for both categories. A lower employment rate was reported in 12 countries compared to the first quarter 2019 for people aged 25-54 with low level of education and in 10 countries for the same aged people with a high level of education. Among senior (55-64), the level of employment in the total population decreased more frequently, precisely in 12 EU Member States for people with low level of education than for those with a medium or high level of education (respectively in seven and ten countries). Regardless the education category, less countries might report a lower employment rate given that inside a age category, this might not be the same countries recording a decrease/increase in the category by education level.

Figure 5: Number of EU member States by evolution of the employment rates, by education level attainment and age category, 2019Q1-2020Q1
Source: Eurostat (lfsq_ergaed)

Divergent developments by type of occupation

Many countries with less employed people in elementary occupations and craft and related trades workers but with more managers and professionals

Between the first quarter of 2019 and the first quarter 2020, there were more employed professionals in 22 EU Member States, a vast majority of the countries (see Figure 6). This category encompasses people who "increase the existing stock of knowledge; apply scientific or artistic concepts and theories; teach about the foregoing in a systematic manner; or engage in any combination of these activities", it includes among other researchers, scientists and mathematicians. The increase has been greater than 0.5p.p. in eight countries. Actually, the four countries out of 26 in which the employment decreased by 0.5% or less are Croatia, Cyprus, Austria and Romania. The same finding has been observed for the managers but in a lesser degree. Indeed, the number of managers increased by more than 0.5% in 10 countries, and by 0.5% or less in six countries. In 10 countries, however, the number of managers decreased by more than 0.5% in Bulgaria, Czechia, Estonia, Cyprus, Luxembourg, Hungary and Finland and decreased by 0.5% or less in Spain, Croatia and Portugal. Another category that less frequently increased among the EU Member States but still more than other occupations category is the technicians and associate professionals. Indeed over the year between 2019Q1 and 2010Q1, there were more technicians and associate professionals in 14 countries but in 11, the recorded increase equals to 0.6% or less. At the other end of the scale, people employed in elementary occupations were less in the first quarter 2020 than in the first quarter 2019 in 17 countries. The elementary occupations involve the performance of simple and routine tasks which may require the use of hand-held tools and considerable physical effort. The decrease of employed people in this group exceeded 0.5% in five countries which are Luxembourg, Hungary, Malta, Slovenia and Slovakia. The craft and related trades workers is another occupation category that recorded a lower number of employed people in many countries, in 16 out of 26 exactly. Estonia, Latvia, Portugal and Sweden recorded greater increase than 0.5% between both quarters. Note: Craft and related trades workers apply specific technical and practical knowledge and skills to construct and maintain buildings; form metal; erect metal structures; set machine tools or make, fit, maintain and repair machinery, equipment or tools; carry out printing work; and produce or process foodstuffs, textiles, wooden, metal and other articles, including handicraft goods.

Figure 6: Number of EU member States by type of growth and by occupation category, 2020Q1-2019Q1
Source: Eurostat (lfsq_eisn2)

Employment variation by activity sectors

Compiling the 26 EU Member States for which data on activity is available (i.e. all without Germany), the given picture (see Figure 7) shows that in terms of employment, the four following categories: Industry (B-E), wholesale and retail trade; repair of motor vehicles and motorcycles, human health and social work activities and, education cover almost half of the total employment registered by all the countries put together (respectively, these categories accounted for 18%, 14%, 10% and 8% of the total employment.

Among all activities, some become more substantial in terms of employment between 2019Q1 and 2020Q1 in a significant number of countries. This is the case of the professional, scientific and technical activities whose number of employed people raised in 18 EU Member States. Among these 18 EU MSs, ten registered an increase greater than 0.5% (i.e. Denmark, Estonia, Ireland, Croatia, Latvia, Hungary, Malta, Poland, Finland and Sweden) and eight MSs a growth rate equal to 0.5 or lower (Bulgaria, Spain, France, Cyprus, Luxembourg, Netherlands, Austria and Slovenia).

The number of people employed in the human health and social work activities also increased in 18 countries between the first quarter 2019 and the first quarter 2020, half recording a rise grater than 0.5% (Bulgaria, Czechia, Estonia, Greece, Spain, Croatia, Cyprus, Lithuania and Portugal). Denmark, France, Italy and Romania showed a slight decrease of employed people in these activities in the first quarter (0.5% or less) while employed people in these activities decreased by more than 0.5% in Latvia, Luxembourg, Slovenia and Slovakia.

On the opposite, the number of employed people was lower in the first quarter 2020 compared to the same quarter in 2019 in a vast majority of countries in the activities related to the wholesale and retail trade; repair of motor vehicles and motorcycles and also in accommodation and food service activities. Indeed, employment decreased for the first category (i.e.wholesale and retail trade; repair of motor vehicles and motorcycles) in 17 countries. Employment decreased by more than 0.5% in three out of the 17, namely Belgium, Cyprus and Slovenia. On the contrary, this category increased between both quarters but by 0.5% or less in Ireland, Greece, Spain, France, Croatia, Hungary and the Netherlands. However the same category increased by more than 0.5% in Luxembourg and Romania. Moreover, the level of employment was lower in accommodation and food service activities in 15 countries between 2019Q1 and 2020Q1. For this type of activities, the increase and the decrease registered by the countries seem to be greater than for the activities related to the wholesale and retail trade; repair of motor vehicles and motorcycles. Five countries registered greater decrease than 0.5% of employed people in in accommodation and food service activities such Belgium, Estonia, Slovenia, Slovakia and Finland and other five countries recorded an increase greater than 0.5% in Denmark, Luxembourg, Malta, Portugal and Romania. All detailed figure are available in the excel file(+LINK) attached to this article

