Lettonie
Études économiques consacrées périodiquement par l'OCDE à l’économie de la Lettonie. Chaque étude analyse les grands enjeux auxquels le pays fait face. Elle examine les perspectives à court terme et présente des recommandations détaillées à l’intention des décideurs politiques. Des chapitres thématiques analysent des enjeux spécifiques. Les tableaux et graphiques contiennent un large éventail de données statistiques.
OECD’s periodic surveys of the Latvian economy. Each edition surveys the major challenges faced by the country, evaluates the short-term outlook, and makes specific policy recommendations. Special chapters take a more detailed look at specific challenges. Extensive statistical information is included in charts and graphs.
Real GDP is projected to grow by 1.8% in 2024 and 2.9% in 2025. Rapidly falling headline inflation and rising nominal wages will boost real incomes and consumption. Public investment will accelerate due to the absorption of EU funds, while lower interest rates will support business and residential investment. Exports will pick up as key export markets recover. Core inflation will remain high due to strong wage growth related to labour shortages and rising minimum and public sector wages. Rising geopolitical risks could adversely affect risk premiums and derail growth.
La croissance du PIB réel devrait s’établir à 1.8 % en 2024, puis à 2.9 % en 2025. Le recul rapide de l’inflation globale et la hausse des salaires nominaux accroîtront les revenus réels et stimuleront la consommation. L’investissement public s’accélérera en raison de l’absorption des fonds de l’UE, tandis que la baisse des taux d’intérêt soutiendra l’investissement des entreprises et l’investissement en logements. Les exportations se redresseront, dans un contexte de reprise des principaux marchés d’exportation. L’inflation sous-jacente restera élevée du fait de la forte progression des salaires liée aux pénuries de main-d’œuvre et à la hausse du salaire minimum et des rémunérations dans la fonction publique. L’accentuation des risques géopolitiques pourrait peser sur les primes de risque et saborder la croissance.
Latvia’s public employment service, the State Employment Agency (SEA), is undertaking a modernisation of its service delivery. This review discusses the SEA’s digitalisation needs and strategy to guide its modernisation efforts. It provides a detailed assessment of the SEA’s digital infrastructure and key recommendations concerning its IT system, analytical capacity and digital tools for jobseekers and employers. This report on Latvia is the fourteenth country study published in this series.
Latvia’s State Employment Agency (SEA) plays a crucial role in connecting people with jobs. However, the SEA faces tight resource constraints, with Latvia spending little on active labour market policies compared to other countries. Modernising the digital infrastructure of the SEA could help it to better meet the needs of jobseekers, people at risk of unemployment and employers. The SEA should develop a clear digitalisation strategy to guide its modernisation pathway, fine‑tune its operational IT system especially with respect to cyber security, and develop a modern data analytics system. Learning from other countries, the SEA could additionally increase the effectiveness and efficiency of its specific digital tools, such as those to profile jobseekers and their skills to generate a better understanding of their needs for support, as well as the algorithm to match jobseekers and vacancies to better meet the needs of a changing labour market.
The purpose of this chapter is to give a brief overview of the Latvian labour market and the role of the State Employment Agency (SEA), the public employment service (PES) of Latvia. The chapter briefly presents the latest labour market trends and highlights challenges that the SEA will need to address going forward. The chapter also discusses spending on active labour market policies (ALMPs) and needs for further investments in the SEA in order to address the labour market needs.
The State Employment Agency (SEA), Latvia’s public employment service, plays a crucial role in connecting people with jobs, but tight budget constraints make efficiency a priority. Many public employment services in OECD and EU countries are increasingly harnessing digitalisation to meet the needs of their clients better and more efficiently. This report assesses the SEA’s existing digital infrastructure and makes key recommendations for how the SEA could make better use of digital technologies.
The State Employment Agency (SEA), the public employment service of Latvia, plays a crucial role in using active labour market policies (ALMPs) to connect people with jobs. This includes meeting the needs of jobseekers, as well as persons at risk of employment. This chapter assesses how the SEA’s services and measures reach people in need of ALMPs and provide them with appropriate support. The chapter does this by analysing rich administrative microdata including detailed information on ALMP participation, unemployment histories, social insurance receipt, and earnings histories.
Digital tools can allow public employment services (PES) to be more effective and efficient. Such tools can enable PES to better meet the needs of their clients, including employers, jobseekers, and those at risk of unemployment. Indeed, such tools can free up resources for PES to support other areas of active labour market policies (ALMPs). This is particularly important in Latvia’s context where spending on ALMPs is low compared to other OECD countries. This chapter describes and assesses the current digital tools used at Latvia’s State Employment Agency (SEA). It focuses on the SEA’s jobseeker profiling tool that helps identify jobseekers’ distance from the labour market, the vacancy matching tool that supports employers and jobseekers, and the plans to introduce skills profiling tools.
The State Employment Agency in Latvia (SEA) recognises its IT backbone as a key prerequisite to deliver good services to its clients and has been able to develop an IT system that meets most of its current vital needs despite limited resources. The IT backbone supports the main tasks of the SEA, such as registering jobseekers, managing services and measures, registering vacancies, and matching jobseekers and vacancies. However, the system is not fully efficient and modern, for example in terms of solutions for data analytics, quality, exchange and protection. The IT architecture of the SEA is not entirely future‑proof regarding the potential needs to develop new functionalities.
Giving people better opportunities to participate in the labour market is a key policy objective in all OECD and EU countries. More and better employment increases disposable income, strengthens economic growth and improves well-being. Well-tailored labour market and social protection policies are a key factor in promoting the creation of high-quality jobs and increasing activity rates. Such policies need to address pressing structural challenges, such as rapid population ageing and evolving skill needs, driven by digitalisation and the green transition. They should also foster social inclusion and mobilise all of society. In addition, labour markets have been buffeted by temporary crises like the COVID‑19 pandemic and the cost-of-living crisis brought about by Russia’s war of aggression against Ukraine.
The State Employment Agency in Latvia (SEA) needs to modernise its digital backbone to better support jobseekers, persons at risk of unemployment and employers in Latvia. Key priorities for the SEA are to develop a comprehensive digitalisation strategy to establish the objectives and relevant frameworks, and develop a dedicated analytics system consisting of a data warehouse and a Business Intelligence tool. In addition, the SEA should consider to gradually improve the design and implementation of the jobseeker profiling tool, continue co‑operating with other organisations to find feasible solutions for skills profiling, and move towards competency-based job matching. While the SEA does not have an urgent need to fundamentally change or replace its main operational IT system in the near future, some fine‑tuning will be necessary, particularly concerning system and data security, and data quality management.
This chapter includes data on the income taxes paid by workers, their social security contributions, the family benefits they receive in the form of cash transfers as well as the social security contributions and payroll taxes paid by their employers. Results reported include the marginal and average tax burden for eight different family types.Methodological information is available for personal income tax systems, compulsory social security contributions to schemes operated within the government sector, universal cash transfers as well as recent changes in the tax/benefit system. The methodology also includes the parameter values and tax equations underlying the data.