The Commission presents its seventh report on the implementation of Council Regulation (EC) No 577/98 on the organisation of the labour force sample survey in the Community. The report takes stock of how Regulation (EC) No 577/98 has been implemented in the Member States, candidate countries, and European Free Trade Association (EFTA) countries. It also focuses on ongoing initiatives launched by the European Statistical System (ESS) to improve the quality of the Labour Force Survey. The report notes that the ESS works to continuously improve EU-LFS processes and methods. It has kept up the momentum of these efforts despite a difficult environment, with scarce resources and deep budget cuts.

As a reminder, the European Union Labour Force Survey (EU-LFS) is a large sample survey of residents in private households, providing both quarterly and annual labour market statistics on employment and unemployment, as well as on people outside the labour force. In 2017, the EU-LFS sample size was around 1.3 million people (of which around 1.2 million were in the EU-28) aged 15-74 years. The samples were taken every quarter and covered 34 participating countries, making the EU-LFS the largest household survey in Europe.

Implementation

The Commission considers that the implementation of EU-LFS to be very satisfactory, as Member States are fully — or almost fully — complying with this European legislation. Unresolved issues are discussed with Member States, and, if necessary, action plans are jointly drawn up. The overall quality of the EU-LFS is good.

The report surveys how the EU-LFS is implemented in terms of (i) accuracy of the estimates; (ii) timeliness and punctuality (i.e. the time gap between the reference period and the availability of data for users); (iii) accessibility and clarity; (iv) comparability of concepts, definitions, classification and methodologies; and (v) coherence/consistency of estimates with statistics gathered.

The report notes that the timeliness of EU-LFS data has slightly improved for the EU-28 in recent years. In 2017, the average number of calendar days needed to disseminate the EU-28 data was 75 days, compared to 77 days in 2014. Eurostat plans to further improve the timeliness of dissemination of EU-LFS results by shortening the deadline for data delivery to Eurostat in the future.

Initiatives to further improve the EU-LFS

1) The LFS in a modernised system of social statistics : building on the Commission’s 2009 Communication on the production method of EU statistics, the Commission adopted a proposal for a regulation for European statistics relating to persons and households, based on data at individual level collected from samples (the Integrated European Social Statistics (IESS) framework regulation). The proposed framework regulation will bring together seven existing household surveys that are currently carried out in the EU, and harmonising the definitions, concepts and variables that are common to two or more surveys. The modernisation will also improve the relevance of the LFS for: (i) migration analysis and (ii) comparability of information on working time and monthly pay from people’s main job. In addition, the modernisation of EULFS will lead to better coverage of: (i) employment (dependent self-employment), (ii) general health information (to compare the labour market situation of disabled people with that of the total target population), and (iii) participation in education and training (lasting at least 12 months). The proposed framework regulation is expected to lead to a first data collection in 2021.

2) Extending the EU-LFS to additional candidate countries : currently, 34 countries (the 28 EU Member States, 3 candidate countries and 3 EFTA countries) participate in the EU-LFS. In addition, Serbia and Albania will also have data disseminated by Eurostat as soon as the national surveys of these countries meet the requirements of the European regulations.

3) Developing new statistical products

Statistics to capture labour market dynamics : Eurostat and national statistical institutes are currently working on developing a methodology to estimate annual labour market transitions, tackling the challenges posed by high attrition rates (decreasing sample sizes across interview waves) as well as population changes over time.

Extension and preparation of the EU-LFS main indicators with the future legal framework : Eurostat and the Labour Market Statistics Working Group have developed a strategy to tackle the breaks in time series caused by the entry into force of the new framework regulation. Due to: (i) the large differences in approaches used by countries to derive information on the breaks in series, and (ii) the large number of indicators that must be derived based on relatively scarce information, Eurostat has already begun working on all implementation steps of this project.

Additional information on the accuracy of EU-LFS results : Eurostat and the Member States have produced the variance of annual net changes for a subset of 23 indicators of high policy relevance. This allows users, when analysing these EU-LFS indicators for policy purposes, to supplement the information on indicator changes between two consecutive years with information on the statistical significance of these indicator changes.

