The LFS-based unemployment rate rose to 5.1% at end-Q2, from 4.7% at end-Q1, according to figures of the statistical office, published on Wednesday. The employment rate rose by 0.6pps q/q to 68.1%, while the labor force participation rate also rose by 0.9pps m/m to 71.7%. The number of the employed people in age group 50-74 years old was on the rise, reaching its highest level in the past 10 years, and likely supported by the Work Ability Reform.
On the other hand, in the age group 15-24 employment came in at 39.5%, while the unemployment rate was 14.1%, which is typical for the summer season due to the increased number of young people looking for a job, the stat office explained. The number of inactive persons increased by 1.2% y/y, underpinned by reasons such as retirement, studies, illness or disability. To note, the number of discouraged persons who have lost hope finding a job has dropped to its lowest level this century.