Jamaica: Employer size and worker remuneration in the private sector

Includes bibliography.

The employment situation in Latin America and the Caribbean: Advances and challenges in measuring decent work

At 6.4%, the unemployment rate for the Latin American and Caribbean region overall was the lowest for the past few decades, down from 6.7% in 2011. This is significant, in view of the difficult employment situation prevailing in other world regions. Labour market indicators improved despite modest growth of just 3.0% in the region’s economy. Even with sharply rising labour market participation, the number of urban unemployed fell by around 400,000, on the back of relatively strong job creation. Nevertheless, around 15 million are still jobless in the region. Other highlights of 2012 labour market performance were that the gender gaps in labour market participation, unemployment and employment narrowed, albeit slightly; formal employment increased; the hourly underemployment rate declined; and average wages rose. This rendering was obviously not homogenous across the region. Labour market indicators worsened again in the Caribbean countries, for example, reflecting the sluggish performance of their economies. The sustainability of recent labour market progress is also a cause for concern. Most of the new jobs in the region were created as part of a self-perpetuating cycle in which new jobs and higher real wages (and greater access to credit) have boosted household purchasing power and so pushed up domestic demand. Much of this demand is for non-tradable goods and services (and imports), which has stimulated expansion of the tertiary sector and hence its demand for labour, and many of the new jobs have therefore arisen in these sectors of the economy. This dynamic certainly has positive implications in terms of labour and distribution, but the concern is whether it is sustainable in a context of still relatively low investment (even after some recent gains) which is, moreover, not structured in a manner conducive to diversifying production. Doubt hangs over the future growth of production capacity in the region, given the enormous challenges facing the region in terms of innovation, education quality, infrastructure and productivity. As vigorous job creation has driven progress in reducing unemployment, attention has turned once again to the characteristics of that employment. Awareness exists in the region that economic growth is essential, but not in itself sufficient to generate more and better jobs. For some time, ILO has been drawing attention to the fact that it is not enough to create any sort of employment. The concept of decent work, as proposed by ILO, emphasized the need for quality jobs which enshrine respect for fundamental rights at work. The United Nations General Assembly endorsed this notion and incorporated it into the targets set in the framework of the Millennium Development Goals. This eighth issue of the ECLAC/ILO publication “The employment situation in Latin America and the Caribbean” examines how the concept of decent work has evolved in the region, progress in measuring it and the challenges involved in building a system of decent work indicators, 14 years after the concept was first proposed. Although the concept of decent work has been accompanied since the outset by the challenge of measurement, its first objective was to generate a discussion on the best achievable labour practices in each country. Accordingly, rather than defining a universal threshold of what could be considered decent work —regarding which developed countries might have almost reached the target before starting, while poor countries could be left hopelessly behind— ILO called upon the countries to define their own criteria and measurements for promoting decent work policies. As a result, there is no shared set of variables for measuring decent work applicable to all countries. The suggestion is, instead, that countries move forward with measuring decent work on the basis of their own priorities, using the information they have available now and in the future. However, this strategy of progressing according to the data available in each country tends to complicate statistical comparison between them. So, once the countries have developed their respective systems of decent work indicators, it will be also be important to work towards harmonizing them. ECLAC and ILO are available to provide technical support to this end. With respect to 2013, there is cautious optimism regarding the performance of the region’s labour markets. If projections of a slight uptick —to 3.5%— in the region’s economic growth in 2013 are borne out, labour indicators should continue to gradually improve. This will bring new increases in real wages and a slight drop of up to 0.2 percentage points in the region’s unemployment rate, reflecting a fresh rise in the regional employment rate and slower growth in labour market participation.

The employment situation in Latin America and the Caribbean: Countercyclical policies for a sustained recovery in employment

