Armenia : Promoting Productive Employment

This paper examines labor market outcomes in Armenia and their impact on poverty. The outcomes are of considerable concern: relatively few persons of working age are employed, and many of those who are employed have low-productivity jobs. The problem is not only high unemployment, but also low labor force participation. The main factor behind the low employment/population ratio is weak labor demand and the scarcity of productive job opportunities. This paper begins in section one by discussing the main labor market challenges in Armenia, before focusing on unemployment in section two. Section three analyzes the nature of employment and jobs, while section four examines wage determination and structure. Section five then evaluates the relationship between individuals' and households' labor market status and poverty. Finally, section six concludes with policy implications of the analysis. In order to reach the 60 percent employment rate Armenia would need to create an additional 166,000 jobs. This will lead to a 14 percent increase in employment, and to some decrease in unemployment. More jobs need to be created to absorb the growing labor surplus. This implies growing unemployment and a decline in the already low employment rate. Accelerating the pace of job creation is thus one of the main social challenges facing policymakers in Armenia. Furthermore, it is important that in the longer term, wage growth does not exceed labor productivity growth. Otherwise, competitiveness of the Armenian economy could suffer due to a growth in the unit labor cost, which in turn, can have a detrimental effect on job creation.

Bibliographic Details

Main Author:	World Bank
Language:	English en_US
Published:	Washington, DC 2012-09
Subjects:	ACCESS TO INFORMATION, ACCOUNTABILITY, ACCOUNTING, ADB, AGRICULTURAL PRODUCTIVITY, ANNUAL LEAVE, AVERAGE WAGE, CAPACITY BUILDING, CHOICE OF OCCUPATION, DEVELOPMENT ECONOMICS, DISCRIMINATION, DISCRIMINATION AGAINST WOMEN, EARNING, EARNINGS INEQUALITY, EARNINGS REGRESSIONS, ECONOMIC CONDITIONS, ECONOMIC GROWTH, EDUCATED WORKFORCE, EDUCATION SECTOR, EDUCATIONAL ATTAINMENT, EDUCATIONAL LEVELS, EDUCATIONAL SYSTEM, EMPLOYABILITY, EMPLOYEE, EMPLOYEE BENEFITS, EMPLOYMENT EFFECTS, EMPLOYMENT GROWTH, EMPLOYMENT OFFICE, EMPLOYMENT OFFICES, EMPLOYMENT OPPORTUNITIES, EMPLOYMENT OUTCOMES, EMPLOYMENT OUTLOOK, EMPLOYMENT PROMOTION, EMPLOYMENT RATE, EXPECTED WAGE, FAMILY MEMBERS, FEMALE EMPLOYMENT, FINANCIAL SERVICES, FIRING COSTS, FIRM ENTRY, FIRM GROWTH, FORMAL LABOR MARKET, FORMAL SECTOR WAGE, FORMAL SECTOR WORKERS, GLOBAL COMPETITIVENESS, GROSS DOMESTIC PRODUCT, HEALTH CARE, HIGH UNEMPLOYMENT, HIGH WAGE, HIGH WAGES, HIGHER PRODUCTIVITY, HOUSEHOLD EARNING, HOUSEHOLD WORK, HUMAN CAPITAL, HUMAN