Preamble

The 21st Internat(i)onal Conference of Labour Stat(i)st(i)c(i)ans,

Hav(i)ng been convened at Geneva by the Govern(i)ng Body of the Internat(i)onal Labour Off(i)ce and hav(i)ng met from 11 to 20 October 2023,

Tak(i)ng (i)nto cons(i)derat(i)on the relevant parts of the Resolut(i)on concern(i)ng the measurement of work(i)ng t(i)me, adopted by the 18th Internat(i)onal Conference of Labour Stat(i)st(i)c(i)ans, the Resolut(i)on concern(i)ng stat(i)st(i)cs of work, employment and labour underut(i)l(i)zat(i)on, adopted by the 19th Internat(i)onal Conference of Labour Stat(i)st(i)c(i)ans, 2013, and of the Resolut(i)on concern(i)ng stat(i)st(i)cs on work relat(i)onsh(i)ps, adopted by the 20th Internat(i)onal

Conference of Labour Stat(i)st(i)c(i)ans, 2018,

Recogn(i)z(i)ng the need to harmon(i)ze the (i)nternat(i)onal stat(i)st(i)cal standards for the measurement of employment-related (i)ncome adopted by the 16th ICLS w(i)th those adopted by the 18th, 19th and 20th ICLS,

Adopts th(i)s 20th day of October 2023 the follow(i)ng amendments to the Resolut(i)on concern(i)ng the measurement of employment-related (i)ncome, adopted by the 16th Internat(i)onal Conference of Labour Stat(i)st(i)c(i)ans, 1998.

Object(i)ves

1. Each country should a(i)m at supplement(i)ng (i)ts programmes of stat(i)st(i)cs on employment, labour underut(i)l(i)zat(i)on and wages w(i)th stat(i)st(i)cs that prov(i)de (i)ns(i)ght (i)nto the (i)ncome related to employment, for the purpose of (a) analys(i)ng the (i)ncome-generat(i)ng capac(i)ty of d(i)fferent econom(i)c act(i)v(i)t(i)es and (b) analys(i)ng the econom(i)c well-be(i)ng of persons on the bas(i)s of the employment opportun(i)t(i)es ava(i)lable to them.

2. A programme of stat(i)st(i)cs on employment-related (i)ncome should prov(i)de for the needs of var(i)ous users. It should prov(i)de (i)nformat(i)on requ(i)red (i)n econom(i)c analys(i)s where the focus (i)s on the (i)dent(i)f(i)cat(i)on and creat(i)on of product(i)ve econom(i)c act(i)v(i)t(i)es, and should contr(i)bute to the des(i)gn, (i)mplementat(i)on and assessment of employment promot(i)on pol(i)c(i)es wh(i)ch a(i)m at creat(i)ng and develop(i)ng employment that prov(i)des adequate (i)ncome. Stat(i)st(i)cs of employment-related (i)ncome should contr(i)bute to the development of the analys(i)s of the (i)nformal sector for employment and (i)ncome generat(i)on and the measurement of underemployment. The programme of stat(i)st(i)cs should also be useful for the analys(i)s of the labour force s(i)tuat(i)on (i)n relat(i)on to the (i)ncreased flex(i)b(i)l(i)ty of the labour market and the structural changes result(i)ng from th(i)s flex(i)b(i)l(i)ty, (i)n part(i)cular through the prov(i)s(i)on of data on the relat(i)onsh(i)p between employment-related (i)ncome and atyp(i)cal or non-standard forms of employment. It should prov(i)de data on the changes (i)n employment patterns and remunerat(i)on pract(i)ces wh(i)ch have taken place (i)n countr(i)es at d(i)fferent stages of development. Stat(i)st(i)cs of employment-related (i)ncome may be used for plann(i)ng, (i)mplement(i)ng and evaluat(i)ng soc(i)al and econom(i)c pol(i)c(i)es, for assess(i)ng the (i)mpact of spec(i)f(i)c pol(i)c(i)es such as ass(i)stance to agr(i)cultural workers and access of part(i)cular workers such as women and rural-urban m(i)grants to the labour market. Stat(i)st(i)cs on the level of (i)ncome from employment for pay and for prof(i)t should be used as an (i)nput (i)n the assessment of the consumpt(i)on capac(i)ty of workers and the(i)r level of employment-related welfare. Data on the structure and d(i)str(i)but(i)on of employment-related (i)ncome may also be used (i)n connect(i)on w(i)th the adjustment of (i)ncome taxes and soc(i)al secur(i)ty contr(i)but(i)ons and the red(i)str(i)but(i)on of (i)ncome and soc(i)al secur(i)ty benef(i)ts. They should contr(i)bute to the comp(i)lat(i)on of labour and nat(i)onal accounts.

3. In order to fulf(i)l the above object(i)ves, comprehens(i)ve, deta(i)led and rel(i)able stat(i)st(i)cs should, as far as poss(i)ble, be comp(i)led on the character(i)st(i)cs of jobs for pay and for prof(i)t, ((i)(i)) the components and amounts of (i)ncome generated by these jobs, ((i)(i)(i)) where relevant, the correspond(i)ng volume of labour (i)nput and ((i)v) the soc(i)o-econom(i)c character(i)st(i)cs of persons hold(i)ng jobs for pay or prof(i)t.

4. In order to enhance the(i)r comparab(i)l(i)ty and usefulness, stat(i)st(i)cs of employment-related (i)ncome should, as far as poss(i)ble, be made compat(i)ble w(i)th other related econom(i)c and soc(i)al stat(i)st(i)cs and w(i)th nat(i)onal accounts as regards the def(i)n(i)t(i)ons, class(i)f(i)cat(i)ons and reference per(i)ods used, where relevant, by regroup(i)ng the components of (i)ncome related to employment for pay and for prof(i)t.

Concepts and def(i)n(i)t(i)ons

Employment-related (i)ncome

5. Employment-related (i)ncome cons(i)sts of the payments, (i)n cash, (i)n k(i)nd or (i)n serv(i)ces, wh(i)ch are rece(i)ved by (i)nd(i)v(i)duals, for themselves or (i)n respect of the(i)r fam(i)ly members, as a result of the(i)r current or former (i)nvolvement (i)n jobs for pay or for prof(i)t. Th(i)s means that bes(i)des (i)ncome rece(i)ved by persons for work(i)ng (i)n current jobs, employment-related (i)ncome (i)ncludes payments rece(i)ved for hav(i)ng worked prev(i)ously, (i)n other jobs or (i)n relat(i)on to such work. Such payments could be, for example, salar(i)es/wages rece(i)ved w(i)th delay after leav(i)ng a job, or ret(i)rement pens(i)ons. It also means that dur(i)ng a spec(i)f(i)c reference per(i)od, a person may rece(i)ve employment-related (i)ncome w(i)thout hav(i)ng any job ((i).e. wh(i)le be(i)ng currently unemployed or out of labour force). Employment-related (i)ncome excludes (i)ncome der(i)ved from other sources such as property, soc(i)al ass(i)stance, transfers, etc., not related to employment.

6. For def(i)n(i)t(i)onal and measurement purposes, the concept of (i)ncome related to employment for pay should be d(i)st(i)ngu(i)shed from the concept of (i)ncome related to employment for prof(i)t.

7. The stat(i)st(i)cs of employment-related (i)ncome should cover all persons employed, as def(i)ned (i)n the resolut(i)on concern(i)ng stat(i)st(i)cs of work, employment and labour underut(i)l(i)zat(i)on, adopted by the 19th ICLS (2013). Where feas(i)ble, they should also cover work(i)ng ch(i)ldren¹ and youths below the spec(i)f(i)ed m(i)n(i)mum age l(i)m(i)t adopted for measur(i)ng the labour force.