Latin America and the Caribbean experienced an unexpectedly vigorous economic recovery in 2010 after the output contraction of 2009. This upturn was reflected in the region’s employment and unemployment rates, which resumed the positive trends that had been broken by the crisis, and formal wages rose slightly. The strength of the recovery and labour-market performance varied markedly across subregions and countries, however. The first part of this joint ECLAC/ILO publication on the employment situation in Latin America and the Caribbean looks at how labour markets have responded to the rapid economic upswing in 2010 and early 2011, highlighting both the significant advances achieved in the post-crisis period and the sharp differences evident across subregions and countries. As well as tapping into the improved external conditions which followed upon the Asianled global economic upturn, several Latin American countries were also able to contain the impacts of the crisis and underpin their own recovery with countercyclical policies, thanks to the leeway gained by their macroeconomic management during the run of growth from 2003 to 2008. These countries were in a position to implement expansionary fiscal and monetary policies, some of which channelled higher fiscal spending through labour-market policies or softened the impact of the crisis on employment and income, as discussed in previous ECLAC/ILO bulletins. Since the region is fairly new to the use of countercyclical policies, the second part of this document reviews the experiences arising from those policies and considers lessons for institutionalizing them. Economic growth in the Latin American and Caribbean region has historically been marked by the volatility of its economic cycles, with high-growth periods being succeeded by deep crises. Volatility has conspired against the use of production resources over extended periods and short growth horizons have impeded investment in capital and labour. In the recent international crisis, the deployment of countercyclical macroeconomic policy helped to reduce the depth and duration of the impact and to leverage a more rapid recovery. It is therefore worth looking at the fundamentals of a long-term countercyclical macroeconomic policy which would provide the tools needed to deal with future crises and pave the way for economic growth that may be sustained over time. A special factor during this crisis was that a greater effort was made to support employment and income. Several of the labour-market policy measures taken acted as vehicles for conveying increased fiscal spending to individuals, reflecting greater consideration for equality concerns. Indeed, these measures were aimed not only at stabilizing andstrengthening domestic demand per se, but also at preventing the crisis from hitting lowest-income households the hardest, as had occurred in previous episodes. And —again unlike the pattern seen in previous episodes— inflation actually fell during the crisis as the high food and fuel prices seen in the run-up to it eased as a result of both existing macroeconomic policies and global conditions. This averted the surge in inequality so often seen in previous crises. Two caveats must be added, however. First, not all the countries were in a position to deploy strong countercyclical policies. Many simply lacked the fiscal space to do so. Second, some countries took this sort of measure more as an ad hoc response to the crisis than as part of a clearly established countercyclical policy strategy. The challenge, then, is to institutionalize a countercyclical approach throughout the economic cycle. Taking up this challenge is part of making economic growth more sustainable. This year —2011— was ushered in by rapid economic growth and substantial improvements in labour indicators. With the region’s GDP projected to grow well over 4% this year, ECLAC and ILO estimate that the regional unemployment rate will fall substantially again, from 7.3% in 2010 to between 6.7% and 7.0% in 2011.

CEPAL Review no. 114

Aspects of recent developments in the Latin American and Caribbean labour markets / Jürgen Weller .-- The earnings share of total income in Latin America, 1990-2010 / Martín Abeles, Verónica Amarante and Daniel Vega .-- Latin America: Total factor productivity and its components / Jair Andrade Araujo, Débora Gaspar Feitosa and Almir Bittencourt da Silva .-- Financial constraints on economic development: Theory and policy for developing countries / Jennifer Hermann .-- The impact of China’s incursion into the North American Free Trade Agreement (NAFTA) on intra-industry trade / Jorge Alberto López A., Óscar Rodil M. and Saúl Valdez G. .-- Work, family and public policy changes in Latin America: Equity, maternalism and co-responsibility / Merike Blofield and Juliana Martínez F. .-- A first approach to the impact of the real exchange rate on industrial sectors in Colombia / Lya Paola Sierra and Karina Manrique L. .-- Global integration, disarticulation and competitiveness in Mexico’s electromechanical sector: A structural analysis / Raúl Vázquez López .-- Technological capacity-building in unstable settings: Manufacturing firms in Argentina and Brazil / Anabel Marín, Lilia Stubrin and María Amelia Gibbons .-- Index of political instability in Brazil, 1889-2009 / Jaime Jordan Costantini and Mauricio Vaz Lobo Bittencourt

Employment Situation in Latin America and the Caribbean: Recent improvements and persistent gaps in rural employment

This new edition of Employment situation in Latin America and the Caribbean, a twice-yearly report prepared jointly by the Economic Commission for Latin America and the Caribbean (ECLAC) and the Office for the Southern Cone of Latin America of the International Labour Organization (ILO), discusses how weak job creation led to the third consecutive annual decline in the employment rate, which fell by 0.4 percentage points in 2015, indicating a reduction in the number of labour income earners per household. The ensuing drop in household income has played a large part in the increase estimated in the poverty rate for 2015. The second section of this report examines employment trends in rural areas of the countries of the region between 2005 and 2014, seeing to establish whether the improvements seen in the labour markets overall in that period also occurred in rural areas, and whether the gaps compared with urban areas decreased. The data presented in that section were generated from special processing of data from national household surveys.

