Georgia may change the system of counting the unemployed
Employment and unemployment statistics in Georgia will change due to the revision of the definition of self-employed, said the acting Director of the National statistics service ("Sakstat») Gogita Todradze during the presentation of the report on the activities of the Service for 2019 at the meeting of the parliamentary Committee on sectoral economy and economic policy.
According to official data for 2019, the unemployment rate in Georgia was 11.6%, that is, 221 thousand people were officially considered unemployed. Experts believe that the new system will give a clearer picture of unemployment, but note that after these calculations, the unemployment rate in the country will grow significantly.
Currently, all employed citizens of Georgia are divided by "Sakstat" into employees and self-employed. A self-employed person is a person who works in a family business for free, or an owner who works for a certain period to make a profit. From the end of the year, data on the self-employed will be calculated using the new method. If previously any person working on their land was considered self-employed, whether they produced products for themselves or for sale on the market, then under the new methodology, self-employed persons will be excluded from the number of self-employed.
"The self-employed category, which produces products mainly for its own consumption, will no longer be considered self-employed and employed under the new standard, respectively, this will cause certain changes in employment and unemployment statistics," Todradze said.
According to him, since January 2020, the calculation is carried out according to both the old and new methodology.
"In parallel with the research on the old standard, since January we have started collecting data on the new questionnaire. The current study will continue for the first two quarters, and the data from these two quarters will give us the opportunity to move to a new standard from the end of this year," Todradze explained.
The unemployment rate in Georgia is calculated based on the ratio of the number of employed and unemployed from the economically active population.
An economically active person is a person 15 years of age or older who works or offers work. While unemployed, he would be considered, if within seven days of the survey it did not work for earnings, were looking for work last four weeks and ready to start work in the next two weeks.
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Georgia may change the system of counting the unemployed
Employment and unemployment statistics in Georgia will change due to the revision of the definition of self-employed, said the acting Director of the National statistics service ("Sakstat») Gogita Todradze during the presentation of the report on the activities of the Service for 2019 at the meeting of the parliamentary Committee on sectoral economy and economic policy.
According to official data for 2019, the unemployment rate in Georgia was 11.6%, that is, 221 thousand people were officially considered unemployed. Experts believe that the new system will give a clearer picture of unemployment, but note that after these calculations, the unemployment rate in the country will grow significantly.
Currently, all employed citizens of Georgia are divided by "Sakstat" into employees and self-employed. A self-employed person is a person who works in a family business for free, or an owner who works for a certain period to make a profit. From the end of the year, data on the self-employed will be calculated using the new method. If previously any person working on their land was considered self-employed, whether they produced products for themselves or for sale on the market, then under the new methodology, self-employed persons will be excluded from the number of self-employed.
"The self-employed category, which produces products mainly for its own consumption, will no longer be considered self-employed and employed under the new standard, respectively, this will cause certain changes in employment and unemployment statistics," Todradze said.
According to him, since January 2020, the calculation is carried out according to both the old and new methodology.
"In parallel with the research on the old standard, since January we have started collecting data on the new questionnaire. The current study will continue for the first two quarters, and the data from these two quarters will give us the opportunity to move to a new standard from the end of this year," Todradze explained.
The unemployment rate in Georgia is calculated based on the ratio of the number of employed and unemployed from the economically active population.
An economically active person is a person 15 years of age or older who works or offers work. While unemployed, he would be considered, if within seven days of the survey it did not work for earnings, were looking for work last four weeks and ready to start work in the next two weeks.
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