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JOBS DATA SET: DEFINITION AND TOPICS 

 

TABLE OF CONTENTS

Definitions and sources of key variables

Employment
Labor Market Institutions
Business Environment
Regional and Income Group Averages
New Business Density
School Enrollment
Employment by Sector
 

Topics

Employment
Structure of the Economy
Human Capital
Labor Market Institutions
            Business Environment
 

 

EMPLOYMENT


Total employment shows the ​er of people ages 15 and older who are employed in the corresponding country, region or income group.
Source: International Labour Organization, Key Indicators of the Labour Market database.

Share of employed in wage employment or wage and salaried workers, total (% of total employment) gives the percent of all those who are employed who hold the type of jobs defined as "paid employment jobs," where the incumbents hold explicit (written or oral) or implicit employment contracts that give them a basic remuneration that is not directly dependent upon the revenue of the unit for which they work.
Source: International Labour Organization, Key Indicators of the Labour Market database.

Youth unemployment is the share of people ages 15-24 that are in the labor force seeking employment, but unable to find employment.
Source: International Labour Organization, Key Indicators of the Labour Market database.

Working age population is the share of the total population ages 15-64. It includes everyone regardless of whether they are working or not.
Source: World Bank staff estimates from various sources including census reports, the United Nations Population Division's World Population Prospects, national statistical offices, household surveys conducted by national agencies, and Macro International.

New firms created per 1000 working age adults or density of firm creation provides the number of new limited liability corporations registered in the calendar year per 1000 population ages 15-64. Note: some countries are off-shore financial centers, with disproportionately large numbers of registered firms that do not undertake any business activities in the country itself. These countries, identified by the IMF and the Financial Stability Forum (FSF), are not included in the regional averages.
Source: World Bank's Entrepreneurship Survey and database

GDP per person employed is gross domestic product (GDP) divided by total employment in the economy. Purchasing power parity (PPP) GDP is GDP converted to 1990 constant international dollars using PPP rates. An international dollar has the same purchasing power over GDP that a U.S. dollar has in the United States.
Source: International Labour Organization, Key Indicators of the Labour Market database.

Labor force participation as percent of the population is the proportion of the population ages 15 and older that is economically active: all people who supply labor for the production of goods and services during a specified period.
Source: International Labour Organization, Key Indicators of the Labour Market database.


LABOR MARKET INSTITUTIONS

 

Minimum wage for a 19-year-old worker or an apprentice (US$/month) is the legally mandated minimum wage for these types of workers. If there is no such mandate, the indicator is reported as a “0”. If no information is known about minimum wages, “N/A” is reported.
Source: Doing Business, World Bank.

Do legal provisions mandate equal pay for equal work captures whether this provision is included in the constitution or formal labor laws (0=No; 1=Yes). For regional or income group averages, what is reported is the share of countries that have this legal provision.
Source: Women, Business and the Law, World Bank.

Weeks of severance pay gives the legally required minimum number of weeks of severance pay for redundancy dismissal for a worker with 20 years of tenure. If there is no mandate to provide severance pay, the indicator is reported as a “0”. If no information is known about severance pay, “N/A” is reported.
Source: Doing Business, World Bank.

Working days of paid annual leave gives the number of working days of paid leave a worker with 5 years of tenure would receive in a year. If there is no mandate regarding minimum weeks of paid annual leave, the indicator is reported as a “0”. If no information is known about paid annual leave, “N/A” is reported.
Source: Doing Business, World Bank.

BUSINESS ENVIRONMENT

 

Ease of doing business ranks economies from 1 to 183, with lower numbers given to a regulatory environment that is more conducive to business operation. The index averages the country's percentile rankings on 10 topics covered in the World Bank's Doing Business. The ranking on each topic is the simple average of the percentile rankings on its component indicators.
Source: Doing Business, World Bank.

Domestic credit to private sector (% of GDP) refers to financial resources provided to the private sector, such as through loans, purchases of non-equity securities, and trade credits and other accounts receivable, that establish a claim for repayment. For some countries these claims include credit to public enterprises.
Source: International Monetary Fund, International Financial Statistics and data files, and World Bank and OECD GDP estimates.