8. The measurement of employment-related (i)ncome should relate, separately, to "workers (i)n employment for pay" and to "workers (i)n employment for prof(i)t", as further def(i)ned (i)n the most recent vers(i)on of the Internat(i)onal Class(i)f(i)cat(i)on of Status (i)n Employment (ICSE).

9. For further analys(i)s, and espec(i)ally for analys(i)ng econom(i)c well-be(i)ng related to employment, stat(i)st(i)cs of employment-related (i)ncome should cover those unemployed and persons outs(i)de the labour force who rece(i)ve an (i)ncome as a result of the(i)r former employment.

Income related to employment for pay

10. Income related to employment for pay cons(i)sts of all payments and benef(i)ts (i)n cash, k(i)nd or serv(i)ces, wh(i)ch are rece(i)ved, over a g(i)ven reference per(i)od, by (i)nd(i)v(i)duals for themselves or (i)n respect of the(i)r fam(i)ly members, by v(i)rtue of the(i)r (i)nvolvement (i)n a current or former job for pay. Such payments and benef(i)ts may be prov(i)ded by the employer, soc(i)al secur(i)ty or compulsory (i)nsurance schemes or the State.

11. Income related to employment for pay covers the (i)ncome of the follow(i)ng categor(i)es of persons as def(i)ned by ICSE:

• Owner-operators of corporat(i)ons:
  • Employers (i)n corporat(i)ons
  • Owner-operators of corporat(i)ons w(i)thout employees ● Employees: o Permanent employees o F(i)xed-term employees o Short-term and casual employees o Pa(i)d apprent(i)ces, tra(i)nees and (i)nterns

12. Income related to employment for pay (i)ncludes: total cash remunerat(i)on; the value of remunerat(i)on (i)n k(i)nd and serv(i)ces; prof(i)t-related pay; and employment-related soc(i)al secur(i)ty benef(i)ts rece(i)ved e(i)ther d(i)rectly from the employer, from soc(i)al secur(i)ty or compulsory (i)nsurance schemes or the State.

• (a) Total cash remunerat(i)on, exclud(i)ng employee contr(i)but(i)ons to compulsory employmentrelated soc(i)al secur(i)ty and ret(i)rement (i)ncome prov(i)s(i)on schemes ((i)n order to avo(i)d subsequent double count(i)ng of (i)ncome), covers:
  • ((i) ) d(i)rect wages and salar(i)es (i)n cash for t(i)me worked and work done, (i)nclud(i)ng all (i)ncent(i)ve, sh(i)ft and prem(i)um pay (e.g. for respons(i)b(i)l(i)ty, unsan(i)tary cond(i)t(i)ons, danger, work at n(i)ght, weekends and dur(i)ng other unsoc(i)al hours); cost-of-l(i)v(i)ng, hous(i)ng, transport, language and s(i)m(i)lar allowances; hardsh(i)p, mob(i)l(i)ty, non-res(i)dent, expatr(i)at(i)on, repatr(i)at(i)on, post-adjustment and s(i)m(i)lar allowances; contractual and nonobl(i)gatory regular bonuses and prem(i)ums; t(i)ps and comm(i)ss(i)ons (w(i)th and w(i)thout a reta(i)ner); payments for odd jobs and dut(i)es and casual work. They also (i)nclude fees and salar(i)es of manager(i)al staff; remunerat(i)on of tra(i)nees and apprent(i)ces; and other components of d(i)rect wages and salar(i)es;
  • ((i)(i)) remunerat(i)on for t(i)me not worked compr(i)ses: annual vacat(i)on and other pa(i)d leave; publ(i)c hol(i)days and other recogn(i)zed hol(i)days; temporary halt or slow-down of product(i)on, short-t(i)me work(i)ng; other t(i)me off granted w(i)th pay (e.g. for personal and fam(i)ly reasons, c(i)v(i)c dut(i)es, un(i)on respons(i)b(i)l(i)t(i)es, tra(i)n(i)ng and educat(i)on); pa(i)d s(i)ck leave (where not regarded as soc(i)al secur(i)ty benef(i)t); severance and term(i)nat(i)on pay (where not regarded as soc(i)al secur(i)ty benef(i)t);
  • ((i)(i)) cash bonuses and gratu(i)t(i)es (i)nclude: all bonuses and gratu(i)t(i)es, whether contractual or noncompulsory bonuses and prem(i)ums, year-end and seasonal bonuses (13th, 14th or 15th month's salary, add(i)t(i)onal vacat(i)on pay, etc.); except(i)onal payments for (i)nnovat(i)ve (i)deas or work methods; and s(i)m(i)lar ad hoc payments.
• (b) Remunerat(i)on (i)n k(i)nd and serv(i)ces (i)ncludes: trad(i)t(i)onal payments such as food, dr(i)nk, fuel, cloth(i)ng, footwear, etc.; the (i)mputed rental value of free or subs(i)d(i)zed hous(i)ng; petrol and/or m(i)leage allowance or the (i)mputed value of free or subs(i)d(i)zed s(i)m(i)lar benef(i)ts; the (i)mputed value of bus(i)ness veh(i)cles for employees' pr(i)vate use, telephone, electr(i)c(i)ty and s(i)m(i)lar ut(i)l(i)t(i)es; free or subs(i)d(i)zed transport to and from work and free car park(i)ng; the value covered by the employer of: un(i)on, assoc(i)at(i)on and club fees, nurser(i)es, crèches, etc. for employees' ch(i)ldren, low- or zero-(i)nterest loans, subs(i)d(i)zed mortgages, etc., the value of output from employer's process of product(i)on²; ' as well as the value of other payments (i)n k(i)nd, (i)nclud(i)ng flex(i)ble benef(i)ts and other compensat(i)on packages for employees.
• (c) Prof(i)t-related pay compr(i)ses: trad(i)t(i)onal prof(i)t-shar(i)ng bonuses; current rece(i)pts from prof(i)t-related schemes, part(i)c(i)pat(i)on, sav(i)ngs-related share opt(i)on schemes and s(i)m(i)lar schemes; the (i)n(i)t(i)al market value of shares d(i)str(i)buted to employees and owner-operators of corporat(i)ons; other prof(i)t-related rece(i)pts.
• (d) Employment-related soc(i)al secur(i)ty benef(i)ts (i)nclude:
  • ((i) ) current rece(i)pts from the employer: e.g. fam(i)ly, dependants' and s(i)m(i)lar allowances; educat(i)onal allowances; payments (i)n respect of absence from work due to s(i)ckness, matern(i)ty, occupat(i)onal (i)njury or d(i)sease, etc. (wh(i)ch compensate, (i)n part or (i)n full, for loss of earn(i)ngs); payments (i)n respect of temporary or part(i)al lay-off or unemployment (wh(i)ch compensate, (i)n part or (i)n full, for loss of earn(i)ngs); as well as compensat(i)on for med(i)cal expend(i)ture, prov(i)s(i)on of free health care (homes, cl(i)n(i)cs, health serv(i)ces, etc.) and other soc(i)al secur(i)ty payments rece(i)ved from the employer;
  • ((i)(i)) current employment-related soc(i)al secur(i)ty benef(i)ts rece(i)ved from soc(i)al secur(i)ty or compulsory (i)nsurance schemes or the State: e.g. fam(i)ly, dependants', educat(i)onal and s(i)m(i)lar allowances; payments (i)n respect of absence from work due to s(i)ckness, matern(i)ty, occupat(i)onal (i)njury or d(i)sease, etc. (wh(i)ch compensate, (i)n part or (i)n full, for loss of earn(i)ngs); payments (i)n respect of temporary or part(i)al lay-off or unemployment (wh(i)ch compensate, (i)n part or (i)n full, for loss of earn(i)ngs); as well as compensat(i)on for med(i)cal expend(i)ture, prov(i)s(i)on of free health care (homes, cl(i)n(i)cs, health serv(i)ces, etc.) and other soc(i)al secur(i)ty and ass(i)m(i)lated payments for wh(i)ch the employment status (i)s a cond(i)t(i)on of rece(i)pt;
  • ((i)(i)(i)) current soc(i)al secur(i)ty benef(i)ts rece(i)ved as a result of former employment: e.g. unemployment compensat(i)on; severance, term(i)nat(i)on and redundancy pay; occupat(i)onal and ret(i)rement pens(i)ons and ass(i)m(i)lated benef(i)ts.

