Unemployment rate in Armenia decreased from 18.1% to 15.3% in 2021

ArmInfo. In 2021, the average y-o-y unemployment rate in Armenia decreased to 15.3% from 18.1% in 2020. This is evidenced by the data of the RA Statistical Committee.

The quarterly change in the unemployment rate in 2021 looked like  this: 17% in Q1 fell to 15% in  Q2, remaining at this bar in Q3, then  decreased more moderately to 14.5% Q4. And if in the reporting year a  quarterly decrease in this indicator was recorded, then a year  earlier, in 2020, there was an up and down fluctuation from quarter  to quarter, similar to the dynamics of 2019. So, in 2020, the  unemployment rate fell from 19.7% in Q1 to 17.5% in Q2, then rose  again to 18.2% in Q3, and then again decreased in  Q4 to 16%. The  same dynamics of the unemployment rate, but in higher percentages,  was also observed in 2019, when 21.5% in Q1 decreased to 16.5% in Q2,  then slightly increased to 17.1% in Q3, remaining at this level in  Q4.

At the same time, according to statistical data, the employment rate  in the country, increasing from 46.6% to 51%, during Q1 and Q2 2021,  decreased in Q3 to 50.9%, continuing to decline in Q4 to 49.7%,  almost repeating the dynamics of the previous two years. In  particular, the employment rate in the country in 2020, increasing  from 45% to 49.2% during the Q1-,Q3 2020, decreased to 47.6% in Q4,  and in 2019, following the growth from 44.9% to 51% in  Q1-Q3,  followed by a decline to 47.8% in Q4.  According to the source, in  2022, the average y-o-y rate of the employed population increased  slightly - by 0.3%, amounting to 993.7 thousand people or 49.5% of  the economically active population, and the average y-o-y rate of  unemployed decreased by 17.5% to 180.1 thousand people. Moreover,  81.3% of the employed population, worked in the service sector, 34.1%  in the manufacturing sector, of which 22.5% worked in the food  production sector.

More recent data for February 2022 shows that 84.2 thousand people  were looking for work, of which over 56.9 thousand were unemployed,  and both indicators recorded a y-o-y decline of 6.4% and 9.7%,  respectively. Moreover, there are much more women among job seekers -  54.8 thousand (with a y-o-y decline of 6.7%) than men - 29.3 thousand  (with a y-o-y decline of 5.8%). The situation is similar with the  unemployed: there are 36.4 thousand women (with a y-o-y decline of  10.8%), and men - 20.5 thousand (with a y-o-y decline of 7.3%).

In February 2022, the demand of the employers for the labor increased  1.3-fold a year - up to 2201 people, which reduced the load per 1  vacancy - by 29.6% - to 38 people. In the reporting month, 877  citizens managed to find a job (1.4-fold y-o-y growth) or 1% of the  total number of job seekers. 282 of the employed people- are men  (1.3-fold y-o-y growth), and 595- women (1.5-fold y-o-y growth). 

It should be noted that according to the forecast of the Central Bank  of the Republic of Armenia for 2022, updated in March, the  unemployment rate in Armenia will increase to 16.7%, which is due to  a decrease in seasonal labor migration due to the unfavorable  economic situation in Russia. And in the medium term, the  unemployment rate, according to the forecasts of the Central Bank of  the Republic of Armenia, will remain in the range of 16.4-16.9%.