Catalogue Number: Unemployment 2016/Q1 Released: 30 th June Quarterly Unemployment Statistics 2016-Q1

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1 Catalogue Number: Unemployment 2016/Q1 Released: 30 th June 2016 Quarterly Unemployment Statistics 2016-Q1 In the first quarter of 2016, the national unemployment rate was 5.5% and the labour force participation rate was recorded at 71.1%. The highest unemployment rate was among females (5.7%) compared to males (5.2%). CONTENTS 1. Introduction 2. Results and highlights 3. Tables and charts 4. Concepts, sources and methods 5. Next release 6. Contact us TABLES Table 1 Sex distribution of key populations and selected key indicators Table 2 Unemployment rates by age group and sex Table 3 Percentage distribution of unemployed population by educational attainment and sex Table 4 Percentage distribution of unemployed population by duration of unemployment and sex Table 5 Percentage distribution of unemployed population by methods used to search for work and sex Table 6 Youth to national unemployment rate CHARTS Chart 1 Chart 2a Chart 2b Unemployment rates by age group and sex National quarterly unemployment rates by sex Youth quarterly Unemployment Rates by Sex

2 1. INTRODUCTION This bulletin presents quarterly Unemployment Statistics derived from a series of ongoing monthly Labour Force Surveys which started in January The continuous survey now provides a permanent platform to obtain regular quarterly unemployment figures for measuring labour market dynamics in Seychelles. The unemployment figures are based on the population aged 15 years and above. The quarterly figures are obtained from a sample of 1200 households spread out into 400 households canvassed per month over the islands of Mahe, Praslin and La Digue. 2. RESULTS AND HIGHLIGHTS YEAR ON YEAR COMPARISON Persons in the working age population who during the reference week were not employed, were available to work and were looking for work are defined as unemployed. Table 1 shows that in quarter 1 of 2016, 51.4% of the unemployed population was female. This shows a decrease of 10.9% in the proportion accounted for by unemployed women compared to the same quarter of The male representation has increased by 14.9% in The same pattern can be observed among the youth unemployed population. Among the youth unemployed population, the proportion of females who were unemployed were lower (38.4%) than the proportion of males who were unemployed (61.6%). The total unemployment rate is recorded at 5.5% in quarter of 2016, an increase of 5.3% compared to quarter one of Unemployment rates of 5.2% and 5.7% have been reported for male and female respectively this quarter. Table 2 presents unemployment rates by age group and sex. The unemployment rate is highest among the youth aged below 25 years. This quarter recorded a rate of 16.3% for this sub-group of the economically active population. This represents a 2.7% decrease from quarter one of In the same age band, females have a lower unemployment rate (13.8%) in comparison with males (18.3%). Note that since quarter three of 2014, the unemployment rate of females in the youth age group has always been higher than that of males.

3 In quarter one of 2016, there has been a slight decrease in the unemployment rate amongst the 55-plus age group compared to quarter one of The rate decreased from 2.4% in the same quarter of 2015 to 2.1% this quarter. The distribution of unemployed population by educational attainment and sex is provided in Table 3. Over half (57.8%) of the unemployed population have not attained education beyond secondary level. Within this group, the distribution of unemployed population across educational attainment shows that male representation is slightly lower than that of female (56.8% and 58.8% respectively). Table 4 presents the distribution of unemployed population by duration of unemployment whereas the distribution of the same population by sex and by methods used to search for work is shown in Table 5. In quarter one of 2016, the largest share (45.8%) of all unemployed persons reported to have been without work for 6 months or more. This -pattern is similar to the corresponding quarter of 2015 whereby almost 40% of the unemployed population remained so for half of the year. Year on year comparison shows that Placing or answering to advertisements/browsed the internet was the method of job search that gained most popularity. There was an increase of 69.1% in job-seekers using this method compared to the first quarter of Youth unemployment situation vis-à-vis national unemployment in Seychelles for this quarter improved from category severe to being serious -compared to the same period in From Table 6, the rate of youth unemployment is 3 times higher than the national unemployment rate, with male unemployment rates among youth being 3.5% higher than the national rate, and the female youth unemployment rate being 2.4 times higher than the corresponding national rate. This quarter saw a decrease of 4.8% in female unemployment at the national level compared to the same quarter in QUARTER ON QUARTER COMPARISON Table 1 shows that in quarter one of 2016, 51.4% of the unemployed population was female. This shows a decrease of 10.2% compared to quarter four of Compared to the previous quarter, the male representation has increased by 13.7%. The total unemployment rate was recorded at 5.5% in quarter one of 2016, an increase of 51.1% from the previous quarter. There has been an increase of

