Improvements in employment held back by population ageing

Abstract

The employment rate is the key indicator of employment developments and the conditions for meeting public expenditure. However, with the ageing of the population, a rise in the employment rate (i.e. the ratio of employed persons to the 15–64-year-old population) no longer automatically implies an increase in the number of employed, as the rise may reflect a reduction in the working-age population as well as an increase in the number of employed persons.