Mobile cellular subscriptions (per 100 people) are subscriptions to a public mobile telephone service using cellular technology, which provide access to the public switched telephone network. Post-paid and prepaid subscriptions are included.
Source: International Telecommunication Union, World Telecommunication/ICT Development Report and database, and World Bank estimates.

Paved roads (as % of total roads) are those surfaced with crushed stone (macadam) and hydrocarbon binder or bituminized agents, with concrete, or with cobblestones, as a percentage of all the country's roads, measured in length.
Source: International Road Federation, World Road Statistics and electronic files, except where noted.

Regional and income group averages

On the dashboards, reported averages are the simple averages across countries in the region (or income group).

Charts on dashboards Unemployment rates Unemployment refers to the share of the labor force that is without work but available for and seeking employment. Definitions of labor force and unemployment differ by country. Youth unemployment refers to the share of the labor force ages 15-24 without work but available for and seeking employment, relative to the total labor force participation of those 15-24. Definitions of labor force and unemployment differ by country.

Female unemployment is the share of women 15-64 who are without work but available for and seeking employment, relative to the total female labor force ages 15-64.
Source: International Labour Organization (ILO), Key Indicators of the Labour Market database.

New business density

New business density are the number of new limited liability corporations registered in the calendar year per 1000 population ages 15-64. Note: some countries are off-shore financial centers, with disproportionately large numbers of registered firms that are not actively engaged in business activities in the country itself. These countries, identified by the IMF, are not included in the regional averages.
Source: World Bank's Entrepreneurship Survey and database; http://econ.worldbank.org/research/entrepreneurship

School Enrollment

Gross enrollment ratio is the ratio of total enrollment, regardless of age, to the population of the age group that officially corresponds to the level of education shown. Gross enrollment rates can be greater than 100 percent if students of different ages are enrolled at that level of education. Most commonly, rates above 100 percent indicate that older students are enrolled in a level education lower than predicted by their age.

Primary education provides children with basic reading, writing, and mathematics skills along with an elementary understanding of such subjects as history, geography, natural science, social science, art, and music.

Secondary education completes the provision of basic education that began at the primary level, and aims at laying the foundations for lifelong learning and human development, by offering more subject- or skill-oriented instruction using more specialized teachers.

Tertiary education, whether or not to an advanced research qualification, normally requires, as a minimum condition of admission, the successful completion of education at the secondary level.
Source: United Nations Educational, Scientific, and Cultural Organization (UNESCO) Institute for Statistics and WDI 

Employment by sector

Employees are people who work for a public or private employer and receive remuneration in wages, salary, commission, tips, piece rates, or pay in kind. This graph shows the share of employees by major sector in the economy.

Agriculture corresponds to division 1 (ISIC revision 2) or tabulation categories A and B (ISIC revision 3) and includes hunting, forestry, and fishing.

Industry corresponds to divisions 2-5 (ISIC revision 2) or tabulation categories C-F (ISIC revision 3) and includes mining and quarrying (including oil production), manufacturing, construction, and public utilities (electricity, gas, and water).

Services correspond to divisions 6-9 (ISIC revision 2) or tabulation categories G-P (ISIC revision 3) and include wholesale and retail trade and restaurants and hotels; transport, storage, and communications; financing, insurance, real estate, and business services; and community, social, and personal services.
Source: International Labour Organization (ILO), Key Indicators of the Labour Market database.

 

TOPICS

Employment

Definitions of specific indicators and their sources are available in the ‘notes’ of the Jobs Databank.

The indicators are based on household surveys carried out by national governments. These surveys are not carried out annually in every country. Thus there may be gaps in the data series where surveys were not fielded that year. To facilitate comparisons across countries when surveys may not be available in exactly the same years, a ‘most recent value’ value is provided.

Sub-theme: Labor force participation: Labor force participation as percent of the population is the proportion of the population ages 15 and older that is economically active: all people who supply labor for the production of goods and services during a specified period. It is available for the population as a whole, for women, for men and for youth. Source: International Labour Organization (ILO), Key Indicators of the Labour Market database.

