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ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2nd Meeting of the Task Force on the Measurement of Quality of Employment (28-29 May 2009 Geneva Switzerland)

ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

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Page 1: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi

A Validation Study of theQuality of Employment Indicators:

work in progress

A Validation Study of theQuality of Employment Indicators:

work in progress

2nd Meeting of the Task Force on the Measurement of Quality of Employment

(28-29 May 2009 Geneva Switzerland)

Page 2: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Social changes and fast evolution of labour market conditions involve mainly developing countries but reflect also on advanced economies

Quality of employment assumes great relevance

Monitoring and measuring its aspects is becoming even more relevant

Up to now different qualitative aspects of work have generally been measured separately

Social changes and fast evolution of labour market conditions involve mainly developing countries but reflect also on advanced economies

Quality of employment assumes great relevance

Monitoring and measuring its aspects is becoming even more relevant

Up to now different qualitative aspects of work have generally been measured separately

Quality of Employment: a conceptual

framework

Nevertheless, there are several attempts to wrap them up in a general conceptual framework

Page 3: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

This project supports the Task Force

An empirical approach for studying the validity of the indicators

The difficulty to measure the indicators in practice

Completeness/redundancy of the indicators selected

The core of study is the linkages and degrees of correlation among the indicators

This project supports the Task Force

An empirical approach for studying the validity of the indicators

The difficulty to measure the indicators in practice

Completeness/redundancy of the indicators selected

The core of study is the linkages and degrees of correlation among the indicators

Quality of Employment: validation study

We will show the work in progress of the validation study in order to refine the list of indicators to measure the Quality of

Employment

Page 4: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

1. Comparison the framework Quality of Employment with the framework Decent Work in order to highlight similarities and differences

2. Review availability of the indicators from several electronic database: Eurostat, ILO, UNECE, World Bank

3. Proceeding to the operational definition of the indicators in one o more variables

4. Summary statistics and the relation among indicators to first selection of them

5. Examination the performance of several indicators using: principal Components Analysis (PCA) for quantitative variables and Multiple Correspondence Analysis (MCA) for legislative indicators

6. Relation among quantitative and qualitative variables

1. Comparison the framework Quality of Employment with the framework Decent Work in order to highlight similarities and differences

2. Review availability of the indicators from several electronic database: Eurostat, ILO, UNECE, World Bank

3. Proceeding to the operational definition of the indicators in one o more variables

4. Summary statistics and the relation among indicators to first selection of them

5. Examination the performance of several indicators using: principal Components Analysis (PCA) for quantitative variables and Multiple Correspondence Analysis (MCA) for legislative indicators

6. Relation among quantitative and qualitative variables

Validation study: the steps

Page 5: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

6. Skills development and life-long learning 1. Employment opportunities

7. Intrinsic nature of work 11. Economic and social context for decent work

Quality of Employment Decent Work1. Safety and ethics of employment

a) Employment safetyb) Child labour and forced labourc) Fair treatment in employment

8. Safe work environment 5. Work that should be abolished 7. Equal opportunity and treatment in

employment

2. Income and benefits from employmenta) Income from employmentb) Benefits from employment

2. Adequate earnings and productive work

3. Working hours and balancing work and non-working life

a) Working hoursb) Working time arrangementsc) Balancing work and non-working life

3. Decent hours 4. Combining work. family and personal life

4. Stability and security of work. and social protection

a) Stability and security of workb) Social protection

6. Stability and security of work 9. Social security

5. Social dialogue and workplace relationshipsa) Social dialogueb) Workplace relationships

10. Social dialogue, workers’ and employers’ representation

Page 6: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of Employment Decent Work1. Safety and ethics of employment

a) Employment safetyb) Child labour and forced labourc) Fair treatment in employment

