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Social sector in Azerbaijan (January-May 2017)

Analysis Materials 17 July 2017 17:21

Population’s income

According to the Azerbaijani State Statistics Committee, the nominal income of the population totaled 18.6 billion manat in January-May 2017, which is by 7.3 percent more compared to January-May 2016.

Major indices, characterizing income of the population

Indices

Jan.-May 2017

Compared to Jan.-May 2016, %

nominal income of population, in mln manat

18613,9

107,3

Income per capita, manat

1917,5

106,2

Income of population, in mln manat

17025,0

107,3

Income per capita, manat

1753,9

106,2

Source: State Statistics Committee

The population’s income after paying all required fees and membership fees made up 17 billion manat in January-May 2017, which is by 7.3 percent more than in January-May 2016.

Salary

The salary is one of the key social and economic indicators, which sufficiently enough characterizes the level of the prosperity of the country’s working people. According to the Azerbaijani State Statistics Committee, the average monthly salary in Azerbaijan in January-May 2017 increased by 6.8 percent from year to year and reached 520.5 manat.

Remuneration in the oil sector reached 3153,7 manat for the month, the non-oil sector – 458,5 manat, the public sector –386,8 manat, the private sector – 714 manat as of May 1, 2017.

The highest salary was observed in the mining industry, financial, information and communication, scientific and technical activity, as well as the construction sectors.

The construction sector plays an important role in the labor market. According to the official statistics, the salary of those working in the construction sector amounted to 829.9 manat in January-May 2017.

The salaries of hired employees and builders on specialized construction sites decreased by 13.6 percent. The salaries of those constructing buildings decreased by 9.7 percent, while the salaries of those engaged in civil construction increased by 7.3 percent.

Labor market

As of June 1, 2017, some 36,300 people were officially registered as unemployed in Azerbaijan, including 37.2 percent women, the Azerbaijani State Statistics Committee’s report said.

The average monthly unemployment benefit is 264 manat in Azerbaijan in January-May 2017.

Distribution of unemployed individuals and those who receive unemployment benefit in towns and regions as of June 1, 2017 (people):

Economic regions

Individuals with unemployed status

Individuals receiving unemployment benefits

Baku

16 696

2 672

Absheron region

1 955

702

Ganja-Gazakh

2 541

599

Sheki-Zaqatala

1 109

352

Lankaran

1 059

195

Guba-Khachmaz

1 373

317

Aran

7 819

986

Upper-Karabakh

1 588

237

Kalbajar-Lachin

1 431

237

Mountain Shirvan

688

142

Nakhchivan

-

-

As of June 1, 2017, the biggest number of unemployed people - 16,696 people (2,672 of those people received benefits) were registered in 12 administrative districts of Baku and 18 districts of the Aran economic region (7,819 and 986 people respectively).

As of June 1, 2017, the economically active population reached 5.03 million people.

The country's policy of providing the population with jobs is underway. According to the Azerbaijani Ministry of Labor and Social Protection of Population, the employment agencies of the Ministry of Labor and Social Protection provided 31,300 people with jobs in January-May 2017. More than 58,000 people attended vocational training courses and educational courses during the reporting period.

The number of people who appeal to the employment agencies for getting jobs has also greatly decreased for the year. As the main reason, we can mention the measures of increasing the employment level, which are being carried out in the country within the president’s economic policy, in particular, in tourism and agriculture.

So, 69,250 people appealed to the employment agencies in January-May 2017, whereas 141,600 people in the same period of the previous year.

In particular, 4,980 people appealed to the employment agencies in the Absheron economic region in January-May 2017 compared to 13,280 people in January-May 2016.

Almost 10,760 people appealed to the employment agencies in Ganja-Gazakh economic region in January-May 2017 compared to 22,430 people in January-May 2016.

Some 4,480 people appealed to the employment agencies in the Shaki-Zagatala economic region compared to almost 10,400 people.

Some 4,020 people appealed to the employment agencies in Lankaran economic region compared to 7,700 people.

Some 4,400 people appealed to the employment agencies in the Guba-Khachmaz economic region compared to 8,990 people.

Some 14,500 people appealed to the employment agencies in the Aran economic region compared to 34,500 people.

Some 2,440 people appealed to the employment agencies in the Upper Karabakh economic region compared to 3,600 people.

Some 619 people appealed to the employment agencies in the Kalbajar-Lachin economic region compared to 1,400 people.

Some 2,700 people appealed to the employment agencies in the Mountain-Shirvan economic region compared to 7,700 people.

Some 1,270 people appealed to the employment agencies in the Nakhchivan Autonomous Republic compared to 1,260 people.

The number of concluded contracts has increased by 21,350 compared to early 2017. This growth was mainly stipulated by the gradually reviving construction sector. The number of contracts concluded in the construction sector increased by 10,186.

The number of contracts concluded in repair of cars and motorcycles increased by 7,678 contracts.

The number of contracts concluded in agriculture increased by 1,951 contracts.

The number of contracts concluded in the processing industry increased by 1,514 contracts.

The number of contracts concluded in the extractive industry increased by 506 contracts.

The number of contracts concluded in transport, warehousing and other sectors increased by 1,740 contracts.

The number of employment contracts decreased by 1,196 in the financial and insurance sectors and by 8,771 in recreation, entertainment and art because many people engaged in art and leisure prefer to work as individuals, having received the taxpayer identification number (TIN).

As of June 1, 2017, the number of hired employees reached 1.52 million people, including 887,400 people - in the state sector, and 632,800 people - in private sector.

Some 34,100 people work in the oil sector, while over 1.48 million people in the non-oil sector.

Around 22.5 percent fall to the hired employees involved in the production spheres: 6.2 percent in construction, 6.7 percent in processing industry, 3.1 percent in agriculture, forestry and fishing, 2.2 percent - in the mining industry, 2.1 percent - water supply, waste recycling, 1.7 percent - in the production and distribution of electricity, gas and steam, 22 percent in education, 19.1 percent - trade, repair of vehicles, 8.6 percent - medical and social services, 7.1 percent in state governance and defense, social maintenance, 4.7 percent - transportation and warehousing, 3.8 percent - recreation, entertainment and arts, 3.5 percent – professional, scientific and technical activities, 1.6 percent - communication and information, 1.6 percent - financial and insurance activities, 1.3 percent - real estate transactions, 1.6 percent - administrative and additional services, 1.5 percent – tourist accommodation and catering and 1.1 percent - other areas.

Social Security

Currently, more than 12,000 people use social services in Azerbaijan. According to the Azerbaijani Ministry of Labor and Social Protection of the Population, about 11,300 single people or people with disabilities are provided with social services through the ministry. About 1,100 more citizens are provided with these services by social service institutions.

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