Constant improvements to EU-LFS are under way, either as part of the modernisation process of social statistics, or as individual EU-LFS projects for adapting to changes in user needs and new challenges (e.g. increased timeliness requirements, estimates on annual labour market transitions).

COM(2019)0014

The Commission presents its sixth report on the implementation of Council Regulation (EC) No 577/98 on the organisation of the labour force sample survey in the Community. The report takes stock of how Regulation (EC) No 577/98 has been implemented in Member States, in candidate countries, and in EFTA countries. It also describes continuing initiatives launched by the European Statistical System (ESS) to improve the quality and reduce the burden of the Labour Force Survey.

To recall, the European Union Labour Force Survey (EU-LFS) is a sample survey of residents in private households, providing quarterly and annual labour market statistics on employment and unemployment, as well as on people outside the labour force. The EU-LFS sample size is 1.3 million people, collecting more than 100 variables (on labour status, employment characteristics, working time etc.) and covering 33 participating countries, which makes it the largest household survey in Europe. Key EU policy initiatives (such as the employment guidelines and Europe 2020 headline targets) rely on EU-LFS data.

Implementation: the Commission considers the implementation of the EU-LFS to be satisfactory and Member States are fully or almost fully complying with this legislation. Open issues are discussed with Member States, and, if necessary, action plans are drawn up jointly. The overall quality of the EU-LFS is good. Progress has continued to be made despite a difficult environment, with scarce resources and a significantly reduced budget.

The report surveys how the EU-LFS is implemented in terms of (i) accuracy of the estimates; (ii) timeliness and punctuality (i.e. the time gap between the reference period and the availability of data for users); (iii) accessibility and clarity; (iv) comparability of concepts, definitions, classification and methodologies; and (v) coherence/consistency of estimates with statistics gathered.

It notes that the timeliness of EU-LFS data has improved over the period examined. In 2010, 85 % of Member State datasets were available for extractions 13 weeks after the end of the reference quarter. By 2014, this figure has increased to 95%. Eurostat also envisages improving further the timeliness of dissemination of EU-LFS results by shortening the deadline for data delivery to Eurostat in the future. The current deadline is 12 weeks of the end of a reference quarter.

Initiatives to further improve the EU-LFS

1) The LFS in a modernised system of social statistics : building on the ‘ Commission’s 2009 Communication on the production method of EU statistics: a vision for the next decade’, an initiative to modernise European social statistics was launched. This modernisation has an impact on the Labour Force Survey. The European Statistical System is currently carrying out a comprehensive review of all EU-LFS variables , with the aim of adapting the information collected in the survey to current and future user needs. Within the process of modernising European social statistics, Eurostat and the Member States are also working towards greater harmonisation of data across surveys. This should allow increased use of the information collected, by e.g. crossing information from different data sources. To achieve this goal, the definition, concepts and codes of a subset of variables collected from more than one European social survey are being standardised. Furthermore the revision of the EU-LFS encompasses an improved timeliness for the data transmission to Eurostat, a revision of the precision requirements and further methodological work.

The report notes that a new framework regulation for social statistics covering the EU-LFS is currently being prepared.

2) Developing new statistical products

statistics to capture the dynamics on the labour market : labour status transitions can be measured using flow statistics. Although this important new field of statistics in relation to the labour market is accompanied by methodological challenges, work has progressed in recent years. It is expected that publication of flow estimates based on EULFS data will allow the monitoring of transitions on the labour market from the end of 2015; revision of the EU-LFS main indicators : these EU-LFS main indicators are currently being revised, in order to further improve their quality. This includes the estimation of back data, filling in data gaps, the removal of breaks in the time-series where feasible, and most importantly seasonal adjustment allowing quarter-to-quarter comparisons. additional information on the precision of EU-LFS results : Eurostat and Member States are currently working to establish methods and procedures for estimating the statistical precision of the EU-LFS main indicators. These harmonised quality indicators should improve the evaluation of EU labour market policies based on the EU-LFS.

Work will continue over the next few years to adapt the survey to changes in user needs and new challenges.