8. Safe work environment 5. Work that should be abolished 7. Equal opportunity and treatment in

employment

QE and DW Fatal occupational injury rate (Workplace fatalities per 100.000 employees) Non-fatal occupational injury rate (Workplace accidents per 100.000 employees) Occupational injury insurance coverage Labour inspection (inspectors per 100.000 employees) Children working: average weekly hours by age and sex Occupational segregation by sex/ citizenship

QE Children not in school by employment status Share of employees working in "hazardous" conditions Workplace expenditure on safety improvements as a share of total workplace labour costs Employed women as a share of total employment Gender pay gap

DW Occupational safety and health insurance Child labour (incl. public policies to combat it) Forced labour (incl. public policies to combat it) Female share of employment in ISCO-88 groups 11 and 12 Anti-discrimination law based on sex of worker, race, ethnicity, religion or national origin

Page 7: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of Employment Decent Work2. Income and benefits from employment

a) Income from employmentb) Benefits from employment 2. Adequate earnings and productive work

QE and DW Low pay (share of employed with below ½ of median hourly earnings)

QE Share of employees entitled to paid annual leave Average length of paid annual leave Share of employees paid at minimum wage Share of employees paid at below minimum wage

DW Working poor Statutory minimum wage

Page 8: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of Employment Decent Work3. Working hours and balancing work and non-working life

a) Working hoursb) Working time arrangementsc) Balancing work and non-working life

3. Decent hours 4. Combining work. family and personal life

QE and DW Share of employed persons working 49 hrs and more per week Average annual (actual) hours worked per person Time-related underemployment rate

QE % of employed people who usually work at night/evening % of employed people who usually work on weekend or bank holiday Share of employed persons working less than 30 hrs per week involuntarily Ratio of employment rate for women with children under compulsory school age to the employment rate of all women aged 20-49 Share of women receiving maternity/family leave benefits Share of men receiving paternity/family leave benefits

DW Maximum hours of work Paid annual leave

Page 9: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of Employment Decent Work4. Stability and security of work and social protection

a) Stability and security of workb) Social protection

6. Stability and security of work 9. Social security

QE and DW Percentage of employees with temporary jobs Percentage of employees with job tenure of less than one year Public social security expenditure as share of GDP

QE Share of employees covered by unemployment insurance Share of economically active population contributing to a pension fund

DW Share of population aged 65 and above benefiting from a pension Stability and security of work (developmental work to be done by the Office) Employment protection legislation Pension (public / private) Incapacity for work due to sickness / sick leave Incapacity for work due to invalidity

Page 10: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of Employment Decent Work5. Social dialogue and workplace relationships

a) Social dialogueb) Workplace relationships

10. Social dialogue. workers’ and employers’ representation

QE and DW Share of employees covered by collective wage bargaining Union density rate

QE Rate of days not worked due to strikes and lockouts (per 1000 employees) Share of employees not covered by strike law

DW Enterprises belonging to employer organization Indicator for Fundamental Principles and Rights at Work Freedom of association and right to organize Collective bargaining right Tripartite consultations

Page 11: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of Employment Decent Work6. Skills development and life-long learning

QE Share of employed persons in high skilled occupations Share of employees who received job training within the last 12 months Share of employed who have more education than is normally required in their occupation

Quality of Employment Decent Work7. Intrinsic nature of work

No indicators proposed

Page 12: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of Employment Decent Work

1. Employment opportunities

DW Employment-to-population ratio 15-64 years Unemployment rate Youth not in education and not in employment 15-24 years Informal employment Government commitment to full employment Unemployment insurance

Quality of Employment Decent Work 11. Economic and social context for decent

work

DW Children not in school (% by age) % of working-age population who are HIV positive Labour productivity (GDP per employed person) Income inequality (percentile ratio P90/P10) Inflation rate Employment by branch of economic activity Education of adult population Labour share in GDP

Page 13: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of employment: selection of Countries