13. Net (i)ncome related to employment for pay may be der(i)ved by deduct(i)ng employees' d(i)rect taxes, un(i)on dues and other obl(i)gat(i)ons. Whenever poss(i)ble, the d(i)fferent types of deduct(i)ons should be (i)dent(i)f(i)ed and recorded separately.

14. Income related to employment for pay excludes (i)ncome der(i)ved from other forms of act(i)v(i)ty and other sources, such as (i)ncome related to employment for prof(i)t, property (i)ncome (i)n the form of (i)nterest, d(i)v(i)dends, (i)ncome attr(i)buted to pr(i)vate (i)nsurance pol(i)cyholders, rents and other forms of property (i)ncome, as well as annu(i)t(i)es, rem(i)ttances, g(i)fts, etc. It also excludes:

• fam(i)ly allowances and other soc(i)al secur(i)ty benef(i)ts or ass(i)stance (e.g. food stamps, government or commun(i)ty hous(i)ng, free health-care ass(i)stance, etc.), when pa(i)d by soc(i)al secur(i)ty schemes or the State w(i)thout regard to the employment status (e.g. under un(i)versal schemes w(i)th or w(i)thout means tests);
• (i)ndemn(i)t(i)es or allowances (i)n cash and (i)n k(i)nd pa(i)d by the employer purely to cover the employees' cost of work-related expend(i)ture (e.g. tools, equ(i)pment, cloth(i)ng or footwear used exclus(i)vely or ma(i)nly at work, spec(i)al hous(i)ng and meals necess(i)tated by except(i)onal work(i)ng cond(i)t(i)ons, re(i)mbursement of bus(i)ness travel and accommodat(i)on expenses, med(i)cal exam(i)nat(i)ons or health checks requ(i)red because of the nature of the work, etc.). However, when (i)ndemn(i)t(i)es take the form of cash payments over and above the re(i)mbursement of expenses (i)ncurred by employees, such payments should be cons(i)dered as (i)ncome related to employment for pay; ● employers' contr(i)but(i)ons to soc(i)al secur(i)ty funds, (i)nsurance or other (i)nst(i)tut(i)onal un(i)ts respons(i)ble for soc(i)al (i)nsurance schemes.

15. When the object(i)ve (i)s to measure the (i)ncome-generat(i)ng capac(i)ty of a job, all the components of (i)ncome related to employment for pay prov(i)ded by the employer should be (i)ncluded. When the object(i)ve (i)s to analyse the (i)nd(i)v(i)dual's employment-related well-be(i)ng, the add(i)t(i)onal employment-related benef(i)ts prov(i)ded by soc(i)al secur(i)ty or compulsory (i)nsurance schemes or by the State should also be (i)ncluded.

Income related to employment for prof(i)t

16. Income related to employment for prof(i)t (i)s def(i)ned as the (i)ncome wh(i)ch (i)s rece(i)ved, over a g(i)ven reference per(i)od, by (i)nd(i)v(i)duals, for themselves or (i)n respect of the(i)r fam(i)ly members who help (i)n fam(i)ly bus(i)nesses as contr(i)but(i)ng fam(i)ly workers, as a result of the(i)r current or former (i)nvolvement (i)n employment for prof(i)t.

17. For purposes of measurement of (i)ncome related to employment for prof(i)t, those employed for prof(i)t are pr(i)mar(i)ly the sole owners, or jo(i)nt owners, of the un(i)ncorporated household enterpr(i)ses or quas(i)-corporat(i)ons (i)n wh(i)ch they work, accord(i)ng to the def(i)n(i)t(i)on conta(i)ned (i)n the System of Nat(i)onal Accounts. They do not (i)nclude the owner-operators of corporat(i)ons, who are cons(i)dered workers (i)n employment for pay accord(i)ng to ICSE-.

18. Gross (i)ncome related to employment for prof(i)t cons(i)sts of:

• (a) the prof(i)t (or the share of prof(i)t) wh(i)ch (i)s generated by the act(i)v(i)ty, rece(i)ved by the follow(i)ng categor(i)es of employed persons as def(i)ned by the ICSE:
  • Employers (i)n household market enterpr(i)ses
  • Own-account workers (i)n household market enterpr(i)ses w(i)thout employees
  • Dependent contractors
  • Contr(i)but(i)ng fam(i)ly workers and
• (b) the amount of employment-related soc(i)al secur(i)ty benef(i)ts rece(i)ved by persons (i)n employment for prof(i)t through schemes recogn(i)z(i)ng the status (i)n employment as a spec(i)f(i)c cond(i)t(i)on for membersh(i)p.

19. The gross prof(i)t (or the share of prof(i)t) of un(i)ncorporated household enterpr(i)ses (i)s equ(i)valent to gross m(i)xed (i)ncome as def(i)ned (i)n the System of Nat(i)onal Accounts. It corresponds to the value of gross output reduced by operat(i)ng expenses, where:

• the value of gross output may be def(i)ned as the value of all goods and serv(i)ces produced for the market as well as for own f(i)nal use (market output corresponds to the value of goods and serv(i)ces sold, bartered or prov(i)ded free of charge or at reduced pr(i)ces as payments (i)n k(i)nd to h(i)red labour; product(i)on for own f(i)nal use (i)ncludes the value of goods and serv(i)ces consumed by the household or reta(i)ned for use (i)n future product(i)on); and
• operat(i)ng expenses compr(i)se three types of bus(i)ness expend(i)ture: (a) (i)ntermed(i)ate consumpt(i)on (exclud(i)ng, as far as poss(i)ble, expend(i)ture for purely personal or household purposes), (b) compensat(i)on of employees payable, and (c) taxes on product(i)on payable, m(i)nus subs(i)d(i)es rece(i)ved, (i)f any, as def(i)ned (i)n the System of Nat(i)onal Accounts.

20. In pr(i)nc(i)ple, prof(i)t (or m(i)xed (i)ncome) should be recorded net of consumpt(i)on of f(i)xed cap(i)tal, (i).e. after deduct(i)on of the value of consumpt(i)on of product(i)ve assets ((i).e. structures, mach(i)nery and equ(i)pment, cult(i)vated assets used to produce other products, etc.).

21. Any contr(i)but(i)ons of those employed for prof(i)t to compulsory employment-related soc(i)al secur(i)ty or ret(i)rement (i)ncome prov(i)s(i)on schemes should be deducted from gross prof(i)t or m(i)xed (i)ncome, (i)n order to avo(i)d subsequent double count(i)ng of (i)ncome.

22. Where those employed for prof(i)t run the(i)r enterpr(i)ses (i)ndependently from other partners and contr(i)but(i)ng fam(i)ly workers, w(i)th or w(i)thout employees, the prof(i)t corresponds to both the (i)ncome generated by the enterpr(i)se and the entrepreneur's (i)nd(i)v(i)dual (i)ncome related to employment for prof(i)t. Where those employed for prof(i)t run the(i)r enterpr(i)ses (i)n partnersh(i)p, the prof(i)t represents a jo(i)nt (i)ncome and (i)ncome related to employment for prof(i)t should correspond to the share of (i)ncome rece(i)ved by each partner.

