Information on unemployment indicates both social and economic conditions in the eurozone. An increase in unemployment may put some pressure on government spending, and at the same time decreases personal/individual income.
One key factor to take into consideration is that unemployment is not short-term reactive. Meaning that after an economic downturn it is natural to see an increase in unemployment, but after recovery it is normal to see an unchanged level of unemployment rates, as employers remain cautious on hiring. Therefore, it may take some months before unemployment rates fall again.
The main source used by Eurostat for unemployment figures is the European Union Labour force survey. This survey is carried out in all EU-27 countries, and it provides figures at least every quarter. Eurostat calculates monthly data based on figures from employment registers.
A rise in unemployment may indicate that companies are reducing personnel due to bad economic conditions, which can also result from the country’s economy, both present and future situations. This usually leads to the depreciation of the country’s currency, because of the fear concerned with the general economic condition.
Periodicity of publication
Eurostat releases unemployment data on the first days of the 2nd month after the end of the reference period (month).