COUNTRIES

Austria Lithuania

Belgium Netherlands

Bulgaria Norway

Czech Republic Poland

Denmark Portugal

Finland Romania

France Slovakia

Germany Slovenia

Greece Spain

Hungary Sweden

Ireland Switzerland

Italy United Kingdom

Latvia

We selected 25 Countries that are members of UNECE through several criteria

• Eurostat data-base: at first we selected a group of 32 countries that belong to the European area

• Availability of indicators: only European countries for which the indicators were available

• Comparability of indicators: only countries which adopted the same methodology and standard to collect the data

• Consistency of employed population: we excluded countries with a number of employed population smaller than 500,000

• Variability: we selected both EU Member States and not-EU Member States

Page 14: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of employment: variables selected

Selection of quantitative variables

for Principal Component Analysis

Selection of quantitative variables

for Principal Component Analysis

Page 15: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Variable Note

Standardised incidence rate of accidents at work (rate per 100 000 workers). More than 3 days lost (4 days absence or more)

Not available for BG. CY. CZ. EE. HU. LT. LV. MT. PL. RO. SI.

SK

Non fatal accident (ILO)Not available for DK. GR and

NL. Comparability?

Fatal accident (rate per 100.000 workers)Which denominator?

Fatal accident (rate per 100.000 employees)

Number of working days lost (1000) Which is better? Meaning? Not available for AT. BG. CZ. EE.

GR. HR. IS. LU. PT. SIWorking days lost per 1000 workers

Quality of employment: quantitative variables

Page 16: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Indicator Note

% ISCO1

Which is better?% ISCO2

% ISCO3

% ISCO1_3

Overeducation on isced5_6Which denominator?

Overeducation on total employment

% of the adult population aged 25 to 64 participating in education and training

Only employed people?

Quality of employment: variables collected

Page 17: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Variable Note

Share of employed women ok

Ratio of employment rate for women to the employment rate of men aged 25-49

Redundant? High correlation with share of employed

women

Ratio of employment rate for women with children under compulsory school age to the employment rate of all women aged 20-49 / women without children aged 20-49

Which denominator? Not available for CH. DK. IE.

IS. NO. SE

Occupational segregation by sex Interpretation?

Gender pay gap_1

Structure of Earnings Survey. Not available for AT. BE. CZ. DE. ES. FR. GR. HR.

IS. IT. LU. MT. NO. PT. TR

Gender pay gap_2 National sources: comparability?

% ISCO1 women /ISCO1 Relevant? ILO: Female in ISCO-88 groups 11 and 12% ISCO1 women /% women employment

Quality of employment: variables collected

Page 18: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of employment: variables collected

Variable Note

Average annual hours worked per person (NA)Which is better?

Average weekly hours actual worked (LFS)

% working on SaturdayA combination?

% working on Sunday

% working at evening PT not available. Relevant?

% working at night ok

% involuntary part-time_1 (total employees) Which denominator? IE not available% involuntary part-time_2 (total employment)

% temporary employees (total employees)Which denominator?

% temporary employees (total employment)

%temporary employees with contract <12 months Not available for UK and EE

Page 19: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Variable Note

Paid annual vacation

The paid annual vacation (in working days) for an employee with 20 years of service (Doing

Business)

Minimum annual leave (in working days) ILO (GR not available)

Minimum wageILO. Not available for DK. HR.

NO. Comparability?

Length of maternity leave (in weeks)ILO. A combination?

Amount of maternity leave benefits

Maximum weekly hours limits ILO (GR not available)

Public social security expenditure as % GDP Not available for CH

Quality of employment: variables collected

Page 20: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Variable  Mean SD Minimum Maximum