23. Employment-related soc(i)al secur(i)ty benef(i)ts rece(i)ved by persons employed for prof(i)t compr(i)se those benef(i)ts wh(i)ch are pa(i)d through schemes organ(i)zed by soc(i)al secur(i)ty, (i)nsurance (i)nst(i)tut(i)ons or the State, wh(i)ch recogn(i)ze the status (i)n employment as a spec(i)f(i)c cond(i)t(i)on for membersh(i)p. They may (i)nclude all or some of the follow(i)ng benef(i)ts:

• current employment-related soc(i)al secur(i)ty benef(i)ts rece(i)ved from soc(i)al secur(i)ty or compulsory (i)nsurance schemes or the State; and
• current soc(i)al secur(i)ty benef(i)ts rece(i)ved by (i)nd(i)v(i)duals as a result of the(i)r former employment for prof(i)t.

24. Net (i)ncome related to employment for prof(i)t may be der(i)ved by deduct(i)ng from gross (i)ncome related to employment for prof(i)t, personal d(i)rect taxes and other employment-related obl(i)gat(i)ons.

25. Income related to employment for prof(i)t excludes (i)ncome der(i)ved from employment for pay, and other sources not related to employment, such as property (i)ncome (i)n the form of (i)nterest, d(i)v(i)dends, (i)ncome attr(i)buted to pr(i)vate (i)nsurance pol(i)cyholders, rents and other forms of property (i)ncome, as well as annu(i)t(i)es, rem(i)ttances, g(i)fts, etc. It also excludes fam(i)ly allowances and other soc(i)al secur(i)ty benef(i)ts or ass(i)stance (e.g. food stamps, government or commun(i)ty hous(i)ng, free health-care ass(i)stance, etc.) pa(i)d by soc(i)al secur(i)ty schemes or the State w(i)thout regard to the employment status (e.g. under un(i)versal schemes w(i)th or w(i)thout means tests).

26. All the components of (i)ncome related to employment for prof(i)t noted (i)n paragraph 18 are relevant for the analys(i)s of the employment-related well-be(i)ng of those employed for prof(i)t. Where the object(i)ve (i)s to measure the (i)ncome-generat(i)ng capac(i)ty of a job for prof(i)t, employment-related soc(i)al secur(i)ty benef(i)ts should be excluded.

Measurement (i)ssues

Evaluat(i)on of benef(i)ts (i)n k(i)nd rece(i)ved by persons (i)n employment for pay

27. For the purposes of the measurement of (i)ncome related to employment for pay, benef(i)ts (i)n k(i)nd should be valued (i)n terms of the (i)ncome accru(i)ng to the persons (i)n employment for pay. Countr(i)es may evaluate these benef(i)ts on the bas(i)s of reta(i)l market pr(i)ces. When prov(i)ded free, the value of (i)ncome (i)n k(i)nd (i)s equal to the full value of the goods and serv(i)ces (i)n quest(i)on. When prov(i)ded at reduced pr(i)ces, the value of (i)ncome (i)n k(i)nd (i)s equal to the d(i)fference between the full value and the amount pa(i)d by the rec(i)p(i)ent.

Treatment of occupat(i)onal expend(i)ture of persons (i)n employment for pay

28. Desp(i)te the fact that employees and owner-operators of corporat(i)ons may (i)ncur spec(i)f(i)c expenses assoc(i)ated w(i)th work(i)ng, wh(i)ch counterbalance part of the wages and benef(i)ts rece(i)ved, (i)ncome related to employment for pay should be recorded gross of workers (i)n employment for pay’s occupat(i)onal expend(i)ture.

Operat(i)onal approach to the measurement of (i)ncome related to employment for prof(i)t

29. In v(i)ew of the heterogene(i)ty of those (i)n employment for prof(i)t and the complex(i)ty of measurement of net (i)ncome of un(i)ncorporated enterpr(i)ses, the measurement of (i)ncome related to employment for prof(i)t should be phased (i)nto nat(i)onal programmes of stat(i)st(i)cs over an extended per(i)od of t(i)me. In the (i)n(i)t(i)al phase, countr(i)es should endeavour to (i)dent(i)fy and measure the (i)ncome rece(i)ved by two groups of workers (i)n employment for prof(i)t:

• (a) The f(i)rst group cons(i)sts of persons employed for prof(i)t operat(i)ng the(i)r enterpr(i)ses w(i)th l(i)ttle or negl(i)g(i)ble cap(i)tal (i)nput, who produce goods and serv(i)ces (i)n a s(i)m(i)lar way to employees (such as those engaged (i)n crafts or serv(i)ces, whether (i)n the formal or the (i)nformal sector). The (i)ncome they rece(i)ve (i)s mostly a return to the(i)r labour (i)nput and the gross m(i)xed (i)ncome of the enterpr(i)se (i)s a close est(i)mate of net m(i)xed (i)ncome.
• (b) The second group cons(i)sts of persons employed for prof(i)t whose act(i)v(i)t(i)es (i)nvolve an (i)dent(i)f(i)able amount of cap(i)tal for the product(i)on and generat(i)on of (i)ncome (such as profess(i)onal workers (i)n the formal sector or workshops (i)n the (i)nformal sector). In th(i)s case, efforts should be made to quant(i)fy the amount of cap(i)tal used to generate the (i)ncome and to der(i)ve net m(i)xed (i)ncome. For th(i)s purpose, data on the consumpt(i)on of product(i)ve assets ((i).e. structures, mach(i)nery or equ(i)pment, cult(i)vated assets such as trees or an(i)mals used to produce other products such as fru(i)t or da(i)ry products, etc.) should, (i)n pr(i)nc(i)ple, be collected. Consumpt(i)on of product(i)ve assets may be valued through an est(i)mate of deprec(i)at(i)on, accord(i)ng to the bus(i)ness account(i)ng rules (i)n force (i)n each country, or accord(i)ng to the methods conta(i)ned (i)n the System of Nat(i)onal Accounts. Due account should also be taken of the source of data and data collect(i)on methods. Where (i)t (i)s not poss(i)ble to obta(i)n rel(i)able data on consumpt(i)on of f(i)xed cap(i)tal from persons (i)n employment for prof(i)t, net (i)ncome related to employment for prof(i)t may have to be der(i)ved by means of analyt(i)cal methods.

30. When measur(i)ng (i)ncome related to employment for prof(i)t (i)n the (i)nformal sector, spec(i)al attent(i)on needs to be pa(i)d to the part(i)cular c(i)rcumstances of collect(i)ng (i)ncome data from enterpr(i)ses (i)n th(i)s sector, due account be(i)ng taken of the gu(i)del(i)nes conta(i)ned (i)n the resolut(i)on concern(i)ng stat(i)st(i)cs on the (i)nformal economy adopted by the 21st ICLS.

Cho(i)ce of method for record(i)ng (i)ncome related to employment for prof(i)t

31. The cho(i)ce of an account(i)ng techn(i)que to measure (i)ncome related to employment for prof(i)t should take (i)nto account the c(i)rcumstances (i)n wh(i)ch those employed for prof(i)t operate the(i)r bus(i)ness and the measurement object(i)ve. Two major techn(i)ques can be used:

• ((i) ) Accruals account(i)ng, wh(i)ch measures the prof(i)t earned dur(i)ng the reference per(i)od, by tak(i)ng (i)nto account rece(i)pts and expenses relevant to that per(i)od, (i)rrespect(i)ve of whether or not they have actually been rece(i)ved or defrayed. Th(i)s techn(i)que measures the prof(i)tab(i)l(i)ty or econom(i)c performance of the enterpr(i)se and, as such, could be favoured when the object(i)ve (i)s to measure the (i)ncome-generat(i)ng capac(i)ty of jobs for prof(i)t. It (i)s also the approach favoured by the SNA.
• ((i)(i)) The cash-flow techn(i)que, wh(i)ch measures actual cash rece(i)ved ((i)nclud(i)ng the value of product(i)on for own use) and pa(i)d out ((i)nclud(i)ng the value of product(i)on g(i)ven out free or at reduced pr(i)ces) dur(i)ng the reference per(i)od. Th(i)s techn(i)que prov(i)des a better (i)nd(i)cator of the amounts of (i)ncome actually ava(i)lable to workers (i)n employment for prof(i)t to meet l(i)v(i)ng expenses. Where data on employment-related (i)ncome are furn(i)shed by those (i)n employment for prof(i)t themselves (i)n the absence of bus(i)ness accounts, (i)t (i)s generally eas(i)er for them to prov(i)de a s(i)mple summary of cash rece(i)ved and pa(i)d (i)n the assessment per(i)od ((i).e. gross rece(i)pts m(i)nus expend(i)ture).

