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Kristina Zitikytė, Advisor to Sodra’s Statistics, Analysis and Forecasting Division, noted that revenues were growing in almost all areas, except the accommodation and catering sectors. Managers’ salaries in these areas decreased by 12 percent.
“At that time, the fastest in a year: 35 percent. They increased the salaries of preschool teachers. Also fast, about 25 percent.” They have increased the salaries of truck drivers, nurses who work in residences and health specialists ”, said the specialist.
According to her, the income growth was determined by the increase in the salaries of kindergarten educators, teachers and professors, as well as the payment of allowances for the increased workload of health professionals.
“Also, not all areas have felt the limitations of quarantine. Some lived separate lives, such as information and communication technologies. Revenues in these areas grew despite the quarantine,” said K. Zitikytė.
There are challenges ahead for the regions
Still, the specialist points out that wage growth is unevenly distributed among regions.
“The highest average labor income in November last year was in the municipality of Neringa, where it amounted to 1930 euros, in Vilnius – 1683 euros, in the city and district of Kaunas – 1437 and 1393 euros, respectively. The municipality of the city of Panevėžys completes the list of ten municipalities where the average salary was the highest in November: 1229 euros per month (on paper) ”, explained K. Zitikytė.
According to her, the lowest average labor income remains in the municipality of Kalvarija, where it was almost twice as low as in Neringa: 1012 euros. The district municipalities of Pagėgiai, Kelmė, Skuodas and Šilalė had a similar average salary of just over a thousand euros.
“The pandemic did not change the existing regional differences in labor income in the country, but it had a stronger impact on the number of insured. In 43 of the 60 municipalities, the number of insured decreased and, regrettably, larger negative changes were often observed in municipalities where previously there were fewer insured.
In municipalities with lower incomes, the number of beneficiaries of unemployment benefits per 1,000 insured persons is higher than in municipalities with higher labor income and, consequently, the standard of living.
The pandemic reaffirmed this trend, since it was in the smaller municipalities that the number of beneficiaries of unemployment benefits increased relatively more. After each major economic shock, smaller municipalities need more time to recover than, for example, larger municipalities. Therefore, it seems that after the pandemic we will face greater challenges in the labor market in small municipalities, ”says K. Zitikytė.
According to the specialist, the number of insured also decreased more often in those regions where the average income of the population is lower: in the city of Kalvarija, Raseiniai, Skuodas, Šilalė, Vilkaviškis, municipalities of the Joniškis district.
“And in some municipalities – Palanga city, Klaipėda district, Trakai district – the number of insured has increased. The average salary increased last year in all municipalities in the country, but the differences between large cities and border municipalities remain large.
Average labor income grew faster in the municipalities where it was one of the lowest in the country (10 municipalities with the lowest average labor income growth of 12% and ten municipalities with the highest income of 9.5%).
These municipalities have a relatively higher proportion of employees working for the minimum wage or lower, so 9.4% contributed to the rapid growth in wages. (from 555 euros in 2019 to 607 euros in 2020) the monthly minimum wage has been increased ”, explained K. Zitikytė.
The second quarantine is more favorable for the labor market
The specialist points out that last year the two quarantines were different. During the first quarantine, more people took sick leave certificates to care for children because kindergartens and schools were not open. And during the second quarantine, most sick leave certificates were issued due to illness.
“The first quarantine was an unexpected and unprecedented event that shocked society and businesses. As a result, its impact on the labor market was much stronger than during the second quarantine, when uncertainty remained much lower.
Some companies have changed their work organization and increased their participation in online sales, with opportunities to regularly screen their employees or put them on downtime, for which subsidies have increased, and ongoing awareness of Covid vaccination. -19.
“Although more people had Covid-19 during the second quarantine, the second quarantine was easier on the job market: fewer workers applied for sickness benefits for children with limited contact education, fewer layoffs and new unemployment benefits, and the growth of revenue returned to the level of the previous year, “said K. Zitikytė.
According to the expert, only during the first quarantine there is a link between the decrease in the number of insured and the increase in the number of registered unemployed. Although the number of insured stabilized after the end of the first quarantine, the number of unemployed continued to grow rapidly.
“Like never before – 94 thousand. – The unemployed registered last year had no history of unemployment in social security. This means that they did not work for at least a couple of years before the quarantine.
Some of them – young people who have just graduated, some – who have worked independently after the end of the quarantine and the payment of subsidies, and some people have not worked anywhere for several years and registered with the Employment Service for the first time only after the pandemic ”, commented K. Zitikytė.
According to her, the quarantine has led to higher unemployment among women and young people. This was due to the fact that the most affected sectors were women and young people. At the end of the quarantine, these workers are expected to find work and return to the labor markets.
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