The Labour Price Index fell by 1.3% in Extremadura recorded the highest LPI increase (0.6%) and País Vasco the highest decrease (-2.
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1 28 June 2018 Labour Price Index (LPI). Base 2008 Year 2016 The Labour Price Index fell by 1.3% in 2016 Extremadura recorded the highest LPI increase (0.6%) and País Vasco the highest decrease (-2.4%) Annual evolution of labour prices The annual variation of the Labour Price Index (LPI) was % in Annual evolution of the IPT. Overall annual rate(%) Results according to the characteristics of the job position The economic activity that registered an increase in the price of labour in 2016 as compared with 2015 was Public Administration and Defence; Compulsory Social Security (1.7%). This evolution was influenced by the return of part of the extraordinary pay eliminated in December In turn, the greatest decrease was in Information and communications (-3.6%). LPI- YEAR 2016 (1/6)
2 IPT by economic activity. Annual rate (%), year O. Public Administration B. Mining and quarrying industries N. Administrative activities R. Artistic activiteis E. Water supply, G. Trade I. Accomodation ALL ACTIVITIES C. Manufacturing industry F. Construction S. Other Services Q. Health activities K. Financial activities H. Transport and storage M. Professional activities D. Energy supply L. Real estate activities P. Education J. Information and communications Occupation was one of the variables that most influenced the price of labour. In 2016 all occupation groups experienced decreases in the price of labour. The lowest were among Scientific and intellectual technicians and professionals and Directors and managers, with decreases of 0.6% and 0.7%, respectively. On the other hand, the greatest decreases were in Accounting, administrative and other office employees (-2.3%) and in Catering, Personal, Protection and Sales Services Workers, and Militaries and Professional Support Technicians (.7% in both groups). IPT by occupation. Annual rate(%), year Technicians and associate professional 1. Executives and managers 6. Skilled agricultural, forestry, and fishery workers and 7. Craft and related trades workers 9. Elementary occupations All occupations.5 8. Plant and machine operators, and assemblers Technical and support professionals 5. Protection and security service workers and 0. Armed forces occupations 4. Financial and insurance activities With regard to the type of contract, the annual variation in 2016 of permanent contracts was % and of temporary contracts.9%. LPI- YEAR 2016 (2/6)
3 IPT by contract type. Annual rate (%), year Permanent TOTAL Temporary With respect to the size of the workplace, the LPI presented the greatest decrease in the centres from 1 to 49 workers (%). IPT by size of workplace. Annual rate (%), year to 199 workers 200 or more workers TOTAL 1 to 49 workers By seniority in the workplace, the greatest decrease was in the number of jobs occupied by workers with seniority between one and three years (-2.9%). In those of greater seniority the LPI did not change. IPT by seniority. Annual rate (%), year or more years to 10 years.1 less than 1 year 11 to 20 years TOTAL to 3 years LPI- YEAR 2016 (3/6)
4 Results by worker characteristics By sex, the annual variation of the LPI was more negative for women (-2.2%) than for men (- 0.7%). 0 IPT by sex. Annual rate (%), year Men Total Women By age group, the greatest decrease in the price of labour was recorded among those under 25 years of age (-5.3%) and the lowest among those aged 55 and over (%). This data are in line with the evolution of the LPI for the seniority variable in the workplace. IPT by age group. Annual rate (%), year 2016 Aged 55 and over Between 45 and 54 years old TOTAL Between 25 and 34 years old -2.0 Between 35 and 44 years old -5.3 Under 25 years old With regard to nationality, the LPI recorded a decrease of 1.4% for Spanish workers and 0.4% for foreign workers. LPI- YEAR 2016 (4/6)
5 IPT by nationality. Annual rate (%), year Foreigners TOTAL Spanish Results by Autonomous Communities The annual variation rate of the LPI in 2016 was positive in two Autonomous Communities and negative in the rest. The increases were in Extremadura (0.6%) and Comunidad Foral de Navarra (0.4%). In turn, the greatest decreases were observed in País Vasco (-2.4%) and Castilla-La Mancha (-2.2%). IPT by Autonomous Community. Annual rate (%), year Extremadura Navarra, Comunidad Foral de Castilla y León Aragón Balears, Illes Andalucía Murcia, Región de Rioja, La Comunitat Valenciana National Total Cantabria Galicia Madrid, Comunidad de Cataluña Asturias, Principado de Canarias Castilla-La Mancha País Vasco For further information see INEbase: All press releases at: Press office: Telephone numbers: (+34) /94 08 gprensa@ine.es Information Area: Telephone number: (+34) LPI- YEAR 2016 (5/6)
6 Methodological note The objective of the Labour Price Index (LPI) is to measure the change in the price of labour over time, without this measure being affected by changes in the quality and quantity of the labour performed (for example, changes in the labour force composition, number of hours worked, type of contract, characteristics of the employees, etc.) or, in other words, disregarding the composition effect. The LPI completes the existing information in Spain that comes from the Quarterly Labour Cost Survey, the Annual Labour Cost Survey and the Wage Structure Survey of the INE, operations that provide series of average results of labour and wage costs per worker. These series include the cost variation and any changes in employment composition. Type of operation: statistics presented in form of indices. Base year: Reference period of the results: the calendar year. Reference period of the weightings: the year preceding the current year. Population scope: salaried workers in local units. Geographical scope: the entire national territory. Calculation method: Chained Laspeyres. The LPI is calculated as a weighted aggregation of simple indices, each of which represents a grouping of job positions. These groupings, made up of a set of job with common characteristics, constitute the basic elements for the calculation of the LPI. All these groups together constitute a representative sample of job positions in the economy. For each grouping of job positions, their wage/hour in the reference year is measured. The weightings are measured based on the hourly earnings and hours worked by the workers associated with each job group in the previous year. The weightings structure establishes the importance of each job compared to the rest, based on wage costs incurred by the employer. The Wage Structure Surveys are the source of information used for the preparation of the LPI, since they allow the allocation of earnings and working hours to the sample of jobs considered, based on individual employee data. In addition, the sample size of these surveys allows a very detailed study of the characteristics of the workers. On the other hand, the use of pre-existing sources does not increase the response burden on companies and minimises the cost of the statistical operation. More exhaustive information on the preparation of the LPI can be found in the Methodology of this statistical operation. LPI- YEAR 2016 (6/6)
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