32. These d(i)fferent techn(i)ques may produce d(i)fferent results. In determ(i)n(i)ng the method used to record (i)ncome related to employment for prof(i)t, cons(i)derat(i)on should be g(i)ven to the procedures recommended by nat(i)onal tax author(i)t(i)es, the sources of data and the methods of data collect(i)on.

Valuat(i)on of own product(i)on consumed by workers (i)n employment for prof(i)t

33. The part of goods and serv(i)ces produced and consumed by workers (i)n employment for prof(i)t and the(i)r fam(i)ly members should be valued (i)n terms of the bas(i)c pr(i)ces of s(i)m(i)lar products sold on the market or of the(i)r cost of product(i)on (i)f no su(i)table bas(i)c pr(i)ces are ava(i)lable, as def(i)ned (i)n the SNA. In the absence of these pr(i)ces, reta(i)l market pr(i)ces could be used. Such consumpt(i)on of own product(i)on (i)s s(i)m(i)lar to payments (i)n k(i)nd rece(i)ved by workers (i)n employment for pay.

Treatment of losses of workers (i)n employment for prof(i)t

34. Jobs for prof(i)t may, over a g(i)ven reference per(i)od, produce a f(i)nanc(i)al loss (i)nstead of (i)ncome or prof(i)t. Losses should be reflected (i)n the measurement of (i)ncome related to employment for prof(i)t and evaluated as negat(i)ve (i)ncome.

Stat(i)st(i)cal un(i)ts

35. Two bas(i)c observat(i)on un(i)ts are relevant to the measurement of (i)ncome related to employment for pay or prof(i)t, depend(i)ng on the object(i)ve pursued: the job and the (i)nd(i)v(i)dual person.

36. For the measurement of the (i)ncome-generat(i)ng capac(i)ty of d(i)fferent econom(i)c act(i)v(i)t(i)es, the job, as def(i)ned (i)n ICSE, (i)s the bas(i)c ent(i)ty on wh(i)ch (i)nformat(i)on (i)s to be collected and analysed. Jobs can be for pay or for prof(i)t, wh(i)ch can be character(i)zed by (i)ndustry, occupat(i)on and employment status, coded at the most deta(i)led level of nat(i)onal or (i)nternat(i)onal class(i)f(i)cat(i)ons.

37. When the object(i)ve (i)s the analys(i)s of the employment-related well-be(i)ng of the populat(i)on concerned, the des(i)rable un(i)t (i)s the (i)nd(i)v(i)dual person. The (i)nd(i)v(i)dual (i)s also relevant when analys(i)ng the relat(i)onsh(i)p between employment-related (i)ncome and educat(i)onal ach(i)evements, sen(i)or(i)ty (i)n employment, work durat(i)on, etc. An (i)nd(i)v(i)dual may be engaged (i)n a s(i)ngle job, have mult(i)ple jobs (i)n employment for pay or for prof(i)t, or own and operate more than one un(i)ncorporated enterpr(i)se, s(i)multaneously or consecut(i)vely w(i)th(i)n a g(i)ven reference per(i)od. From the (i)nd(i)v(i)dual's standpo(i)nt, employment-related (i)ncome corresponds to the sum of all (i)ncomes generated by all jobs as well as (i)ncome from former employment.

Reference per(i)od

38. In measur(i)ng (i)ncome related to employment for pay and for prof(i)t, account should be taken of the seasonal var(i)at(i)ons wh(i)ch affect the rece(i)pt of (i)ncome, the fluctuat(i)ons (i)n work (i)ntens(i)ty of (i)nd(i)v(i)duals, and the poss(i)ble comb(i)nat(i)on of mult(i)ple act(i)v(i)t(i)es and per(i)ods of act(i)v(i)ty and (i)nact(i)v(i)ty of the populat(i)on concerned. For th(i)s purpose, (i)ncome related to employment for pay and for prof(i)t should be measured over a long reference per(i)od, such as a full year.

39. For data collect(i)on purposes, shorter reference per(i)ods, such as a month or a quarter, may be used. D(i)fferent act(i)v(i)t(i)es and jobs may requ(i)re d(i)fferent reference per(i)ods, such as a month for regular fullt(i)me employment for pay, complemented by data on add(i)t(i)onal annual rece(i)pts, or a crop season (i)n agr(i)cultural employment for prof(i)t. For analyt(i)cal purposes, data on employment-related (i)ncome referr(i)ng to short reference per(i)ods should be aggregated over the long reference per(i)od ment(i)oned above.

Data requ(i)rements

40. For the measurement of the (i)ncome-generat(i)ng capac(i)ty of d(i)fferent jobs, there should be cons(i)stency between the data on employment (i)n a g(i)ven job and the data on (i)ncome generated by that job. Data should therefore be collected on: the character(i)st(i)cs of the job ((i)ndustry, occupat(i)on, employment status), type of enterpr(i)se ((i)nd(i)v(i)dual enterpr(i)se, partnersh(i)p, corporat(i)on, etc.), employment s(i)ze and sector (e.g. (i)nformal or formal sector, publ(i)c or pr(i)vate sector); ((i)(i)) the volume of labour (i)nput (i)n the job (durat(i)on of employment and t(i)me worked); and ((i)(i)(i)) the amount of (i)ncome generated by that job.

41. In order to analyse the relat(i)onsh(i)p between employment and the well-be(i)ng of (i)nd(i)v(i)duals, data are needed for each person: separately on the ma(i)n and any add(i)t(i)onal jobs carr(i)ed out dur(i)ng the reference per(i)od; ((i)(i)) the (i)ncome der(i)ved from each of these jobs; ((i)(i)(i)) the soc(i)o-econom(i)c character(i)st(i)cs of (i)nd(i)v(i)duals: age, sex, educat(i)on and sk(i)ll level, etc.; and ((i)v) any spells of unemployment or per(i)ods of be(i)ng out of the labour force that an (i)nd(i)v(i)dual may have exper(i)enced dur(i)ng the g(i)ven reference per(i)od.

Measurement of work(i)ng t(i)me (i)n employment

42. One of the requ(i)rements of the measurement of employment-related (i)ncome (i)s that the part of the (i)ncome d(i)rectly generated by a job be related to the work(i)ng t(i)me wh(i)ch has gone (i)nto that job. Income and employment data should therefore refer, or be convert(i)ble, to the same per(i)od.

43. For each job, work(i)ng t(i)me should be, expressed (i)n the number of hours, days, weeks, etc., dur(i)ng wh(i)ch the act(i)v(i)ty has been carr(i)ed out. Where the act(i)v(i)ty (i)s carr(i)ed out by several contr(i)but(i)ng fam(i)ly workers and (i)ncome (i)s the result of a jo(i)nt labour (i)nput (e.g. (i)n household enterpr(i)ses), efforts should be made to measure the number of hours, days, weeks, etc., worked by each member.

44. At the (i)nd(i)v(i)dual level, employment-related (i)ncome should be measured for each job carr(i)ed out dur(i)ng the reference per(i)od, whether (i)n employment for pay or for prof(i)t, together w(i)th the correspond(i)ng labour (i)nput (i)n each act(i)v(i)ty. Dur(i)ng a one-year reference per(i)od, (i)nd(i)v(i)duals may be, for d(i)fferent per(i)ods, employed, unemployed and out of labour force dur(i)ng wh(i)ch some or no employment-related (i)ncome accrues. Each of these per(i)ods should be (i)dent(i)f(i)ed, account be(i)ng taken of all jobs performed, (i)nclud(i)ng casual or s(i)multaneous employment. The ma(i)n s(i)tuat(i)ons may be class(i)f(i)ed (i)nto broad categor(i)es relevant to the measurement of employment-related wellbe(i)ng (or hardsh(i)p).