DEVELOPMENT, INCIDENCE OF POVERTY, INCOME, INDIVIDUAL WELFARE, INDUSTRIAL RESTRUCTURING, INFORMAL EMPLOYMENT, INFORMAL SECTOR, INFORMAL SECTOR WORKERS, INTERNATIONAL LABOR ORGANIZATION, INVESTMENT IN EDUCATION, JOB COUNSELING, JOB CREATION, JOB INSECURITY, JOB LOSS, JOB OPPORTUNITIES, JOB PLACEMENT, JOB PLACEMENT SERVICES, JOB SEARCH, JOB SEARCH ASSISTANCE, JOB VACANCIES, JOBS, LABOR COST, LABOR DEMAND, LABOR FORCE, LABOR FORCE PARTICIPATION, LABOR MARKET, LABOR MARKET DYNAMICS, LABOR MARKET ISSUES, LABOR MARKET NEEDS, LABOR MARKET OUTCOMES, LABOR MARKET PERFORMANCE, LABOR MOBILITY, LABOR ORGANIZATION, LABOR PRODUCTIVITY, LABOR PRODUCTIVITY GROWTH, LABOR REGULATIONS, LABOR RESOURCES, LABOR SUPPLY, LABOUR, LABOUR MARKET, LAYOFF, LIVING CONDITIONS, LONG-TERM UNEMPLOYMENT, LOW EMPLOYMENT, MARKET ECONOMY, MARKET ENTRY, MARKET VALUE, MODERNIZATION, NUMBER OF HOUSEHOLDS, NUMBER OF PEOPLE, NUMBER OF PERSONS, OCCUPATION, OLDER WORKERS, OPEN UNEMPLOYMENT, PAID WORKER, PAID WORKERS, PAYING JOBS, PERMANENT JOBS, POLICY IMPLICATIONS, PREVIOUS WORK, PREVIOUS WORK EXPERIENCE, PRIMARY EDUCATION, PRIME AGE, PRIVATE EMPLOYMENT, PRIVATE SECTOR, PRIVATE SECTOR WORKERS, PRODUCT MARKET, PRODUCTIVE EMPLOYMENT, PRODUCTIVE INDUSTRIES, PRODUCTIVITY GAINS, PRODUCTIVITY GROWTH, PRODUCTIVITY IMPROVEMENTS, PROGRESS, PUBLIC EMPLOYMENT, PUBLIC EMPLOYMENT SERVICES, PUBLIC SECTOR WORKER, PUBLIC SECTOR WORKERS, PUBLIC SERVICES, QUALITY ASSURANCE, QUALITY EDUCATION, QUALITY OF EDUCATION, QUALITY SERVICES, REAL WAGE, REAL WAGES, REGULAR EMPLOYMENT, RESPECT, RURAL AREAS, RURAL POVERTY, RURAL WORKERS, RURAL YOUTH, SECONDARY EDUCATION, SERVICE SECTORS, SEX, SHORT-TERM UNEMPLOYMENT, SICK LEAVE, SKILL LEVEL, SKILL REQUIREMENTS, SKILL SHORTAGES, SKILLED WORKERS, SKILLED WORKFORCE, SKILLS DEVELOPMENT, SOCIAL SECURITY, SOCIAL SERVICES, SOCIAL WELFARE, SPOUSES, TAX ADMINISTRATION, TECHNICAL EDUCATION, TECHNICAL SKILLS, TEMPORARY JOBS, TERTIARY EDUCATION, TOTAL EMPLOYMENT, TOTAL UNEMPLOYMENT, TRADE UNIONS, TRANSITION ECONOMIES, TRANSPORT, UNEMPLOYED, UNEMPLOYED PERSON, UNEMPLOYMENT, UNEMPLOYMENT DURATION, UNEMPLOYMENT PROBLEM, UNEMPLOYMENT RATE, UNEMPLOYMENT SPELLS, UNIVERSITY DEGREE, UNIVERSITY EDUCATION, UNIVERSITY GRADUATES, URBAN AREAS, URBAN EMPLOYMENT, URBAN WORKERS, VOCATIONAL TRAINING, WAGE DETERMINATION, WAGE DIFFERENTIAL, WAGE DISPERSION, WAGE DISTRIBUTION, WAGE EMPLOYMENT, WAGE GAP, WAGE GROWTH, WAGE INEQUALITY, WAGE PREMIUM, WAGE STRUCTURE, WORKER, WORKERS, WORKFORCE SKILLS, WORKING POOR, YOUNG PEOPLE, YOUNG WOMEN, YOUNG WORKERS, YOUTH EMPLOYMENT, YOUTH UNEMPLOYMENT, YOUTH UNEMPLOYMENT RATE,
Online Access:	http://documents.worldbank.org/curated/en/2012/09/17368635/armenia-promoting-productive-employment https://hdl.handle.net/10986/13247
Tags:	Add Tag No Tags, Be the first to tag this record!