INSTAT says the situation is a result of youth unemployment climbing to 28.1 percent, up from 26.9 percent in the third quarter of 2013 and 26 percent in the final quarter of 2012
TIRANA, March 12 – Albania’s unemployment rate climbed to 17 percent in the final quarter of 2013, up from 16.9 percent in the third quarter of 2013 and 14.4 percent in the final quarter of 2012, according to a labour force survey on 5,000 households nationwide carried out by the country’s Institute of Statistics. INSTAT says the situation is a result of youth unemployment climbing to 28.1 percent, up from 26.9 percent in the third quarter of 2013 and 26 percent in the final quarter of 2012. Meanwhile, unemployment rate for people aged between 30 to 64 slightly dropped to 13.5 percent in the final quarter of 2013, down from 14 percent in the third quarter of the year and 10.5 in the final quarter of 2013.
INSTAT reports the number of people employed in the public administration in the final quarter of 2013 just after the Socialist Party-led government took over rose by 200 to 164,000 but was the same compared to the final quarter of 2012.
The number of people employed in the private agriculture sector dropped to 445,732 in the final quarter of 2013, down from an average of 520,000 since the first quarter of 2013.
Employment in the private agriculture sector in the final quarter of 2013 rose to 311,668 up from 288,380 in the previous quarter and 278,063 in the final quarter of 2012.
The number of jobless people registered with employment offices in the final quarter of 2013 rose to 143,947, up from 142,856 in the third quarter of 2013 and 141,755 in the final quarter of 2012.
INSTAT reports the registered unemployment rate, which includes only people who register themselves with employment offices, rose to 13.5 percent in the final quarter of 2013, up from 12.8 percent in the previous five quarters.
Average monthly wage in the public sector rose to 52,600 lek in the final quarter of 2013, up from 51,500 lek in the final quarter of 2012.
Since the third quarter of 2013, the minimum wage stands at 22,000 lek.
The average unemployment assistance remains unchanged at 6,850 lek (Euro 48) since 2012.
Some 62 percent of youth aged between 15 to 29 years old have been jobless since more than one year while around 29 percent of them hold a university degree.
Discouraged workers accounted for 18 percent of economically inactive population.
The review of Albania’s unemployment methodology based on the latest standards recommended by the International Labour Organization is expected to increase Albania’s official jobless rate to 21 percent, up from around 13 percent currently. The country’s Institute of Statistics, INSTAT, currently calculates the unemployment rate based on people who register themselves as jobless with employment offices and excludes around 520,000 people in rural areas, considering them as self-employed in the private agricultural sector because of possessing land.
Fahrad Mehrani, an international consultant who has been hired by INSTAT to improve official statistics, tells local media the new methodology will give a more realistic picture on Albania’s unemployment.
“The key reason is related to the treatment of people who struggle to make ends meet, especially in the agriculture sector. These are farmers mainly producing for their own needs and not to sell and in Albania there are 300,000 such farmers. To date, they were described as employed but under new standards this category is no longer considered employed. The part of farmers putting pressure on the market by seeking jobs will be registered as jobless and there are 40,000 such farmers,” says Mehrani.
The consultant says that if the number of underemployed people and discouraged workers is taken into account, Albania’s official unemployment rate increases to 40 percent.
Just before the June 2013 general election, the Socialist Party then in opposition, claimed Albania had 1 million jobless people, dismissing INSTAT data as fake and manipulated.