Measurement of hours of work

45. The measurement of hours of work (i)s dealt w(i)th (i)n the resolut(i)on concern(i)ng the measurement of work(i)ng t(i)me adopted by the 18^th ICLS (i)n 2008. The work(i)ng t(i)me concepts def(i)ned (i)n th(i)s resolut(i)on are relevant for the measurement and analys(i)s of employmentrelated (i)ncome, and countr(i)es should a(i)m at apply(i)ng them to produce work(i)ng t(i)me stat(i)st(i)cs.

46. Hours of work should be (i)dent(i)f(i)ed for each job separately for job-level analys(i)s and for all jobs for person-level analys(i)s.

Data sources

47. The collect(i)on of data on (i)ncome related to employment for pay or for prof(i)t should be based on the regular nat(i)onal stat(i)st(i)cal programmes, us(i)ng all ava(i)lable sources.

48. One such source could be general or spec(i)al(i)zed household surveys, w(i)th (i)nd(i)v(i)dual household members as observat(i)on un(i)ts.

49. Other sources of data (i)nclude establ(i)shment surveys, adm(i)n(i)strat(i)ve records (such as (i)ncome tax and soc(i)al secur(i)ty records), (i)nformal sector surveys (such as m(i)xed surveys, accord(i)ng to the gu(i)del(i)nes conta(i)ned (i)n the ILO resolut(i)on concern(i)ng stat(i)st(i)cs on the (i)nformal economy adopted by the 21st ICLS), agr(i)cultural surveys, surveys of small econom(i)c un(i)ts and populat(i)on censuses.

50. The cho(i)ce of the appropr(i)ate sources of data should be based on the results of a cost-benef(i)t analys(i)s, tak(i)ng (i)nto account factors such as the des(i)red accuracy and deta(i)ls requ(i)red from the results, the ava(i)lab(i)l(i)ty of d(i)fferent sources, the ex(i)stence and des(i)gn of labour force or other household surveys and the feas(i)b(i)l(i)ty of add(i)ng new top(i)cs to these surveys or of launch(i)ng separate surveys, and the response burden (part(i)cularly for the populat(i)on census where quest(i)onna(i)re content must typ(i)cally be l(i)m(i)ted).

51. Several sources may be used for the collect(i)on of data on employment-related (i)ncome. The use of d(i)fferent sources equally enables the compar(i)son of the data and the evaluat(i)on of (i)ts qual(i)ty.

52. Labour force surveys wh(i)ch collect data on (i)ncome const(i)tute an essent(i)al source of data on the (i)ncome-generat(i)ng capac(i)ty of jobs and (i)ts l(i)nks to the labour market act(i)v(i)t(i)es of (i)nd(i)v(i)duals. Add(i)t(i)onal var(i)ables and appropr(i)ate quest(i)ons accompan(i)ed by deta(i)led (i)nstruct(i)ons addressed to all (i)nd(i)v(i)duals, (i)nclud(i)ng those not employed at the survey date, may, (i)n pr(i)nc(i)ple, cover nearly all (i)ncome dur(i)ng a g(i)ven per(i)od, (i)nclud(i)ng those employmentrelated benef(i)ts rece(i)ved from sources other than the employer and as a result of current or former employment (e.g. rece(i)ved from soc(i)al secur(i)ty or (i)nsurance schemes or the State). Income data should be l(i)nked to each person's educat(i)onal and other character(i)st(i)cs, for each act(i)v(i)ty and occupat(i)on, (i)n order to establ(i)sh the l(i)nk between (i)ncome and type of occupat(i)on, type of contract, sk(i)ll level, durat(i)on of employment and unemployment, sen(i)or(i)ty (i)n trade or occupat(i)on, or other character(i)st(i)cs of (i)nterest.

53. Household budget and household (i)ncome and expend(i)ture surveys are part(i)cularly su(i)table for collect(i)ng data on all types of (i)ncome, (i)nclud(i)ng (i)ncome components (i)n cash, (i)n k(i)nd and (i)n serv(i)ces, and (i)ncome deduct(i)ons. Spec(i)al care should be taken (i)n such surveys to better (i)dent(i)fy the relat(i)onsh(i)p between (i)ncome and employment. In part(i)cular, deta(i)led (i)nformat(i)on on (i)ncome related to employment for pay or for prof(i)t should be collected (i)n respect of each act(i)v(i)ty performed or job held by each household member, together w(i)th the correspond(i)ng volume of employment (i)n terms of hours of work.

54. In order to (i)mprove the qual(i)ty and relevance of (i)ncome-related quest(i)ons (i)n labour force and other household surveys, efforts should be made (i)n part(i)cular:

• to collect (i)ncome data d(i)rectly from the persons concerned and avo(i)d the use of proxy respondents as much as poss(i)ble;
• to obta(i)n d(i)saggregated data on the components of employment-related (i)ncome and l(i)nk (i)ncome to work(i)ng t(i)me (i)n each job and for each (i)nd(i)v(i)dual member covered by the survey;
• to reduce recall errors and p(i)npo(i)nt the seasonal character(i)st(i)cs of certa(i)n jobs us(i)ng var(i)ous solut(i)ons, such as conduct(i)ng repeated surveys or surveys w(i)th a sample spread over the year and a shorter reference per(i)od such as a quarter or a season; us(i)ng the month-to-month recall approach to obta(i)n (i)nformat(i)on on each of the 12 months of the reference per(i)od; f(i)x(i)ng data collect(i)on at a t(i)me wh(i)ch co(i)nc(i)des w(i)th the collect(i)on of (i)ncome data for (i)ncome tax and soc(i)al secur(i)ty purposes, etc.

One of the l(i)m(i)tat(i)ons of household surveys (i)s that (i)ncome can usually only be measured net, (i).e. after deduct(i)on of soc(i)al secur(i)ty contr(i)but(i)ons, (i)ncome taxes, etc.

55. Establ(i)shment surveys can also serve as a bas(i)s for the collect(i)on of data on those components of (i)ncome related to employment for pay rece(i)ved d(i)rectly from the employer. For the purpose of measur(i)ng employment-related (i)ncome, the coverage of trad(i)t(i)onal establ(i)shment surveys should be extended, or spec(i)ally des(i)gned surveys should be carr(i)ed out to cover small establ(i)shments, and household enterpr(i)ses w(i)th employees, and ((i)(i)) to (i)nclude and (i)dent(i)fy separately permanent, f(i)xed-term, short-term and casual employees; pa(i)d apprent(i)ces and (i)nterns; employers (i)n corporat(i)ons and owner-operators of corporat(i)ons w(i)thout employees, along w(i)th add(i)t(i)onal character(i)st(i)cs of (i)nterest such as part-t(i)me nature of the job and the related volume of work(i)ng t(i)me (i)n employment. For the comp(i)lat(i)on of structural (i)nd(i)cators on (i)ncome related to pay, structural surveys of earn(i)ngs, wh(i)ch enable (i)nformat(i)on to be collected on (i)ncome levels and trends accord(i)ng to deta(i)led employees' character(i)st(i)cs (sex, age, occupat(i)on, cond(i)t(i)ons of employment, etc.) are the most appropr(i)ate establ(i)shment surveys for the comp(i)lat(i)on of data on (i)ncome related to employment for pay.

56. When the (i)nformat(i)on collected (i)n establ(i)shment surveys (i)s supplemented by data drawn from other sources, such as tax and soc(i)al secur(i)ty records, the soc(i)al secur(i)ty benef(i)ts should relate to the same set of employees for whom total remunerat(i)on data have been collected from the establ(i)shments.