Fatal accident (rate per 100.000 workers) 3.2 1.8 0.7 7.6

% ISCO1_3 37.6 6.6 21.3 47.3

Overeducation on total employment 4.8 2.8 0.9 11.4

Share of employed women 45.2 2.6 38.8 49.3

Occupational segregation by sex 0.36 0.04 0.24 0.43

Average annual hours worked per person 1,754 183 1,419 2,069

Average weekly hours actual worked 38 2 32 41

% working on Saturday 25.4 7.2 11.4 39.0

% working on Sunday 13.8 3.2 7.0 20.2

% working at evening 17.6 6.3 7.3 31.4

% working at night 6.7 3 3.1 17.2

% involuntary part-time2 (total employment) 2.9 1.7 0.3 6.0

Length of maternity leave (in weeks) 21 11 14 68

Paid annual vacation 23 3 20 30

Minimum annual leave (in working days) 22 3 20 30

Public social security expenditure as % GDP 16 4 8.4 22.2

% temporary employees (total employment) 10.0 6.1 1.1 26.1

%temporary employees with contract <12 months 61.0 19.5 23.9 91.9

% of population aged 25 to 64 participating in education and training 11.2 9.1 1.3 32.4

Quality of employment: variables selected to PCA

Page 21: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Principal Components Analysis: eigenvalue

The first factorial plane accounts for a large part of total variability (43%)

Two main dimensions underlying the variables: the first principal component explains about 28% of variabilityThe second about 15%

Page 22: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

0.79

0.71

0.69

0.62

0.57

0.43

0.37

-0.62

-0.77

-0.88

% of the adult population aged 25 to 64participating in education and training

% ISCO1_3

Public social security expenditure as % GDP

Minimum annual leave (in working days)

% involuntary part-time_2 (total employment)

% working at evening

Length of maternity leave (in weeks)

…..

Fatal accident (rate per 100,000 workers)

% temporary employees with contract <12months

Average annual hours worked per person

Average weekly hours actual worked

Principal Components Analysis: first component

The first component can be related to the social protection and skill development

On one hand: high share of the adult population aged 25 to 64 participating in education and training, employment people in skilled occupations, and countries with high public social security expenditure.

On the other hand: high number of fatal accident, high share of temporary employees with contract less of 12 months, and higher average annual hours worked per person

Other variables didn’t use in PCA with an unexpected relation: gender pay gap (0.45) non fatal accident (0.36) % involuntary part-time on total part-time (-0.41)

Page 23: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Principal Components Analysis: second component

0.83

0.73

0.73

0.58

-0.27

-0.36

-0.44

-0.40

% working onSaturday

% working onSunday

% working atevening

% working atnight

Paid annualvacation

Length ofmaternity leave

(in weeks)

Occupationalsegregation by

sex

Share ofemployed

women

The second component can be related to the working time arrangement

On one hand: high percentage of employment people who work on Saturday, on Sunday, at evening and at night

On the other hand: high share of employed women, a longer length of maternity leave, higher occupational segregation by sex

The relation among the indicators related to working time

arrangement suggests to use a combination of them

Page 24: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Austria

Belgium

Bulgaria

Sw itzerland

Czech Republic

Germany

Denmark

Spain Finland

France

Greece

Hungary

Ireland

Italy

Lithuania

Latvia

Netherlands

Norw ay

Poland

Portugal

Romania

Sw eden

Slovenia

Slovakia

UK

Principal Components Analysis: factorial plane

So

cial pro

tection

and

skill develo

pm

ent (+

)Atypical working hours (+)

Atypical working hours (-)

So

cial pro

tection

and

skill develo

pm

ent (-)

Page 25: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of employment: legislative indicators

Selection of qualitative variables about legislative indicators

for Multiple Correspondence analysis

Selection of qualitative variables about legislative indicators

for Multiple Correspondence analysis

Page 26: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Quality of employment: legislative indicators

Working conditions laws are deeply connected to the quality of employment. Therefore, in addition to the quantitative indicators, we

considered also some qualitative indicators related to labour market legislation and social protection

Most of indicators come from the proposal of the Task Force on the Measurement of Quality of Employment and from the ILO Decent

work.