Sub-theme: Unemployment: Unemployment refers to the share of the labor force that is without work but available for and seeking employment. Definitions of labor force and unemployment can differ by country. Youth unemployment refers to the share of the labor force ages 15-24 without work but available for and seeking employment, relative to the total labor force participation of those 15-24. Female unemployment is the share of women 15-64 who are without work but available for and seeking employment, relative to the total female labor force ages 15-64. Source: International Labour Organization (ILO), Key Indicators of the Labour Market database. 

Sub-theme: Types of employment. Individuals can be a wage worker, self-employed, an employer or an unpaid worker.

Sub-theme: Sectors of employment. These indicators show the share of employment accounted for by a) agriculture; b) industry and c) services.

 

Structure of the economy

Definitions of specific indicators and their sources are available in the ‘notes’ of the Jobs Databank.

Countries vary not only by location and size, but in their level of development and the types of economic activities they engage in. These in turn can affect their employment patterns.

Sub-theme: Population: It is not just the size of the population that is of interest, but its age distribution. Large shares of young people can increase the pressure to address new job opportunities. A large working age population can help bear the costs associated with looking after dependents.

Sub-theme: Poverty and equity: In looking at employment patterns, the distribution of who is employed is important too.

Sub-theme: Trade and financial flows: Participation in trade can expand access to international markets. This can facilitate the transfer of technology as well as increase competitive pressures and help exporting firms achieve larger scale.

Sub-theme: Production: GDP per capita is a common summary statistic for a country’s level of development. The sectoral composition across agriculture, industry and services also affects employment prospects.

 

Human capital

Definitions of specific indicators and their sources are available in the ‘notes’ of the Jobs Databank.

Sub-theme: Schooling is the most commonly reported measure of human capital. But it is not the only indicator that matters.

Sub-theme: Literacy rates are a crude measure of basic human capital, and is available for youth as well as the population as a whole. The latter captures the fact that as enrollment has increased over time, there can still be substantial lags in the average level of education of the overall population.

Sub-theme: Technology, technicians and workers in R&D, can give an indication of the sophistication of production and the potential for innovation.

Sub-theme: Health and fertility indicators provide information on broader measures of individuals’ potential and availability to work.

 

Labor market institutions

The measures of ‘labor market institutions’ is largely drawn from Doing Business (www.doingbusiness.org). The indicators measure flexibility in the regulation of employment, specifically as it affects the hiring and redundancy of workers and the rigidity of working hours based on the formal laws and regulations on the books. Since 2007 improvements have been made to align the methodology for the employing workers indicators with the letter and spirit of the ILO conventions. Only 4 of the 188 ILO conventions cover areas measured by Doing Business: employee termination, weekend work, holiday with pay and night work. The Doing Business methodology is fully consistent with these 4 conventions. The ILO conventions covering areas related to the employing workers indicators do not include the ILO core labor standards—8 conventions covering the right to collective bargaining, the elimination of forced labor, the abolition of child labor and equitable treatment in employment practices.

The guidance of a multi-sectoral consultative group has provided the basis for several changes in the methodology. The calculation of the minimum wage ratio was changed to ensure that no economy can receive the highest score if it has no minimum wage at all, if the law provides a regulatory mechanism for the minimum wage that is not enforced in practice, if there is only a customary minimum wage or if the minimum wage applies only to the public sector. A threshold was set for paid annual leave and a ceiling for working days allowed per week to ensure that no economy benefits in the scoring from excessive flexibility in these areas. Finally, the calculation of the redundancy cost and of the annual leave period for the rigidity of hours index was changed to refer to the average value for a worker with 1 year of tenure, a worker with 5 years and a worker with 10 years rather than the value for a worker with 20 years of tenure.

This year Doing Business collected additional data on regulations covering worker protection. The data will serve as a basis for developing a joint analysis of worker protection by the World Bank Group and the ILO and for developing measures of worker protection.

