Employment and unemployment in June 2002

- 8,000 fewer employed than a year ago
- Employment rate 71.1 per cent
- Rate of unemployment 9.0 per cent, 247,000 unemployed
- 24,000 new vacancies at labour exchange offices

According to the Labour Force Survey of Statistics Finland, the number of employed persons was 8,000 lower than a year earlier. The number of wage-earners rose, while that of self-employed persons fell from the year before. The number of wage-earners engaged in continuous full-time work grew by 8,000. During June, 24,000 new vacancies were reported to the labour exchange offices, which is nearly 2,000 less than in June 2001.

In June, the employment rate, that is, the proportion of the employed among persons aged 15 to 64, stood at 71.1 per cent, which was 0.3 per cent lower than the year before. Adjusted for seasonal variation, the employment rate was 67.6 per cent. The employment rate for men fell by 1.1 percentage points to 73 per cent. The employment rate for women rose by 0.7 percentage points and was 69.2 per cent. Compared to last year's June, employment grew in manufacturing and construction. Employment declined in public and other services and in trade. Jobs increased in the Provinces of Western Finland and Lapland.

Changes in the labour force 06/2001 - 06/2002, thousand

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	June 2002	June 2001	CHANGE, % 06/01 - 06/02
Statistics Finland's Labour Force Survey:
Employed, total	2 487	2 495	-0.3
- wage-earners	2 200	2 190	0.4
Employment rate, %	71.1	71.4	-0.3 ²
Unemployed¹	247	256	-3.5
Labour force, total	2 735	2 751	-0.6
Unemployment rate, %	9.0	9.3	-0.3 ²
Economically inactive, total	1 183	1 157	2.2
- discouraged job seekers	39	37	4.5
- other disguised unemployment	73	74	-0.9
Ministry of Labour's Labour Exchange Statistics:
Unemployed job seekers	297	305	-2.7
- unemployed over a year	78	83	-6.1
Employed with subsidised measures	37	38	-3.2
In labour market training	20	22	-6.2
In trainee and job alternation places	13	14	-8.6
New vacancies in labour exchange offices	24	25	-6.6
Unrounded figures are used in the CHANGE column ¹ Based on the recommendations of the International Labour Organisation (ILO)			² percentage points

According to the Labour Force Survey, there were 247,000 unemployed in June, i.e. 9,000 fewer than the year before. The change is within the margin of error (± 16,000). The rate of unemployment was 9.0 per cent, while it was 9.3 per cent one year previously. Adjusted for seasonal variation, the unemployment rate fell to 8.9 per cent.

The unemployment rate for men was 8.8 per cent and for women 9.3 per cent. One year earlier the unemployment rate for men was 8.4 per cent and for women 10.3 per cent. The unemployment rate among young people aged 15 to 24 was 22.2 per cent, against 20.5 per cent in June 2001. Adjusted for seasonal variation, the unemployment rate for young people was 21.5 per cent. The rate of unemployment was lowest in the Province of Southern Finland, i.e. 6.6 per cent, and highest in the Province of Lapland, at 17.4 per cent. Of all industries, the unemployment rate was highest in construction, 8.7 per cent.

According to the Labour Force Survey, the number of employed persons was 2,360,000 in the first half of this year, which is 11,000 higher than in the corresponding period last year. The number of unemployed persons was 263,000, i.e. 1,000 more than in the first half of 2001.

At the end of June, there were 297,000 persons registered, in accordance with the Unemployment Security Act and the Labour Exchange Office Regulations, as job seekers at the labour exchange offices. This is about 8,000 fewer than in June 2001. Unemployment declined in other areas but rose in the areas of the employment and economic development centres of Uusimaa and Varsinais-Suomi. The number of those covered by employment policy measures fell by 4,000 from the year before and was 2.7 per cent of the labour force. There were 41,000 unemployed job seekers aged under 25 registered at the labour exchange offices. Their number was 1,000 lower than in last year's June.

Differences between the Labour Force Survey and the Labour Exchange Statistics

The employment situation is monitored monthly both with the sample-based Labour Force Survey of Statistics Finland and with the register-based Labour Exchange Statistics of the Ministry of Labour. The Labour Exchange Statistics describe the situation on the last weekday of the month. The data for the Labour Force Survey are collected for every week of the month.

The Labour Force Survey follows the recommendations of the International Labour Organisation (ILO) and the practices required by Eurostat, the Statistical Office of the European Communities. According to them, a person is classified as unemployed if he or she is aged 15 or over, does not have a job, has actively sought employment in the past four weeks and would be available for work within two weeks. The Labour Exchange Statistics are based on legislation and administrative regulations.

The Labour Force Survey and the Labour Exchange Statistics apply two basically different statistical criteria to how actively a person seeks work and makes him/herself available on the labour market. Those unemployed persons who have neither contacted a labour exchange office for over four weeks, nor actively sought work in any other way either, are generally classified in the Labour Force Survey as belonging to disguised unemployment. Full-time students can be recorded as unemployed in the Labour Force Survey if they meet the ILO recommendations, whereas in the Labour Exchange Statistics they are not accepted as being unemployed during term time. Due to statistical differences, the number of unemployed job seekers does not agree with the number of unemployed calculated in accordance with the ILO recommendations. The difference between the June unemployment figures of Statistics Finland and the Ministry of Labour was approximately the same as the year before.

Since the Labour Force Survey is a sample survey, its data allow for random variation. In respect of the unemployment rate, for example, the 95 per cent confidence interval or the margin of error is about ± 0.6 percentage points. The confidence interval for the number of unemployed is approximately ± 16,000 persons.

Inquiries:
Statistics Finland: Mr Pekka Tossavainen +358 9 1734 3517, Mr Kalle Sinivuori +358 9 1734 3524, Mr Heikki Tervo +358 9 1734 2921, Mr Tapio Oksanen +358 9 1734 3228;
e-mail tyovoima.tilastokeskus@stat.fi, Internet http://www.stat.fi/tk/el/tyoll.html
Ministry of Labour: Mr Oiva Lönnberg +358 9 1856 8048, e-mail oiva.lonnberg@mol.fi;
Internet http://www.mol.fi/katsaukset/
Latest seasonally adjusted unemployment figures published by the EU at: http://europa.eu.int/en/comm/eurostat/