We looked at database of Condition of Work and Employment Laws of ILO that contains comprehensive legal information from countries

http://www.ilo.org/public/english/protection/condtrav/database/index.htm

Other indicators are collected from Doing Business of World Bank. Referring to the dimension Employing Workers we considered only

simple indicators (no composite index)

Working conditions laws are deeply connected to the quality of employment. Therefore, in addition to the quantitative indicators, we

considered also some qualitative indicators related to labour market legislation and social protection

Most of indicators come from the proposal of the Task Force on the Measurement of Quality of Employment and from the ILO Decent

work.

We looked at database of Condition of Work and Employment Laws of ILO that contains comprehensive legal information from countries

http://www.ilo.org/public/english/protection/condtrav/database/index.htm

Other indicators are collected from Doing Business of World Bank. Referring to the dimension Employing Workers we considered only

simple indicators (no composite index)

Page 27: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Qualitative indicators: from ILO

Indicators definition 

Monthly minimum wages is the lowest monthly wage that employers may legally pay to employees

or workers

Minimum wage fixing mechanism the mechanism by which minimum wage rate are set. Generally the

Government plays a central role in setting minimum wage rates. These could be set in consultation with a specialized body

Minimum wage fixing levels it is possible to identify 5 levels at which the minimum wage can be set: a)

sector/occupation; b) national; c) national by sector/occupation; d) regional; e) regional by sector/occupation

Normal weekly hours limits the hours that can be worked each week before overtime payments

become due

Maximum weekly hours limits maximum limit on weekly working hours

Overtime limits most labour laws place an upper limit on overtime hours. These laws limit

overtime differently

Minimum annual leave working time laws generally provide for minimum holidays period to allow

workers to take longer periods of rest

Length of maternity leave the period in which mothers are allowed to take time off work in order to

follow the birth of a child

Amount of maternity leave benefits the level of benefits available during the maternity leave. Two elements are

considered: a) the proportion of the worker's earning to be paid; b) the period over which they are to be paid

Source of maternity leave benefits the system for founding maternity leave is classified in three forms: a)

employer-founded; b) social insurance; c) mixed systems

Page 28: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Qualitative indicators: from World Bank

Indicators Doing Business

Are fixed-term contracts prohibited for permanent tasks?

What is the maximum duration of fixed-term contracts (including renewals)?

Can the workweek extend to 50 hours (including overtime) for 2 months per year to respond to a seasonal increase in production?

What is the maximum number of working days per week?

Are there restrictions on night work?

Are there restrictions on "weekly holiday" work?

What is the paid annual vacation (in working days) for an employee with 20 years of service?

Is the termination of workers due to redundancy legally authorized?

Must the employer notify a third party before terminating one redundant worker?

Does the employer need the approval of a third party to terminate one redundant worker?

Must the employer notify a third party before terminating a group of 25 redundant workers?

Does the employer need the approval of a third party to terminate a group of 25 redundant workers?

Is there a retraining or reassignment obligation before an employer can make a worker redundant?

Are there priority rules applying to redundancies?

Are there priority rules applying to re-employment?

Page 29: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Qualitative indicators: minimum wage

Monthly minimum wages

32.0

16.0

52.0

100-499 $ 500-1000 $ over than 1000 $

Minimum wage-fixing levels

60.0

8.012.0

20.0

National National bysector and/oroccupation

Regional bysector and/oroccupation

By sector and/oroccupation

Minimum wage-fixing mechanism

12.0 12.0

32.0

44.0

Government consulting social

partners

Governmentfollow ing

specialized bodyrecommendation

Specialized body Collectivebargaining

Minimum wage has different mechanisms

and levels among countries

Page 30: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Qualitative indicators: working hours

Normal weekly hours limits

16.712.5

66.7

4.2

No universalnational limit

35-39 hours 40 hours 48 hours

Maximum weekly hours

4.2

20.8

66.7

8.3

40 hours 41-47 hours 48 hours 49-59 hours

Overtime limits

4.2

20.816.7

41.7

16.7

No universalnational limit

Overtime limitsincluded inmaximum

weekly hourslimits

Overtime limits<=150 hours per

year

151hours peryear<Overtime

limits<300 hoursper year

Overtime limits>300 hours per

year

The most countries maximum 48 weekly hours but overtime

limits a lot variability

Other indicator 5 days 6 days TotalMaximum number of working days

per week16.0 84.0 100.0

Page 31: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Qualitative indicators: annual leave and fixed-term contract