Il ruolo della grande distribuzione nello sviluppo locale. Un'indagine sul contesto italiano

Supermarkets and hypermarkets still represent a relatively new retailing format in Italy and in its Southern area in particular, where they were introduced decades later than in other Western countries, such as France and the UK in Europe, and the US in America. Nowadays, these retailers have become large organisations potentially capable of influencing local development from an economic, social and urban perspective. The literature concerned with their effects on the local economy, in particular, has focused on labour markets, price dynamics, inter-type competition, instead the impact on macroeconomic factors such as GDP, value added and investments in specific sectors, as agriculture, industry and services. This study tries to fill this gap by empirically investigating associations between key characteristics of these retailers and specific macroeconomic factors.

The Retirement Behaviour of Older Workers in Transitional Economies

Research has shown that public pay-as-you-go, defined-benefit pension plans penalise those who stay at work beyond a certain age by reducing the present discounted value of future retirement benefits. In discussions on the effectiveness of policies aimed at eliminating the age-dependency factor in workers' decisions to retire, it is often assumed either that the benefits in all future periods have the same weight in the present discounted value or that the discount rate is close to unity due to low real interest rates used in this case. Galuscak first considered the U.S. pension scheme, showing that discounting plays a crucial role since the formula for the present discounted value of future retirement benefits is sensitive to the discount rate used. He then analysed the role of social security incentives and retirement provisions on older workers' behaviour in the labour markets of the Czech and Slovak Republics and the effect of the macroeconomic environment on workers' decisions to retire. He calculated the optimal parameters of the Czech and Slovak pension rules and assessed the potential effectiveness of changes to the Czech scheme introduced in January 1996.

New ruralities – old gender dynamics?: A reflection on high-value crop agriculture in the light of the feminisation debates

While a remarkable continuity in smallholder agricultural production has been identified, the shift from subsistence orientation towards more wage dependence appears in a different light when analysed under a gender perspective. "Feminisation" has been a catchphrase to characterise some of these processes; however, the debate has been subject to overgeneralisation, and can only inadequately grasp the gender dynamics in what has been referred to as "new ruralities". Illustrated for high-value crop production as an expression of agricultural transition in the Global South, this contribution offers a critical account of the feminisation thesis. Instead of discarding the notion of feminisation, it advocates a reassessment of its potential as a comprehensive framework against which empirical findings can be reflected. While conventional uses of the feminisation thesis have, in their great majority, come up with the conclusion that for women it can always only get worse, I propose a perspective which reveals gains and risks and how they are shared between men and women as they engage in new agricultural labour markets. This perspective rests on a methodology for case-based, comparative studies developed in this paper as a contribution for assessing the nature of agricultural transition and to investigate the qualitative change associated with new ruralities. A distinctive appreciation of the substance of agricultural change for different members of the rural society – namely men and women, but also different men, and different women – is the premise for overcoming barriers to shared development, and for framing effective governance in the context of global development.

Panorama general 1970 al 2005 de la matrícula y el egreso universitarios en México como indicadores de la tensión en el mercado laboral

En este trabajo se presentan algunos avances de un proyecto sobre empleo profesional de egresados de universidades públicas y privadas en México. Concretamente se describen los resultados de la fase de indagación cuantitativa de las características de la matrícula y el egreso de nivel universitario por área de estudio, carrera y régimen, de 1970 al 2005, para la población total a nivel nacional, así como algunas características de la participación laboral de nivel profesional. El trabajo se centra en la población de instituciones públicas y privadas por la presencia creciente de estas últimas en la atención de la demanda y para comprender un mercado laboral que parece cada vez más competido y diferenciado por origen institucional. Partimos del supuesto de que la exploración cuantitativa de la dinámica de la educación superior en México en los últimos 35 años, ofrece elementos para conocer algunas de las características de los mercados laborales de nivel profesional y sus niveles de tensión por saturación. En este sentido, la indagación cuantitativa del estudio es una dimensión, entre otras, que contribuye en cierta medida a la comprensión del papel de la educación en el mercado laboral y, en general, de la función social de la educación, dos de los objetivos más amplios del proyecto en el que se enmarca lo que aquí se expone

Panorama general 1970 al 2005 de la matrícula y el egreso universitarios en México como indicadores de la tensión en el mercado laboral