COM(2015)0628
EUR-Lex

This is the fifth in a series of three-yearly reports that the Commission is required to submit under Article 7 of Council Regulation (EC) No 577/98 on the organisation of the labour force sample survey in the Community ('LFS legislation') and covers the period 2008-2010.

1. Scope and coverage: to recap, the European Union Labour Force Survey (EU-LFS) is a large sample survey of residents in private households. It is the most important source of official statistics on labour markets in the European Union. The sample size is 1.8 million people every quarter. This makes it the largest household survey in Europe. It is implemented in the 27 Member States, in candidate countries, in EFTA countries and in Switzerland (i.e. 33 countries).

It provides both quarterly and annual labour market statistics, on employment and unemployment, as well as on people outside the labour force. It also collects multi-annual information from ad hoc modules and provides input for model-based monthly estimates of unemployment and unemployment rates.

Some key EU policy initiatives rely on EU-LFS data to monitor progress . For instance, the EU-LFS is one of the main data sources for monitoring Member States’ progress under the employment guidelines in the context of Article 148 of the Treaty on the Functioning of the European Union (TFEU) and the EU’s growth strategy, Europe 2020.

2. Implementation: the report surveys how the EU-LFS is implemented in the various countries in terms of (i) accuracy of the estimates; (ii) timeliness and punctuality (i.e. the time gap between the reference period and the availability of data for users); (iii) accessibility and clarity; (iv) comparability of concepts, definitions, classification and methodologies; and (v) coherence/consistency of estimates with statistics gathered.

3. Initiatives to further improve the EU-LFS:

- a Task Force on the quality of the LFS was set up in 2007 and formulated over 40 recommendations for improving the design, organisation and conduct of the survey. Participating countries assessed themselves against the recommendations, and in 2010, each defined a national action plan to implement the recommendations;

- developing new statistical products: one way to extend the use of LFS results is to improve the use of the microdata available , for instance, by providing users with new indicators;

- an initiative to modernise European social statistics has been launched to: (a) improve the sampling frames; (b) streamline social surveys; and (c) make more use of new and existing data sources, particularly administrative sources.

Conclusions: the Commission concludes that the implementation of Regulation (EC) No 577/98 is satisfactory. Member States are fully or almost fully complying with the Regulation. Open issues are discussed with Member States, and, if necessary, action plans are jointly defined. The overall quality of the EU-LFS is good. The European Statistical System is making efforts to introduce ongoing improvements in EU-LFS processes and methods, and has kept up the momentum despite a difficult environment, with scarce resources and deep budget cuts. A review of EU-LFS methodology is under way to adapt to changes in user needs and to new challenges (e.g. improved timeliness requirements, estimates on labour market transitions). This work will be part of the overall modernisation of social statistics.

COM(2012)0701
EUR-Lex

This is the fourth in a series of three-yearly reports that the Commission is required to submit under Article 7 of Council Regulation (EC) No 577/98 on the organisation of the labour force sample survey in the Community (‘LFS legislation’). The first report was submitted by the Commission in 2000 and covered the period 1998-1999, the second was submitted in 2003 and covered the period 2000-2002, and the third one was submitted in 2006 and covered years 2003-2005. This report documents the progress made by Member States, Candidate and EFTA countries (participating countries) in 2006 and 2007 with respect to the provisions of Council Regulation (EC) No 577/98 as amended by Commission Regulation (EC) No 2104/2002 and Council Regulation No 2257/2003 . In particular, Regulation (EC) No 2257/2003 introduced some innovations within the LFS legislation from 2006 onwards, which included the following:

six additional survey characteristics; mandatory inclusion of module ‘n’ on atypical working times, which hitherto had been surveyed on the basis of a gentlemen’s agreement; distinguishing between core variables, which should be surveyed on a quarterly basis, and structural variables, which need to be surveyed only as annual averages and for which a sub-sample of the full yearly sample can be used.

Main conclusions of the report : overall, in the period under consideration, participating countries made good progress towards fuller compliance with the LFS legislation. National surveys have been adapted both to take into account modifications in EU legislation and to comply with the requirements already in place at the time of the previous report and from which there were national deviations. The quality of both the national and community labour force surveys as a whole has thus been improved, especially in terms of relevance, accuracy, geographical comparability and timeliness.