Minimum annual leave

20.8

4.2

75.0

20-23 days 24-25 days more than 25 days

Paid annual vacation for an employee with 20 years of service

48.0

40.0

12.0

18-22 days 24-26 days 28-30 days

ILO

DB

Maximum duration of f ixed-term contracts

28,0 28,0

12,0

32,0

12-24 mounths 25-60 mounths over 60 mounths no limit

In the most countries there is a maximum

duration of fixed-term contracts

Page 32: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Qualitative indicators: maternity leave

Length of maternity leave

4.0

44.0

52.0

14 w eeks 15 to 17 w eeks 18 w eeks or more

Length of maternity leave

4.0

40.0

56.0

Less than tw o-thirds payfor a minimum of 14 w eeks

At least tw o-thirds butless than 100% for 14

w eeks

Full pay for 14 w eeks ormore

Source of maternity leave benefits

88.0

12.0

Social insurance or other public funds Mixed system

The most countries have more then 14 weeks but

differently paid

Page 33: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Qualitative indicators: other variables

Indicators Yes No Total

Are fixed-term contracts prohibited for permanent tasks? 48.0 52.0 100.0

Possibility to extend to 50 hours to respond to a seasonal increase in production 88.0 12.0 100.0

Restrictions on night work 84.0 16.0 100.0

Restrictions on weekly holiday work 92.0 8.0 100.0

Legally authorized termination of workers due to redundancy 100.0 0.0 100.0

Must the employer notify a third party before terminating a group of 25 redundant workers? 100.0 0.0 100.0

Does the employer need the approval of a third party to terminate one redundant worker? 4.0 96.0 100.0

Does the employer need the approval of a third party to terminate a group of 25 redundant workers?

16.0 84.0 100.0

Is there a retraining or reassignment obligation before an employer can make a worker redundant?

60.0 40.0 100.0

Are there priority rules applying to redundancies? 60.0 40.0 100.0

Are there priority rules applying to re-employment? 48.0 52.0 100.0

Must the employer notify a third party before terminating one redundant worker? 40.0 60.0 100.0

No or less variability among the 25 countries selected

Page 34: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

ILO

Monthly minimum wages (less than 1000 $ /over than 1000 $)

Minimum wage-fixing mechanism (Government consulting social partners o collective bargaining / Government without consulting social partners)

Minimum wage-fixing levels (national fixing-wage / other fixing-wage)

Minimum annual leave (10-23 days / more than 23 days)

Length of maternity leave (18 weeks or more /14 to 17 weeks)

DB

Are fixed-term contracts prohibited for permanent tasks? (yes / no)

Maximum duration of fixed-term contracts (12-24 months / 25-60 months / over 60 months)

Paid annual vacation for an employee with 20 years of service (18-22 days / 24-30 days)

Is there a retraining or reassignment obligation before an employer can make a worker redundant? (yes / no)

Are there priority rules applying to redundancies? (yes / no)

Are there priority rules applying to re-employment? (yes / no)

Must the employer notify a third party before terminating one redundant worker? (yes / no)

Multiple correspondence analysis: variables

We analysed the more relevant legislative variables collectedIn same cases we reduced the number of modalities

Page 35: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Multiple correspondence analysis: main results

The first and the second factors explain the 45% of the general variance

The first factor can be related to the labour protection legislation, especially concerning rules in case of redundancies and limit resorting fixed-term contracts

The second factor can be related to the industrial relations system, especially concerning the social dialogue

The first and the second factors explain the 45% of the general variance

The first factor can be related to the labour protection legislation, especially concerning rules in case of redundancies and limit resorting fixed-term contracts

The second factor can be related to the industrial relations system, especially concerning the social dialogue

Page 36: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

variables modalities valour-test

DB Is there a retraining or reassignment obligation before an employer can make a worker redundant?

