The unemployment rate is the ratio between the number of registered unemployed individuals and the individuals currently in the labor force. The labor force refers to the share of the working age population (in Albania from 16 years old to retirement) who are either in a job or actively looking for one.
Historically, the unemployment rate has changed as shown in the following figure:
Source: Bank of Albania
Comments and analysis: ODA
The highest level of unemployment (22.3%) was recorded in 1993 during the first years of political pluralism, while the lowest level was attained in 1996 (12.4%). Although the unemployment rate has been decreasing over the last ten years, the 1996’s rate level has not yet been reached. In 2009, an increase in the unemployment rate by 0.6% compared to the previous year is observed. According to the IMF, the unemployment rate in Albania in 2010 is estimated to be about 12.5%.
In 2009, among the total number of registered unemployed individuals 88.3% are long term unemployed, 6.3% receive the unemployment benefits, and the remaining 5.4% are considered as cyclically unemployed.
A direct link between employment and education can be observed. In 2009, 53.6% of the registered unemployed individuals have elementary education, 43.8% have attained the secondary degree, and only 2.6% have higher education. One should note that the information given here do not include data on undeclared private work.
The situation in the last 10 years is represented in the following figure:
Source: INSTAT (Albanian Institute of Statistics), Ministry of Labour, Social Affairs and Equal Opportunities
Comments and analysis: ODA
The entire dataset is shown in the table below:
Source: INSTAT (Albanian Institute of Statistics), Ministry of Labour, Social Affairs and Equal Opportunities
Comments and analysis: ODA
Contributed by: R.E