57. In order to allev(i)ate the d(i)ff(i)cult(i)es exper(i)enced (i)n f(i)eld surveys (i)n general, related to the reluctance of (i)nterv(i)ewed persons to prov(i)de (i)ncome data, the d(i)ff(i)culty (i)n quant(i)fy(i)ng nonmonetary (i)ncome, the relat(i)vely heavy workload for the stat(i)st(i)cal agenc(i)es and the r(i)sk of (i)naccurate responses, extra care should be taken (i)n the preparatory phase, (i).e. (i)n the concept(i)on of appropr(i)ate def(i)n(i)t(i)ons and gu(i)del(i)nes, the draft(i)ng of d(i)rect(i)ves and the tra(i)n(i)ng of off(i)cers. At a subsequent stage, spec(i)al attent(i)on should be pa(i)d to the analys(i)s and (i)nterpretat(i)on of the result(i)ng (i)ncome data and total and (i)tem nonresponse should be partly compensated through adjustment procedures.

Data comp(i)lat(i)on

58. In order to measure the (i)ncome-generat(i)ng capac(i)ty of d(i)fferent jobs or econom(i)c act(i)v(i)t(i)es, employment-related (i)ncome should be related to the job var(i)ables (regular/casual, full/partt(i)me, etc.) and measured w(i)th(i)n the framework of employment durat(i)on and work(i)ng t(i)me.

59. In order to assess employment-related well-be(i)ng, data should be collected on (i)ncome der(i)ved from all jobs for each person. For each job, (i)ncome data should be collected along w(i)th the (i)nd(i)v(i)dual's status (i)n employment, the length of the reference per(i)od to wh(i)ch the (i)ncome refers, work(i)ng t(i)me (i)n hours, days, months, etc., where relevant.

60. Data should be collected on the components, as well as on the aggregate, of (i)ncome related to employment for pay or for prof(i)t, along the follow(i)ng l(i)nes:

• (a) Gross (i)ncome related to employment for pay, exclud(i)ng soc(i)al secur(i)ty contr(i)but(i)ons as (i)n paragraph 12:
  • total cash remunerat(i)on;
    • total (i)mputed value of remunerat(i)on (i)n k(i)nd and serv(i)ces;
    • prof(i)t-related pay;
    • employment-related soc(i)al secur(i)ty benef(i)ts:
      • rece(i)ved from employer;
      • rece(i)ved from soc(i)al secur(i)ty and (i)nsurance schemes or the State.
• (b) Gross (i)ncome related to employment for prof(i)t, exclud(i)ng soc(i)al secur(i)ty contr(i)but(i)ons as (i)n paragraph 21:
  • gross prof(i)t or where relevant gross output less operat(i)ng expenses;
  • consumpt(i)on of f(i)xed cap(i)tal/deprec(i)at(i)on;
  • net prof(i)t (or share of prof(i)t);
  • employment-related soc(i)al secur(i)ty benef(i)ts.

Data class(i)f(i)cat(i)on

61. Stat(i)st(i)cs of employment-related (i)ncome should be class(i)f(i)ed by econom(i)c act(i)v(i)ty, status (i)n employment and occupat(i)on or occupat(i)onal group, at least accord(i)ng to the major groups and categor(i)es of the most recent vers(i)on of the relevant (i)nternat(i)onal class(i)f(i)cat(i)ons. These stat(i)st(i)cs should be systemat(i)cally d(i)saggregated by sex (i)n all analyses. Other (i)mportant var(i)ables for cross-class(i)f(i)cat(i)ons of data on (i)ncome related to employment for pay or for prof(i)t are sex, age, level of educat(i)on, level of sk(i)ll, sen(i)or(i)ty (i)n job and the formal or (i)nformal status of the job.

62. D(i)saggregat(i)ons of the ma(i)n status (i)n employment categor(i)es, as def(i)ned (i)n ICSE accord(i)ng to the type of econom(i)c r(i)sk, may be relevant (i)n order to d(i)st(i)ngu(i)sh spec(i)f(i)c groups such as owner-operators of corporat(i)ons from employees, employers from other (i)ndependent workers, permanent employees from temporary, seasonal or casual employees, etc.

63. In order to measure the relat(i)onsh(i)p between employment and (i)ncome, account should be taken of all act(i)v(i)t(i)es performed dur(i)ng the reference year, (i)nclud(i)ng s(i)multaneous jobs. The employment exper(i)ence of (i)nd(i)v(i)duals dur(i)ng the reference per(i)od may be assessed through the (i)dent(i)f(i)cat(i)on of per(i)ods when they were employed (full or part t(i)me), unemployed and out of labour force. At the aggregate level, the ma(i)n s(i)tuat(i)ons may be regrouped (i)nto broad categor(i)es relevant to the measurement of employment-related wellbe(i)ng, such as:

• full-year/full-t(i)me employment;
• part-year/part-t(i)me employment w(i)th no unemployment:
  • for voluntary reasons;
  • for (i)nvoluntary reasons;
• part-year employment w(i)th some unemployment;
  • ma(i)nly unemployment:
  • w(i)th some employment;
  • w(i)thout employment;
• ma(i)nly out of labour force w(i)th some employment.

64. Further var(i)ables may be (i)ntroduced, such as length of employment, spells and durat(i)on of unemployment, etc. Such class(i)f(i)cat(i)ons would perm(i)t the (i)dent(i)f(i)cat(i)on of the ma(i)n types of employment-related hardsh(i)p, the sever(i)ty of employment problems and the degree of labour force attachment of persons exper(i)enc(i)ng econom(i)c hardsh(i)p.

Per(i)od(i)c(i)ty

65. Countr(i)es should endeavour to regularly collect, comp(i)le and d(i)ssem(i)nate stat(i)st(i)cs of employment-related (i)ncome at least every f(i)ve years.

Analyt(i)cal measures

66. Stat(i)st(i)cs of average (i)ncome related to employment for pay and employment for prof(i)t should be comp(i)led per t(i)me un(i)t. The t(i)me un(i)t (i)n wh(i)ch average employment-related (i)ncome (i)s expressed, e.g. hour, day, week or month, should depend ma(i)nly on how mean(i)ngful the f(i)gures would be (i)n the country concerned and on the feas(i)b(i)l(i)ty of data collect(i)on. Where poss(i)ble, est(i)mates of average annual (i)ncome related to employment for pay and employment for prof(i)t should be comp(i)led.

67. Where feas(i)ble, est(i)mates of hourly employment-related (i)ncome should also be developed, based on the annual est(i)mates of (i)ncome and on the correspond(i)ng volume of employment expressed (i)n terms of hours of work and work durat(i)on.

Complementary approach to non-measurable benef(i)ts

68. In v(i)ew of, on the one hand, the (i)mportance generally attached to the growth of forms of compensat(i)on schemes offer(i)ng current and deferred ent(i)tlements to var(i)ous benef(i)ts to persons (i)n employment for pay (e.g. pens(i)ons and health plans, l(i)fe (i)nsurance, flex(i)ble benef(i)ts and the l(i)ke), and, on the other hand, the measurement d(i)ff(i)cult(i)es (i)nherent (i)n the assessment of the value of such ent(i)tlements, efforts should be made to conduct surveys of employee benef(i)ts, (i)n such a way as to prov(i)de data on the (i)nc(i)dence and character(i)st(i)cs of the benef(i)ts rece(i)ved by persons (i)n employment for pay (e.g. part(i)c(i)pat(i)on requ(i)rements, employers' and employees' contr(i)but(i)ons (where appropr(i)ate), health-care deduct(i)bles, pens(i)on benef(i)t formulas, pa(i)d leave prov(i)s(i)ons, number of benef(i)c(i)ar(i)es). Data should be comp(i)led and publ(i)shed by s(i)ze of establ(i)shment and var(i)ous employer and employee character(i)st(i)cs (major (i)ndustry groups, full-t(i)me and part-t(i)me employment, etc.).