No reassignment obligation -4.18

DB Are there priority rules applying to redundancies? No priority for redundancies -3.98

DB Are fixed-term contracts prohibited for permanent tasks?

No limit fixed-term -3.61

DB Are there priority rules applying to re-employment? No priority for re-employment -3.14

ILO Minimum wage-fixing levels Other fixing-wage -2.15

CENTRAL ZONE

DB Are fixed-term contracts prohibited for permanent tasks?

Fixed-term prohibited for permanent tasks

3.61

DB Is there a retraining or reassignment obligation before an employer can make a worker redundant?

Reassignment obligation 4.18

DB Are there priority rules applying to redundancies? Priority for redundancies 3.98

DB Are there priority rules applying to re-employment? Priority for re-employment 3.14

HIGH

LOW

MAC first factor: labour protection legislation

Page 37: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Variable item valour-test

ILO Minimum annual leave More than 23 days -3.93

ILO Minimum wage-fixing levels Other fixing-wage -3.75

ILO Minimum wage-fixing mechanism Government consulting social partners or collective bargaining

-3.61

ILO Monthly minimum wages Over than 1000 $ -3.16

DB Are there priority rules applying to re-employment? Priority for re-employment -2.48

DB Maximum duration of fixed-term contracts 12-24 months -1.69

CENTRAL ZONE

ILO Minimum wage-fixing mechanism Government without consulting social partners

3.61

ILO Minimum wage-fixing levels National fixing-wage 3.75

ILO Monthly minimum wages Less than 1000 $ 3.16

ILO Minimum annual leave 10-23 days 3.93

DB Maximum duration of fixed-term contracts 25-60 months 2.05

DB Are there priority rules applying to re-employment? No priority for re-employment 2.48

HIGH

LOW

MAC second factor: industrial relations systems

Page 38: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

Multiple correspondence analysis: factor plane

Lab

ou

r pro

tection

legislatio

n (+

)

Industrial relations systems (-)

Industrial relations systems (+)

Lab

ou

r pro

tection

legislatio

n (-)

Page 39: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

To analyse connections between quantitative and qualitative variables we considered jointly first factors obtained with PCA and MCA

The projection of the countries to this factor plan highlights the importance to consider both type of indicators

Quantitative indicators can be better interpreted considering the labour market legislation

To analyse connections between quantitative and qualitative variables we considered jointly first factors obtained with PCA and MCA

The projection of the countries to this factor plan highlights the importance to consider both type of indicators

Quantitative indicators can be better interpreted considering the labour market legislation

Quality of employment: quantitative and qualitative data

Page 40: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

United Kingdom

Switzerland

Sweden

Spain

Slovenia

Slovakia

Romania

Portugal

Poland

Norway

Netherlands

Lithuania

Latvia

Italy

Ireland

Hungary

Greece

Germany

France

Finland

DenmarkCzech Republic

Bulgaria

Belgium

Austria

PC

A - S

ocial p

rotectio

n an

d skill d

evelop

men

t (+)

MCA - Labour protection legislation (+)

MCA - Labour protection legislation (-)

PC

A - S

ocial p

rotectio

n an

d skill d

evelop

men

t (-)

+ +

+ -

- +

- -

Factorial plan: first component of PCA and MCA

Page 41: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

The maps help to give a quick and easy look to data

Through colours and symbols, maps highlight relationships between labour market legislation indicators and quantitative indicators

For instance, share of employed women can be better interpreted considering the length of maternity leave

The maps help to give a quick and easy look to data

Through colours and symbols, maps highlight relationships between labour market legislation indicators and quantitative indicators

For instance, share of employed women can be better interpreted considering the length of maternity leave