The data on employing workers are based on a detailed survey of employment regulations that is completed by local lawyers and public officials. Employment laws and regulations as well as secondary sources are reviewed to ensure accuracy. To make the data comparable across economies, several assumptions about the worker and the business are used.

Assumptions about the worker

The worker:

  • ● Is a full-time, male, nonexecutive employee.
  • ● Earns a salary plus benefits equal to the economy’s average wage during the entire period of his employment.
  • ● Has a pay period that is the most common for workers in the economy.
  • ● Is a lawful citizen who belongs to the same race and religion as the majority of the economy’s population.
  • ● Resides in the economy’s largest business city.
  • ● Is not a member of a labor union, unless membership is mandatory.
Assumptions about the business

The business:
  • ● Is a limited liability company.
  • ● Operates in the economy’s largest business city.
  • ● Is 100% domestically owned.
  • ● Operates in the manufacturing sector.
  • ● Has 60 employees.
  • ● Is subject to collective bargaining agreements in economies where such agreements cover more than half the manufacturing sector and apply even to firms not party to them.
  • ● Abides by every law and regulation but does not grant workers more benefits than mandated by law, regulation or (if applicable) collective bargaining agreement.
Indicators associated with difficulty in hiring include:
  • ● Whether fixed-term contracts are prohibited for permanent tasks
  • ● Minimum wage for a 19-year old worker or an apprentice
  • ● The ratio of the minimum wage for a trainee or first-time employee to the average value added per worker.
Indicators associated with rigidity of hours include:
  • ● The maximum working days per week
  • ● Is there a required premium for night work (% of hourly pay) in case of continuous operations? (Yes=1; No=0)
  • ● Is there a required premium for work on weekly rest day (% of hourly pay) in case of continuous operations? (Yes=1; No=0)
  • ● Paid annual leave for a worker with 5 years of tenure (in working days)
  • ● Paid annual leave for a worker with 20 years of tenure (in working days)
The difficulty of redundancy index has 8 components:
  • ● Whether the employer needs to notify a third party (such as a government agency) to terminate 1 redundant worker
  • ● Whether the employer needs to notify a third party to terminate a group of 9 redundant workers
  • ● Whether the employer needs approval from a third party to terminate 1 redundant worker
  • ● Whether the employer needs approval from a third party to terminate a group of 9 redundant workers
  • ● Whether the law requires the employer to reassign or retrain a worker before making the worker redundant
  • ● Whether priority rules apply for redundancies
  • ● Notice period for redundancy dismissal (for a worker with 5 years of tenure, in salary weeks)
  • ● Notice period for redundancy dismissal (for a worker with 20 years of tenure, in salary weeks)
  • ● Severance pay for redundancy dismissal (for a worker with 5 years of tenure, in salary weeks)
  • ● Severance pay for redundancy dismissal (for a worker with 20 years of tenure, in salary weeks)

This methodology for Doing Business’ “Employing Workers” was developed in Botero and others.(2004) and is adopted here with minor changes.

Do legal provisions mandate equal pay for equal work captures whether this provision is included in the constitution or formal labor laws (0=No; 1=Yes). For regional or income group averages, what is reported is the share of countries that have this legal provision. This is drawn from Women, Business and Law.

Business environment

Definitions of specific indicators and their sources are available in the ‘notes’ of the Jobs Databank.

Sub-theme: Regulations: These measures largely draw on Doing Business and are based on the time and cost of fully complying with key business regulations. Areas include: starting a business, paying taxes, enforcing contracts, and resolving insolvency.

Sub-theme: Finance: More developed financial markets can facilitate growth by expanding access to finance and to improving how it is allocated across potential borrowers. These indicators provide information on the depth of the financial sector and the extent of credit information.

Sub-theme: Infrastructure: The availability, quality and cost of infrastructure services can have a large impact on the feasibility of many economic activities and are critical in enabling technology to be used and to get goods to market. Indicators include access to electricity, pave roads, mobile phone subscribers and internet subscribers.

Sub-theme: Governance: The quality of governance can affect the extent to which the rule of law is respected and enforced.

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