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K I L M. 2 0 0 1. K ey I ndicators of the L abour M arket. Globalization and Technological Advances. As we enter a new millennium, it is increasingly clear that we are affected as much by global events and developments as by

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2 0 0 1



of the Labour



Globalization and Technological Advances

As we enter a new millennium, it is increasingly clear that we are affected as much by global events and developments as by

what occurs within our own communities.


Globalization and rapid technological advances are giving rise to

increasing labour mobility and expanding business and employment opportunities. As a result, individuals are becoming more and more uncertain about their employment situations.

Thus, globalization is particularly relevant to the world of work.


Timely and focused information on the world’s labour markets is essential. We need information that can help to answer such questions as:

  • What types of economic activities are people engaged in?
  • What is the size and composition of the labour force?
  • How many hours do people work and how much do they earn for this work?
  • How many people are without work and looking for work?
  • What types of inequalities exist, for example in terms of earnings and employment situation?
  • Are earnings keeping pace with the cost of living?
  • How are youth and women faring in the labour market?

At the national level statistical information on labour markets are generally developed and analysed by statistical services and labour ministries.

  • At the global level, the International Labour Office (ILO) plays a vital role in assembling, analysing and disseminating such information to the world community through projects such as the Key Indicators of the Labour Market (KILM).

In 1996, the Employment Policies Committee of the International Labour Conference, recognizing the need of governments and the social partners for timely and accurate information on labour market developments, requested that the ILO:

  • Develop a set of labour market indicators
  • Widen the availability of labour market indicators in order to monitor employment trends

The 1999 KILM was the first product developed to meet

these objectives.

the selection of the indicators was a collaborative effort among the ilo oecd and national offices
The selection of the indicators was a collaborative effort among the ILO, OECD and national offices.
  • The indicator is conceptually relevant.
  • Data are available for the indicator.
  • The indicator is comparable across countries and regions.

Criteria for selection of the indicators:


When developing indicators, one must strike a balance between:



Maximize scope of coverage, i.e., provide the greatest number of data points for the greatest number of countries

  • Harmonize the indicators across countries and time
  • (same type of sources, sampling procedures, methodologies and definitions)

Key Indicators of the Labour Market

  • Labour force participation rate
  • Employment-to-population ratio
  • Status in employment
  • Employment by sector
  • Part-time workers
  • Unemployment by educational attainment
  • Hours of work
  • Time-related underemployment
  • Informal sector employment
  • Inactivity rate
  • Unemployment
  • Educational attainment and illiteracy
  • Youth unemployment
  • Manufacturing wage indices
  • Long-term unemployment
  • Occupational wages and earnings indices
  • Hourly compensation costs
  • Productivity and unit labour cost
  • Labour market flows
  • Poverty and income distribution
data providers
Data Providers

Initial efforts in developing the KILM concentrated on

harvesting information directly from international data

repositories. In other words, the KILM Team did not focus on contacting national sources, but rather the team took advantage of existing compilations of data held by various international organizations.


KILM Publication Groupings

Developed (industrialized) countries

Latin America and the Caribbean

Transition economies

Sub-Saharan Africa

Asia and the Pacific

Middle East and North Africa


KILM Products

Research Articles


KILMnet New

Web Site