Employment

The concept of employment encompasses a variety of productive activities but has narrower connotations in the fields of law, statistics and economics.

Definitions

The term employment is used colloquially to refer to any human activity devoted to the production of goods and services. In legal terms it has the narrower meaning of a contractual arrangement that gives an employer some measure of control over the activities of an employee, and in national statistics it includes self-employment but excludes unpaid activities and activities in the “shadow economy” that are concealed from the authorities.

Employment legislation

Employment legislation imposes statutory requirements upon the relations between employers and employees concerning matters that include working hours, health and safety at work, minimum wage rates, dismissal restrictions and redundancy payments. The levels of employee protection provided by the legislation vary from country to country .

Employment statistics

For statistical purposes the population is divided into three categories:

• the employed population;
• the unemployed population; and,
• the economically inactive population.

The first two categories together comprise the working population, consisting of those people of working age who are available for employment (including, in principle, workers in the shadow economy). The third category includes those falling outside the chosen working age definition, the disabled, and those not seeking work for other reasons (sometimes referred to as discouraged workers). It also includes those who provide unpaid services to households. The percentage of the population of working age who are members of the working population is termed the activity rate.

National employment statistics are compiled from employer and household surveys, usually according to internatinally-ageed principles , but differing in practice from country to country.