Figure 7: Employment distribution by activity sector, people aged 20-64, EU-27 (1), 2020Q1
(in % of total employement)
Source: Eurostat (lfsq_eisn2)

Figure 8: Number of EU member States by type of growth and by main activity, 2020Q1-2019Q1
Source: Eurostat (lfsq_ergaed)

Volatility in employment according to the professional status

Among EU Member States, most employed people in the first quarter 2020 are employees (see Figure 9). The highest shares of employees in total employment can be observed in 2020Q1 in Denmark with 92.4%, Sweden (91.0%), Luxembourg (90.6%) and Estonia (90.1%). In half of countries for which data is available (all EU 27 Member States except Germany), the share of employees is greater than 87%. The lowest shares are reported by Italy, Romania and Greece with less than eight out of ten of employed people are employees, respectively 78.5%, 78.4% and 69.0%. The remaining employed people are mainly self-employed. Poland, Italy and Greece recorded the highest number of self-employed proportionately to the total employment with 17.7%, 20.3% and 27.9% of employed people who are self-employed. The lowest shares are found in Sweden (8.9%), Luxembourg (8.0%) and Denmark (7.4%). The remaining category of employed people consists of contributing family workers. This professional status is relatively marginal in the overwhelming majority of the EU Member States. However, in some countries, contributing family workers accounted in 20201Q1 for more than 1% of the total employment: Romania (6.3%), Greece (3.1%), Poland (2.1%), Italy and Slovenia (1.1%, both).

Comparing the first quarter 2020 to the first quarter 2019 (see Figure 10), the number of employees fuctuated between -2% and +2% in 22 out the 26 EU Member States for which data is available. In Greece, Slovenia and Malta, however, the number of employees increased by more than 2% over the year between 2019Q1 and 2020Q1, respectively by 2.4%, 3.0% and 5.0%. Hungary recorded less employees in 2020Q1 than one year before, registering a decrease of 2.1% between both quarters.

The volatility of the self-employed seemed to be quite high on the same period. In this case, self employed fluctuated by more than 2% in 14 countries. Self-employed decreased in Lithuania by 2.6%, in Greece by 2.8%, in Estonia by 7.0%, in Bulgaria by 8.1% and in Slovenia by 11%. In contrast, the number of self-employed were more substantial in 2020Q1 compared to 2019Q1 in Romania (+3.4%), Poland (+2.8%), Luxembourg (+7.9%), Latvia (+8.0%), Ireland (+2.2%), France (+4.4%), Cyprus and Hungary (+9.4%, both) and Malta with +10%.

Note: This high volatility can also be explained by the lower number of self-employed in some countries, specially in small countries, that more underlined any change.

Figure 9: Employed people by professional status, people aged 20-64, 2020Q1
(in % of total employment)
Source: Eurostat (lfsq_egaps)

Figure 10: Growth rate of employment by professional status and by country, people aged 20-64, 2019Q1-2020Q1
(in %)
Source: Eurostat (lfsq_egaps)

Source data for tables and graphs

Employment (general) 2020Q1: tables and figures

Data sources

All figures in this article are based on seasonally adjusted quarterly results from European labour force survey (EU-LFS).

Source: The European Union labour force survey (EU-LFS) is the largest European household sample survey providing quarterly and annual results on labour participation of people aged 15 and over as well as on persons outside the labour force. It covers residents in private households. Conscripts in military or community service are not included in the results. The EU-LFS is based on the same target populations and uses the same definitions in all countries, which means that the results are comparable between countries.

European aggregates: EU refers to the sum of EU-27 Member States. If data are unavailable for a country, the calculation of the corresponding aggregates takes into account the data for the same country for the most recent period available. Such cases are indicated.

Definitions: The concepts and definitions used in the labour force survey follow the guidelines of the International Labour Organisation.

Five different articles on detailed technical and methodological information are linked from the overview page of the online publication EU labour force survey.

Context

The COVID-19 virus hit Europe in January and February 2020, with the first cases confirmed in Spain, France and Italy. COVID-19 infections have now been diagnosed in all European Union (EU) Member States.

To fight the pandemic, EU Member States have taken a wide variety of measures.

From the second week of March, most countries closed retail shops apart from supermarkets, pharmacies and banks. Bars, restaurants and hotels have also been closed. In Italy and Spain, non-essential production was stopped and several countries imposed regional or even national lock-down measures which further stifled the economic activities in many areas.

In addition, schools were closed, public events were cancelled and private gatherings (with numbers of persons varying from 2 to 50) were banned in most Member States.

The large majority of the prevention measures were taken during mid-March 2020 and most of the prevention measures and restrictions were kept for the whole of April and May 2020.

The first quarter of 2020 is consequently the first quarter in which the labour market across the EU has been affected by COVID-19 measures taken by the Member States.

Employment and unemployment as defined by the ILO concept are, in this particular situation, not sufficient to describe the developments taking place in the labour market. In this first phase of the crisis, active measures to contain employment losses led to absences from work rather than dismissals, and individuals could not search for work or were not available due to the containment measures, thus not counting as unemployed.

The quarterly data on employment will allow along the quarters to report on the impact of the economic crisis on employment. This specific article focuses on the age and the level of education attainment of employed people in order to determine potential categories more or less affected by the economic downturn. It will also emphasize the evolution of part-time employment and temporary contracts. A supplementing article to this current article on the evolution of employment by activity and professional status is also available in the context of the publication