4 28.9% in the youth unemployment rate over the previous quarter of In the reporting quarter, there has been an increase in the unemployment rate amongst all age groups compared to the previous quarter in 2015 (Table 2). The rate increased from 12.6% to 16.3% for those in the youth age group (15-24 years), from 2.2% to 3.7% from those in the prime working age group (25-54 years) and from 1.5% to 2.1% for those aged 55 years and above. The proportion of jobseekers who remained unemployed for at least 3 months almost doubled from 20.8% in the fourth quarter of 2015 to 39.7% in the first quarter of this year (Table 4). In the first quarter of 2016, a little less than half of unemployed persons (45.8%) remained so for 6 months and above. Quarter on quarter comparison for the most common method of job-seeking shows an increase among those who applied to prospective employers, from 33.5% in the fourth quarter of 2015 to 51.1% this quarter. Compared to the last quarter of 2015, this quarter notes a 60.8% decrease among those who registered at private employment agencies (Table 5). Time-Related Underemployment Underemployment enables us to have an insight into the extent to which available labour is underutilised. There is a proportion of the employed population who, although they have jobs, face a partial lack of work. The QLFS uses the time-related approach to measure underemployment with the threshold at 35 hours per week, for main jobs only. Table 1 shows that in the first quarter of 2016, 0.6% of the employed population were underemployed. Although relatively low for both sexes, a higher proportion of males (1.1%) were underemployed compared to that of their female counterparts (0.1%). The percentage distribution of underemployment by sex shows that the majority of the underemployed population (90.9%) is male.

5 3. TABLES AND CHARTS Table 1: Sex Distribution of Key Populations and Selected Key Indicators, Q and Q Q Q Q Working age population % % % % % % % % % National Youth (UN) (1) Employed population National Youth (UN) (1) Unemployed population (standard) National Youth (UN) (1) Unemployed population (relaxed) National Youth (UN) (1) Labour force (standard) National Youth (UN) (1) Time-Related Underemployment (2) Actual Time-Related Underemployment Usual Time-Related Underemployment Rates (%): Unemployment rate (Standard Definition) Unemployment rate (Relaxed Definition) Labour Force Participation Rate Employment-to-Population Ratio Time-Related Underemployment (2) Actual Time-Related Underemployment Usual Time-Related Underemployment Youth unemployment rate (Standard Definition) Youth unemployment rate (Relaxed Definition) Source: National Bureau of Statistics, Quarterly Labour Force Survey Notes: (1) Youth UN refers to population aged years (2) Time related Underemployment is only recorded for persons in Full time employment (people working 35 hours per week)

6 Table 2: Unemployment Rates by Age Group and Sex, Q and Q Age group (years) Q % % 15 < < Total Source: National Bureau of Statistics, Quarterly Labour Force Survey % Q Q Table 3: Percentage Distribution of Unemployed Population by Educational Attainment and Sex, Q and Q Educational Attainment Q % % Q Q No schooling Secondary & below Post-secondary Total Source: National Bureau of Statistics, Quarterly Labour Force Survey Note: "Educational attainment " is defined here as "the highest level of formal education completed regardless of certification." % Table 4: Percentage Distribution of Unemployed Population by Duration of Unemployment and Sex, Q and Q Duration of Unemployment Q Q % % % 1 month to less than months to less than months & above Total Source: National Bureau of Statistics, Quarterly Labour Force Survey Q1 2016

7 Table 5: Percentage Distribution of Unemployed Population by Methods Used to Search for Work and Sex, Q and Q Methods used to search for work Male Female Applied to prospective employers Checked at factories and other work places Placed or answered advertisments or browsed the internet Sought assistance or advice to obtain a job Registered at private employment agency Took steps to start own business comprising: Sought assistance or advice to start own business - Looked for inputs to set up own business Q Q Q Applied for permit to set up own business Total Source: National Bureau of Statistics, QLFS, Quarterly Labour Force Survey Male Female Male % % % Female Table 6: Youth Unemployment to National Unemployment Rate, Q and Q Quarter Unemployment Rate (%) National Youth sexes Q Male Female sexes Q Male Female sexes Q Male Female Source: National Bureau of Statistics, Quarterly Labour Force Survey (1) The severity shows the number of times that the Youth unemployment rate exceeds the National unemployment rate The scale can be analysed as follows: ( 2) Normal (> 2 3) Serious (> 3) Severe Sex Severity Youth:National (1)

