Concepts and definitions

Annual hours worked

The total hours worked by all employed per employed person per year.

Atypical employment

An employee with a fixed-term and/or part-time employment relationship is classified as being in atypical employment. A self-employed person may also work part-time, but he or she is not classified as being in atypical employment.

Background to unemployment

The background to unemployment refers to the activity of an unemployed person prior to unemployment: a) whether he or she was at work or outside the labour force, b) whether the job was permanent or for a fixed-term, c) what was the activity of the unemployed who became unemployed from outside the labour force prior to unemployment, and d) whether is entering the working life permanently for the first time.

Disguised unemployment

Persons who would like to get a job and would be available for work within two weeks, but have not sought work in the past four weeks are classified as being in disguised unemployment. The reasons for disguised unemployment are giving up job search (discouraged job-seekers) or other reasons such as studying, child care, ill health or other such considerations.

Employed

Employed persons are those who during the survey week have been gainfully employed for at least one hour for pay or benefit in kind or for gaining profit, or who have been temporarily absent from work. Persons who have been absent from work during the survey week are counted as employed if the absence is due to maternity or paternity leave, if the absence has lasted less than three months or if he/she is paid wages or salary or an earnings-related benefit amounting at least to one-half of his/her normal wage or salary. The employed can be wage and salary earners, self-employed entrepreneurs or unpaid family workers.

Employer

The employed are divided into the public and private sector depending on the employer. The public sector is subdivided into the central and local government. The central government includes state administration, the Social Insurance Institution, the Bank of Finland and unincorporated central government enterprises. Municipalities and joint municipal authorities comprise the municipal administration, the municipal school system, as well as the unincorporated service institutions and agencies of the municipalities and joint municipal authorities, such as health centres, hospitals, kindergartens and unincorporated enterprises. The private sector comprises those whose employer is a company (including companies owned by the state or municipality), a private person, an enterprise, a foundation, a co-operative or an association, and those who are self-employed or own-account workers. Non-profit institutions, such as the church and parishes, are also included in the private sector. The employer sector of unemployed persons is determined according to the last employer prior to unemployment.

Employment rate

The ratio of the employed to the total population. The official employment rate is calculated as the percentage of employed persons aged 15-64 among the population of the same age.

Entrepreneur

Entrepreneurs are persons who using the inputs they own engage in economic activities on their own account and at their own risk. Entrepreneurs can be freelancers, sole entrepreneurs or they can have paid labour force (so-called self-employed employer). A person in a limited company who alone or with his or her family owns at least one half of the enterprise is an entrepreneur.

Family worker

Family workers are members of the same household working without actual pay in an enterprise owned by a family member.

Fixed-term employment

Employees with an employment contract for a fixed term, for a trial period, or for carrying out certain tasks are considered as being in fixed-term employment.

Full-time work

Wage and salary earners or self-employed persons describing themselves as working full-time in their main job. The respondent's own opinion of full-time work is sufficient.

Hours worked

Hours worked refer to the number of hours worked by the person (or persons) during the survey week. Hours actually worked comprise all hours worked, including (paid and unpaid) overtime and hours worked in secondary jobs. Absences reduce the hours worked.

Industry

In the Labour Force Survey, the industry is determined for the main and secondary jobs of persons in the labour force according to the employer's establishment or the industry of one's own enterprise. Statistics Finland's Standard Industrial Classification is used in determining the industry.

Labour force

All persons aged 15 to 74 who were employed or unemployed during the survey week belong to the labour force.

Labour force participation rate

The ratio of all persons aged 15 to 74 in the labour force to the total population of working age.

Normal working hours

Normal weekly working hours of an employed person in the main job, including regular overtime work.

Occupation

An occupation refers to the work the person does regardless of his or her status in employment (wage and salary earner - self-employed), education or the industry of the workplace. Therefore the occupation of a word processor operator working at factory is the same as that of a word processor operator working at office if their tasks require the same professional skills.

The following information has been generally needed for defining a person's occupation for population censuses or the Labour Force Survey:

  • main type of activity / belonging to the labour force, i.e. whether the person is economically active / in the labour force or not
  • job title
  • main tasks related to the occupation
  • status in employment: wage and salary earner - self-employed

The unemployed are often classified by their previous occupation but also sometimes by their desired occupation (at labour exchange office).

Overtime

Hours worked in the main job during the survey week for which compensation is received in pay or as time off.

Overtime hours

Hours of overtime worked by employees for which compensation is received either in pay or as time off (the respondent's own opinion).

Overtime rate

The ratio of employees working overtime during the survey week to the total number of employed persons.

Part-time work

Wage and salary earners or self-employed persons who described themselves in the survey as working part-time in their main job are classified as part-time workers. The respondent's own opinion of part-time work is sufficient.

Persons at work/not at work

An employed person is classified as being at work if he or she has been at work for at least one day in the survey week. An employed person is classified as not being at work if he or she has been absent from work for the whole survey week for reasons such as holiday, illness or other temporary reason.

Persons not in the labour force

Persons not in the labour force consist of those who were not employed or unemployed during the survey week. Persons not in the labour force can also be called those outside the labour force.

Proportion of overtime hours

Percentage proportion of overtime hours of all hours actually worked.

Salary earner

The employed are divided into the following groups according to their status in employment: a) self-employed or own-account workers, b) wage and salary earners, subdivided into workers and salary earners depending on the occupation, and c) unpaid family workers, i.e. persons working in an enterprise owned by a family member. An unemployed person's status in employment is determined according to the situation prevailing before unemployment.

Secondary job

A secondary job held in addition to the main self-employment or paid employment during the survey week.

Secondary job rate

The ratio of employed persons holding secondary jobs during the survey week to the total number of employed persons.

Self-employed employer

A self-employed person employing paid labour force.

Sickness day

A working day that an employed person has missed because of own illness or accident during the survey week.

Socio-economic group

In the Labour Force Survey the socio-economic group is determined with Statistics Finland's Classification of Socio-economic Groups. In the survey, only employees are classified by socio-economic group.

Sole entrepreneur

A self-employed person not employing paid labour force.

Status in employment

The employed are divided into those in paid employment, or wage and salary earners and self-employed, and persons working in an enterprise owned by a family member. An unemployed person's status in employment is determined according to the situation prevailing before unemployment.

Underemployed

Underemployed are those who are engaged in part-time work because full-time work is not available, or whose employer has them work a reduced working week, or who have had no work due to shortage of orders or customers or because of having been laid off. Thus underemployed is an employed person who would like to do more work.

Unemployed

All persons who are without work for the whole survey week, have been seeking a job actively in the past four weeks as an employee or a self-employed person and could accept a job within two weeks are classified as unemployed. Persons without a job and waiting to start a job within three months are also counted as unemployed if they could start work within two weeks. Those who have been laid off from their work until further notice and meet the job seeking and job acceptance criteria are also considered unemployed.

Unemployment rate

The ratio of the unemployed to all persons in the labour force. The official unemployment rate is calculated as a percentage of the unemployed aged 15 to 74 among the population of the same age.

Wage and salary earner

Wage and salary earners are persons who work in paid employment for a pay or fee. Wage and salary earners are further classified into workers and salaried employees.

Wage earner

The employed are divided into the following groups according to their status in employment: a) self-employed or own-account workers, b) wage and salary earners, subdivided into workers and salary earners depending on the occupation, and c) unpaid family workers, i.e. persons working in an enterprise owned by a family member. An unemployed person's status in employment is determined according to the situation prevailing before unemployment.

Work attendance rate

The ratio of persons at work to the total number of employed persons.

Working day

A day on which an employed person has been at work in the main job.

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