Latvia: labour market situation, challenges and policy responses

Gundars IgnatsSenior Expert

Labour Market Policy DepartmentMinistry of Welfare of the Republic of Latvia

05.06.2015.

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Latvia: Labour market situation

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GDP growth, EU, 2014/2010, % GDP and occupied posts, 2004 Q4=100

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Value added changes, % 2012 vs 2009

Value added changes, %2014 vs 2012

Latvia: Labour market situation

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Productivity, % EU-28 average

Latvia: Labour market situation

Wage trends, 2010-2014

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Employment level, % agegroup 20-64(EUROSTAT)

Unemployment level, %, agegroup 15-74 (EUROSTAT)

 

Latvia: Labour market situation

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80 574 Registered unemployed NVA reģistrētie bezdarbnieki

6421 Registered vacancies

Latvia: Labour market situation

Vacancies concentrated in Riga region

Labour market situation: risk-groups

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Unemployment level by age groups(EUROSTAT)

Unemployment and long-term unemployment levels (State Employment agency)

 

Inactive population by reason for not seeking employment, thsd. (CSB)

Number and share of unemployed 50+(State Employment agency)

 

TOTAL 497.4

Awaiting recall to work 1.6

Own illness or disability 59.1

Personal or family responsibilities 55.2

Education or training 116.4

Retirement 222.1

Waiting for season starting 1.5

Belief that no work is available 26.6

Not willing or no need to work 12.5

Other reasons 2.4

Youth

Inactive50+

Long-term unemployed

Labour market situation: policy responses

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More inclusiveness: The expansion of the provision of services in compliance with the individual needs identified in the result of the profiling:• Youth Guarantee (first work experience, completion of education)

• Activation of long-term unemployed (motivation programms + temporary work)

• More intense career services within the career planning process

• Support for 50+: - facilitate longer and better working lives (Implementation of Active ageing strategy)

  Better balanced labour market:

• Availability of information on the labour market (Employment Barometer)

• Improvement of the efficiency of the analysis of the labour market situation

• Skills anticipation: raising the competitiveness of unemployed persons and persons under risk of job loss by improving the knowledge and skills required on the labour market

• Expanding of the self-employment and entrepreneurship opportunities for registered unemployed persons

  Employment promoting tax and benefit policy: Development of the

system of labour taxes and benefits more friendly to inclusive employment

Thank you for your attention!

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