8 Percentage Chart 1: Unemployment Rate by Age Group and Sex, Q and Q < < Total Total Q Q Q1 2016

9 Percentage Percentage Chart 2a: National quarterly Unemployment Rate by Sex, Q and Q sexes Male Female 0.0 Q Q Q Chart 2b: Youth quarterly Unemployment Rate by Sex, Q and Q sexes Male Female Q Q Q1 2016

10 4. CONCEPTS, SOURCES AND METHODS Data collection Data collection was carried out over a period of one week every third week of each month for quarter one of Data on unemployment was collected relative to a current period (the previous calendar week). This was done by face-to-face interviews using paper questionnaires. Interviewers and supervisors were allocated districts and selected enumeration areas (EAs) to collect information from a list of sampled households. For the first quarter of 2016, nineteen districts were selected from different regions on Mahe, Praslin and La Digue and a 95% response rate was achieved. Sampling method The sample design used for the survey is the stratified three (two) stage sampling. The first stage consists of splitting the national master frame into 2 sub-frames (group 1 and group 2). sub-frames include all districts on the three main islands (Mahe, Praslin and La Digue. In any given year, sampling is done using only one of the sub-frames. Each sub-frame is used in alternate years. This prevents the possibility of the same EAs or households being sampled year after year, hence reducing respondents burden. EAs served as Primary Sampling Units (PSUs). At the second stage, the EAs are selected with probability proportional to size (i.e. the number of EAs in the respective district). At the third stage, 10 households are selected from each selected EA. Questionnaire One questionnaire was used for the collection of unemployment statistics. The questionnaire comprised two sections, LFS 1 and LFS 2. The former collected basic information on the sociodemographic characteristics of all members of the household, while the latter focused on the labour force. The second section of the questionnaire collected information on economic activities of household members who were 15 years and above. This included information on their current activity status, details of the current main job for those in employment, their status in employment and the number of hours spent in employment. The last section collected detailed information on those who were unemployed. DEFINITIONS Working age population: This comprises all persons aged 15 years and above. Employed Population: Persons of working age are classified as employed if that person:

11 (a) during a short reference period, was engaged in any activity to produce goods or provide services for pay or profit, for at least an hour, or (b) was temporarily absent from work for work related reasons such as leave, illness or shortage of materials provided the person continued to have a job attachment or an enterprise that continued to exist Unemployed population: This refers to persons in the working age population, who during the reference week: (a) Were not employed, (b) Were available to take up work if such was found (c) Were actively looking for work during the previous 4 weeks. Unemployed (Relaxed) population: This refers to persons in the working age population, who during the reference week: (a) Were seeking employment, but not available (unavailable job seekers) (b) Were not seeking employment, but want and are available to work (Available non-job seekers OR discouraged job seekers) Time related-underemployment: Persons in time-related underemployment are employed persons who were willing and available to work additional hours, whose total number of hours actually worked during the reference period was below 35 hours per week. Labour force: The labour force is defined as all persons aged 15 years and above who, during the previous calendar week, were either employed or unemployed. A person who is neither employed nor unemployed is outside the labour force. Labour force participation rate: The labour force participation rate (LFPR) provides information about the relative size of the supply of labour currently available for the production of goods and services in an economy. The LFPR offers some indication on the potential for economic growth. Employment-to-population ratio: Employment to population ratio is the proportion of a country's population that is employed. Persons aged 15 and older are generally considered the working-age population. It is the ratio of the number of employed persons to those in the working age population expressed as a percentage.

12 Youth (UN definition) V/S national unemployment rate: It has often been observed that youth unemployment rate is relatively higher than the national unemployment rate. For the purposes of analysis in this publication, a value of up to two times higher is considered normal; a value beyond two times, but up to three times higher will be considered a serious youth unemployment situation, whilst beyond three times higher will be deemed severe. 5. NEXT RELEASE The next issue of the Unemployment Statistics Bulletin will be released on 30 th September CONTACT US For more information regarding this publication, please contact Maria Payet on Tel : (248) Fax :+( 248) or The youth are defined as persons between the ages of years. Youth unemployment: This is defined as the total unemployed youth divided by the youth labour force (employed and unemployed youth).

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