All Member States now carry out a continuous survey providing quarterly results, and almost all of them cover all the weeks of the year. The relevance of the Community labour force survey was improved by implementing the six new characteristics, by reducing the number of mandatory variables not provided and by having two additional countries send microdata to Eurostat. Cross-country comparability was enhanced, as several countries revised their questionnaires to achieve compliance with the definition of unemployment and to increase consistency with the twelve principles for the questions on labour status. The accuracy of many national surveys benefited from improved design and organisation - for example through increased sample size, more efficient rotation schemes, enhanced weighting system or by the adoption of computer-assisted modes which replace paper questionnaires. With a few exceptions, timeliness of data delivery has also improved. Additional improvements are already in the pipeline at both national and European level. A further push to improve the quality of the Community labour force survey can be expected in the coming years, with the implementation of the 43 recommendations of the Task Force on the Quality of the Labour Force Survey.

However, there were still deviations from a full implementation of the LFS legislation. The main concerns for the Commission in this regard are mentioned below.

Data transmissions : these were sometimes not of sufficient quality for dissemination, and several revisions were needed before an acceptable version was sent. This had a negative impact on the timeliness of data dissemination and prevented the introduction of a Labour Force Survey release calendar, which would be highly appreciated by users and would further increase the relevance of the survey.

Comparability : so far, despite progress since the previous report, most countries neither yet fully comply with the definition of unemployment nor yet fully observe the twelve principles for the formulation of questions on labour status. This reduces the geographical comparability of the key estimates relating to employment and unemployment. Geographical comparability is also influenced by the use of different concepts and practices, e.g. as regards the resident population or the coverage of institutional households.

Compliance with the precision requirements : although it is not possible to provide clear conclusions on compliance with the precision requirements, evidence from the assessment presented in this report is that the efforts made so far have not always been sufficient to produce fully reliable estimates. Some countries still have to adjust their survey design, e.g. by increasing the sample size or by adopting adequate rotation patterns, so as to significantly improve the precision of estimates either at regional level or of changes between quarters. Few countries have so far taken up the option of using a sub-sample to survey structural variables, which was intended as a major tool to reduce the response burden.

Coverage and respect of the deadline for data transmission : as regards ad hoc modules, coverage and respect of the deadline for data transmission were satisfactory. The Commission will continue working closely with the Member States to ensure that they achieve full compliance with the LFS legislation. Eurostat conducts compliance monitoring on a regular basis. Where non-compliance is detected, appropriate action is taken by the Commission.

COM(2010)0046
EUR-Lex

This Commission Staff working document accompanies the report from the Commission to the Council and the European Parliament on the implementation of Council Regulation (EC) No 577/98 (please refer to the follow-up document COM(2010)0046).

The document assesses Member States’ compliance with the technical requirements of the legislation on the organisation of the labour force sample survey in the Community (‘LFS legislation’). It examines in details data on the sample and survey characteristics including the definition of unemployment and the twelve principles for formulating the questionnaire.

SEC(2010)0115
EUR-Lex

PURPOSE: updating of the codification to be used for data transmission from 2006 onwards and the use of a sub-sample for the collection of data on structural variables in relation to the organisation of a labour force sample survey.

LEGISLATIVE ACT: Commission Regulation 430/2005/EC.

CONTENT: The conditions for the use of a sub-sample for the collection of data on structural variables are laid down in Annex I of the Regulation.

The codes for the variables to be used for data transmission for the years 2006 onwards are laid down in Annex II of the Regulation.

ENTRY INTO FORCE: 06/04/2005.

32005R0430
OJ L 071 17.03.2005, p. 0036-0060

COM(2003)0760
EUR-Lex

32002R2104
OJ L 324 29.11.2002, p. 0014-0019

32002R1313
OJ L 192 20.07.2002, p. 0016-0021

EUR-Lex
COM(2000)0895

Regulation 1998/577
OJ L 077 14.03.1998, p. 0003

CES0294/1998
OJ C 129 27.04.1998, p. 0065

EUR-Lex
OJ C 364 02.12.1997, p. 0007
COM(1997)0376

EUR-Lex
COM(1997)0376