69. Where relevant, efforts should be made to collect, comp(i)le and d(i)ssem(i)nate s(i)m(i)lar (i)nformat(i)on on soc(i)al secur(i)ty and other employment-related benef(i)ts wh(i)ch are rece(i)ved by persons employed for prof(i)t.

Valuat(i)on of the work of contr(i)but(i)ng fam(i)ly workers

70. In household enterpr(i)ses, and more generally (i)n employment for prof(i)t, act(i)v(i)t(i)es may be jo(i)ntly performed by several members of the household w(i)thout formal or (i)nd(i)v(i)dual(i)zed earn(i)ngs or (i)ncome. In that case, the prof(i)t or m(i)xed (i)ncome der(i)ved by the head of the household enterpr(i)se also rewards the part(i)c(i)pat(i)on of contr(i)but(i)ng fam(i)ly workers (as def(i)ned (i)n the most recent vers(i)on of ICSE) whose part(i)c(i)pat(i)on (i)n the econom(i)c act(i)v(i)ty (i)s of vary(i)ng durat(i)on and (i)ntens(i)ty and at d(i)fferent levels of respons(i)b(i)l(i)ty. It (i)s therefore necessary to assess the contr(i)but(i)on of these workers, d(i)saggregated at least by sex and age, to the econom(i)c development of household enterpr(i)ses.

71. Contr(i)but(i)ng fam(i)ly workers generally have jobs whose occupat(i)onal content and level of respons(i)b(i)l(i)t(i)es d(i)ffer from that of the owner or partners of the enterpr(i)se. The measurement of the(i)r part(i)c(i)pat(i)on (i)nvolves: the measurement of the volume of employment put (i)nto the act(i)v(i)ty, (i)n terms of hours, days, weeks, etc., and ((i)(i)) the (i)mputat(i)on of an (i)ncome value to the(i)r work. Th(i)s (i)mputed value can be based on the market rates for equ(i)valent occupat(i)ons.

72. Several var(i)ants may be calculated, us(i)ng for (i)nstance the m(i)n(i)mum wage of certa(i)n su(i)table occupat(i)ons, or the average wage, by sex and occupat(i)on or sector, of subst(i)tute workers. Wages may be allocated "gross" or "net". Imputed gross wages (where relevant, (i)nclud(i)ng the employer's (i)mputed contr(i)but(i)ons to soc(i)al secur(i)ty and s(i)m(i)lar schemes) can prov(i)de an (i)nd(i)cat(i)on of the expense foregone by the head of the household enterpr(i)se, wh(i)le (i)mputed wages net of taxes and soc(i)al secur(i)ty contr(i)but(i)ons appear more su(i)table s(i)nce the labour of contr(i)but(i)ng fam(i)ly workers does not usually generate soc(i)al secur(i)ty contr(i)but(i)ons.

Data d(i)ssem(i)nat(i)on

73. Where poss(i)ble, stat(i)st(i)cs of average (i)ncome related to employment for pay or prof(i)t should be comp(i)led and d(i)ssem(i)nated regularly, together w(i)th (i)nformat(i)on on the qual(i)ty of the stat(i)st(i)cs. Deta(i)led descr(i)pt(i)ons of the concepts and methods used (i)n the comp(i)lat(i)on of stat(i)st(i)cs on (i)ncome related to employment for pay or prof(i)t should be d(i)ssem(i)nated by the respons(i)ble stat(i)st(i)cal off(i)ce. In part(i)cular, the descr(i)pt(i)ons should ment(i)on the nature and types of payments and benef(i)ts (i)ncluded (i)n each of the four major groups of components of (i)ncome related to employment for pay, the types of employment-related benef(i)ts rece(i)ved by persons (i)n employment for prof(i)t, the source(s) of data and the methodology used (i)n collect(i)ng and comp(i)l(i)ng the stat(i)st(i)cs on (i)ncome related to employment for pay or prof(i)t.

74. D(i)ssem(i)nat(i)on of the stat(i)st(i)cs of employment-related (i)ncome should be (i)n accordance w(i)th Art(i)cle 4 of the Labour Stat(i)st(i)cs Convent(i)on, 1985 (No. 160), wh(i)ch protects the conf(i)dent(i)al(i)ty of (i)nformat(i)on relat(i)ng to (i)nd(i)v(i)duals, households, employers, etc.

75. To fac(i)l(i)tate the analys(i)s of the stat(i)st(i)cal ser(i)es comp(i)led on (i)ncome related to employment for pay or prof(i)t, the results of surveys on employment-related (i)ncome should be accompan(i)ed by (i)nformat(i)on on the var(i)ous types of schemes and plans cover(i)ng persons (i)n employment for pay and prof(i)t, (i)n part(i)cular on the f(i)nanc(i)ng of statutory soc(i)al secur(i)ty schemes and the coverage of benef(i)ts.

76. The cred(i)b(i)l(i)ty and the relevance of stat(i)st(i)cs on (i)ncome related to employment for pay or prof(i)t w(i)ll be (i)ncreased (i)f they can be d(i)ssem(i)nated as soon as poss(i)ble after the(i)r comp(i)lat(i)on, f(i)tted (i)nto broader stat(i)st(i)cal systems (such as the nat(i)onal accounts or labour accounts) and used (i)n connect(i)on w(i)th relevant demograph(i)c and econom(i)c t(i)me ser(i)es. Countr(i)es should therefore endeavour to develop cons(i)stent t(i)me ser(i)es show(i)ng (i)ncome dynam(i)cs and reveal(i)ng vulnerable groups of persons.

77. Countr(i)es wh(i)ch have carr(i)ed out stud(i)es on the level and compos(i)t(i)on of (i)ncome related to employment for pay or prof(i)t should commun(i)cate the(i)r results to the Internat(i)onal Labour Off(i)ce (i)n order to fac(i)l(i)tate (i)nternat(i)onal compar(i)sons and (i)nterpretat(i)on of the stat(i)st(i)cs.

Further act(i)on

78. In v(i)ew of the complex(i)ty of the measurement of (i)ncome related to employment for pay or prof(i)t, spec(i)al efforts should be made to (i)mprove the use of ex(i)st(i)ng sources of data and to enhance surveys (i)n order to (i)ncrease response rates and obta(i)n the requ(i)red (i)nformat(i)on as accurately as poss(i)ble.

79. The Internat(i)onal Labour Off(i)ce should follow nat(i)onal developments (i)n collect(i)ng and comp(i)l(i)ng stat(i)st(i)cs of (i)ncome related to employment for pay or prof(i)t, carry out a ser(i)es of f(i)eld tests and p(i)lot surveys where relevant, d(i)ssem(i)nate and evaluate (i)nformat(i)on about the lessons learnt from nat(i)onal exper(i)ences, and prov(i)de gu(i)dance on measurement (i)n l(i)ne w(i)th the contents of th(i)s resolut(i)on.

80. The Internat(i)onal Labour Off(i)ce should cooperate, as far as poss(i)ble, w(i)th countr(i)es (i)n the development of stat(i)st(i)cs of (i)ncome related to employment for pay or prof(i)t by prov(i)d(i)ng techn(i)cal ass(i)stance and tra(i)n(i)ng. The Off(i)ce should report to the next ICLS on the (i)mplementat(i)on of these gu(i)del(i)nes.

1. ^ Th(i)s (i)nclus(i)on should not be (i)nterpreted as condon(i)ng ch(i)ld labour.
2. ^ In so far as the prov(i)s(i)on of th(i)s type of benef(i)t (i)s (i)n l(i)ne w(i)th the recommendat(i)ons conta(i)ned (i)n the Protect(i)on of Wages Convent(i)on, 1949 (No. 95).