Quality of employment: quantitative and qualitative data

MAPS

Page 42: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

1. Safety and ethics of employment Occupational segregation by citizenship Female share of employment in ISCO-88 groups 11 and 12

2. Income and benefits from employment Low pay (share of employed with below ½ of median hourly earnings)

3. Working hours and balancing work and non-working lifeShare of employed persons working 49 hrs and more per weekTime-related underemployment rate% of employed people who usually work at night/evening% of employed people who usually work on weekend or bank holidayShare of women receiving maternity/family leave benefits (LFS ad hoc module)Share of men receiving paternity/family leave benefits (LFS ad hoc module)

4. Stability and security of work and social protectionIncapacity for work due to sickness / sick leave (LFS ad hoc module)Incapacity for work due to invalidity (LFS ad hoc module)

6. Skills development and life-long learning Share of employees who received job training within the last 12 months

1. Safety and ethics of employment Occupational segregation by citizenship Female share of employment in ISCO-88 groups 11 and 12

2. Income and benefits from employment Low pay (share of employed with below ½ of median hourly earnings)

3. Working hours and balancing work and non-working lifeShare of employed persons working 49 hrs and more per weekTime-related underemployment rate% of employed people who usually work at night/evening% of employed people who usually work on weekend or bank holidayShare of women receiving maternity/family leave benefits (LFS ad hoc module)Share of men receiving paternity/family leave benefits (LFS ad hoc module)

4. Stability and security of work and social protectionIncapacity for work due to sickness / sick leave (LFS ad hoc module)Incapacity for work due to invalidity (LFS ad hoc module)

6. Skills development and life-long learning Share of employees who received job training within the last 12 months

New steps: indicators from Eurostat elaboration

Page 43: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

1. Safety and ethics of employment Occupational injury insurance coverage Labour inspection (inspectors per 100.000 employees) Children working: average weekly hours by age and sex Children not in school by employment status Share of employees working in "hazardous" conditions Workplace expenditure on safety improvements as a share of total workplace labour costs

2. Income and benefits from employment Share of employees entitled to paid annual leaveShare of employees paid at minimum wageShare of employees paid at below minimum wage

4. Stability and security of work and social protectionShare of employees covered by unemployment insuranceShare of economically active population contributing to a pension fund

5. Social dialogue and workplace relationshipsShare of employees covered by collective wage bargainingUnion density rateShare of employees not covered by strike law

1. Safety and ethics of employment Occupational injury insurance coverage Labour inspection (inspectors per 100.000 employees) Children working: average weekly hours by age and sex Children not in school by employment status Share of employees working in "hazardous" conditions Workplace expenditure on safety improvements as a share of total workplace labour costs

2. Income and benefits from employment Share of employees entitled to paid annual leaveShare of employees paid at minimum wageShare of employees paid at below minimum wage

4. Stability and security of work and social protectionShare of employees covered by unemployment insuranceShare of economically active population contributing to a pension fund

5. Social dialogue and workplace relationshipsShare of employees covered by collective wage bargainingUnion density rateShare of employees not covered by strike law

New steps: indicators not directly available

Page 44: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

7. Intrinsic nature of work7. Intrinsic nature of work

New steps: no indicators proposed

European Working Conditions Survey

Ad hoc module Labour Force Survey

For instanceQ37 How much do you agree or disagree with the following statements describing some aspects of your job?(Strongly agree; Agree; Neither agree nor disagree; Disagree; Strongly disagree; DK; Refusal)A - I might lose my job in the next 6 months B - I am well paid for the work I do C - My job offers good prospects for career advancementD - I feel myself ‘at home’ in this organization E - At work, I have opportunities to learn and grow

F - I have very good friends at work

Page 45: ISTAT: Francesca Della Ratta, Elisa Marzilli and Federica Pintaldi A Validation Study of the Quality of Employment Indicators: work in progress 2 nd Meeting

THANKS