En este trabajo se presentan algunos avances de un proyecto sobre empleo profesional de egresados de universidades públicas y privadas en México. Concretamente se describen los resultados de la fase de indagación cuantitativa de las características de la matrícula y el egreso de nivel universitario por área de estudio, carrera y régimen, de 1970 al 2005, para la población total a nivel nacional, así como algunas características de la participación laboral de nivel profesional. El trabajo se centra en la población de instituciones públicas y privadas por la presencia creciente de estas últimas en la atención de la demanda y para comprender un mercado laboral que parece cada vez más competido y diferenciado por origen institucional. Partimos del supuesto de que la exploración cuantitativa de la dinámica de la educación superior en México en los últimos 35 años, ofrece elementos para conocer algunas de las características de los mercados laborales de nivel profesional y sus niveles de tensión por saturación. En este sentido, la indagación cuantitativa del estudio es una dimensión, entre otras, que contribuye en cierta medida a la comprensión del papel de la educación en el mercado laboral y, en general, de la función social de la educación, dos de los objetivos más amplios del proyecto en el que se enmarca lo que aquí se expone

Panorama general 1970 al 2005 de la matrícula y el egreso universitarios en México como indicadores de la tensión en el mercado laboral

En este trabajo se presentan algunos avances de un proyecto sobre empleo profesional de egresados de universidades públicas y privadas en México. Concretamente se describen los resultados de la fase de indagación cuantitativa de las características de la matrícula y el egreso de nivel universitario por área de estudio, carrera y régimen, de 1970 al 2005, para la población total a nivel nacional, así como algunas características de la participación laboral de nivel profesional. El trabajo se centra en la población de instituciones públicas y privadas por la presencia creciente de estas últimas en la atención de la demanda y para comprender un mercado laboral que parece cada vez más competido y diferenciado por origen institucional. Partimos del supuesto de que la exploración cuantitativa de la dinámica de la educación superior en México en los últimos 35 años, ofrece elementos para conocer algunas de las características de los mercados laborales de nivel profesional y sus niveles de tensión por saturación. En este sentido, la indagación cuantitativa del estudio es una dimensión, entre otras, que contribuye en cierta medida a la comprensión del papel de la educación en el mercado laboral y, en general, de la función social de la educación, dos de los objetivos más amplios del proyecto en el que se enmarca lo que aquí se expone

Indian IT software engineers in Japan : a preliminary analysis

In this study, the work and life of Indian IT engineers in Japan engaged in software development were examined through a questionnaire survey. Findings were further supported by comparative analyses with Chinese and Korean software engineers. While Indian IT software engineers appeared rather satisfied with their life overall in Japan, they seemed rather dissatisfied with their work conditions including such things as fringe benefits, the working-time management of the company, levels of salary and bonuses, and promotion opportunities. It was made clear that profiles and perceptions of Indian engineers and those of Chinese and Koreans in Japan were different.

Exposure to Chinese imports andlocal labor market outcomes. An Analysis for Spanish provinces

In the period 1999-2007 Spanish imports from China multiplied by six, making that Asian country the fourth largest supplier to the Spanish economy. In this paper, we analyse whether this massive increase in imports impacted on the labour markets of Spanish provinces to differing degrees, due to differences in their initial productive specialization. Our results show that Spanish provinces with a higher exposure to Chinese imports experienced larger drops in manufacturing employment as a share of the working-age population. However, this reduction was compensated for by increases in non-manufacturing employment.

An evolutionary approach to the delineation of functional areas based on travel-to-work flows

This paper presents a new approach to the delineation of local labor markets based on evolutionary computation. The aim of the exercise is the division of a given territory into functional regions based on travel-to-work flows. Such regions are defined so that a high degree of inter-regional separation and of intra-regional integration in both cases in terms of commuting flows is guaranteed. Additional requirements include the absence of overlap between delineated regions and the exhaustive coverage of the whole territory. The procedure is based on the maximization of a fitness function that measures aggregate intra-region interaction under constraints of inter-region separation and minimum size. In the experimentation stage, two variations of the fitness function are used, and the process is also applied as a final stage for the optimization of the results from one of the most successful existing methods, which are used by the British authorities for the delineation of travel-to-work areas (TTWAs). The empirical exercise is conducted using real data for a sufficiently large territory that is considered to be representative given the density and variety of travel-to-work patterns that it embraces. The paper includes the quantitative comparison with alternative traditional methods, the assessment of the performance of the set of operators which has been specifically designed to handle the regionalization problem and the evaluation of the convergence process. The robustness of the solutions, something crucial in a research and policy-making context, is also discussed in the paper.