1. Revision of the International Classification of Status in Employment
Meeting of the UN Expert Group on Statistical Classifications
New York, 6 – 8 September 2017
David Hunter, International Labour Office
ILO Department of Statistics

2. The International Classification of Status in Employment (ICSE-93)
Adopted through a resolution of the Fifteenth International Conference of Labour Statisticians (ICLS) in January 1993
The current international standard for statistics on the employment relationship
Classifies jobs (in employment) with respect to the type of explicit or implicit contract of employment between the job holder and the economic unit in which he or she is employed
Main purposes
To provide a model for the development of national classifications for statistics on status in employment; and
To provide the basis for the production of internationally comparable statistics on the topic.

3. ICSE-93 Substantive Groups
Paid employment jobs
1. Employees
Self-employment jobs
2. Employers
3. Own-account workers
4. Members of producers’ cooperatives
5. Contributing family workers
6. Workers not classifiable by status

4. Main uses of statistics classified by status in employment
Analysis of the nature of the economic risk and authority experienced by workers
Strength of attachment of the worker to the employer and the job
Potential indicator of precarious employment situations
Input to statistics on the socio-economic status of persons and households
Explanatory variable in social statistics
Studying the relationship between economic cycles and employment in higher risk, less secure, or precarious working situations
Do those who lose jobs in paid employment engage in various forms of self employment
Contributing family workers as hidden unemployed
Impact of self-employment and entrepreneurialism on employment and economic growth
Government policies related to development and job creation
The provision of data as an input national accounts
Input to the measurement of informal employment

5. Reasons for revision
Categories do not provide sufficient information to adequately monitor changes in employment arrangements taking place in many countries
aim to increase flexibility in the labour market
increasing uncertainty about the boundary between self-employment and paid employment
policy concerns about non-standard forms of employment
increased use of ‘dependent’ contractors, short-term and zero hours contracts
Need for statistical information to monitor the impact of these arrangements
Not enough detail to monitor various non-standard forms of employment.
Many issues remained unresolved at 15th ICLS
Optional categories and treatment of specific groups to be decided at national level
Need for guidance on data collection
19th ICLS Resolution concerning statistics of work, employment an labour underutilization
Strong consensus at the 19th ICLS on the need to revise ICSE-93

6. Overview of revision process
Review of the national practices during
Discussion paper on the need for revision of ICSE-93 presented to the 19th ICLS
Mandate for revision
Proposed to replace of the existing classification with a suite of standards for statistics on the work relationship
status in employment classification to be complemented by a series of supporting variables dealing with various aspects of working arrangements
New standards to be presented to the 20th ICLS in 2018 in the form of a draft resolution for discussion, amendment, and ultimate adoption

7. Development and consideration of proposals
Working group to support the ILO
Relatively informal
Includes users and producers of both economic and labour statistics
Representatives from countries, organizations, workers and employers
Meetings and documentation mainly in English only
Online discussion platform
Provide expert advice and technical input to ILO
Assist with the development and testing of proposals
Review first draft resolution for 20th ICLS
Regional consultations (2016 and 2017)
Testing from 2016 to 2018
Tripartite meetings of experts in February 2018
Review draft resolution in English, French and Spanish

8. Outline of proposed new standards for statistics on the work relatonship
Conceptual framework for statistics on the work relationship
defines the key concepts, variables and classification schemes to be included in the standards
Classification of Status in Employment with alternative hierarchies
a relatively detailed set of categories on the basis of
the type of authority that the worker exercises over the economic unit in which he/she works and
the type of economic risk to which the worker is exposed
Alternative hierarchies based on authority and economic risk
Classification of Status at Work
Extension of the classification of Status in Employment to cover all forms of work, including own-use production work, volunteer work and unpaid trainee work, as well as employment.
A set of cross-cutting variables
More detailed information on the degree of stability and permanence of the work
Definitions and categories for types of arrangement that cut across several status categories
Important variables in own right
In some cases also required to derive status in employment categories
ILO Department of Statistics

9. More detailed categories for status in employment
Sub-categories for employees to allow the identification of employees with non- standard employment arrangements
Permanent employees
Fixed-term employees
Casual and short-term employees
Separate categories for owner-operators of corporations
statistics on employment by institutional sector, wages and income, labour market characteristics and work place relations, as well as for input to the national accounts.
Separate category for Dependent contractors
Provide labour to others but have contractual arrangements similar to self-employment OR
Own and operate a business but do not have full control or authority over their work
Suppression of separate category for Members of producers’ cooperatives
ILO Department of Statistics

10. Dependent Contractors
Workers employed for profit who are dependent for
access to the market,
determination of the price for the goods or services produced,
raw materials or capital items,
or organization of the work,
on another economic unit that directly benefits from the work performed by the contractor
Their work may be organized or supervised by another economic unit as a client, or as an entity that mediates access to clients.
They have an arrangement for the delivery of goods or services to a separate entity (of the nature of a commercial contract);
The economic units on which they depend may be market or non-market units and include corporations, governments and non-profit institutions.
actual working arrangements or conditions may closely resemble those of employees
ILO Department of Statistics

11. Statistics on the work relationship
Statistics on the work relationship are concerned with
(a) the relationships between persons who work and the economic units in which or for which the work is performed, and
(b) the contractual or other conditions in which the work is performed.
Relate to all forms of work defined by 19th ICLS, including
own-use production work,
employment,
unpaid trainee work,
volunteer work
other forms of work,
19th ICLS Resolution concerning statistics of work, employment and labour underutilization, defines work as any activity performed by persons of any sex and age to produce goods or to provide services for use by others or for own use
ILO Department of Statistics

12. Economic units
The concept of economic unit used in the framework is aligned with that defined in the System of National Accounts (SNA 2008) which distinguishes between:
market units (i.e. corporations, quasi-corporations and household unincorporated market enterprises);
non-market units (i.e. government and non-profit institutions serving households); and
households that produce goods or services for own final use (domestic households).
ILO Department of Statistics

13. Units of analysis/classification
Statistics on work relationships refer primarily to characteristics of jobs or work activities in particular economic units.
A job or work activity is defined in the 19th ICLS resolution as a set of tasks and duties performed, or meant to be performed, by one person for a single economic unit.
The term job is used in reference to employment.
This statistical unit, when relating to own-use production work, unpaid trainee work, and volunteer work is referred to as work activity.
A person may therefore have as many work relationships as he or she has jobs or work activities in economic units.
ILO Department of Statistics

14. Proposed refinements to the definition of job
A job or work activity is defined as a set of tasks and duties performed, or meant to be performed, by one person for a single economic unit:
The term job is used in reference to employment. This statistical unit, when relating to own-use production work, unpaid trainee work, and volunteer work is referred to as work activity.
Persons may have one or several jobs. In cases of multiple job-holding, the main job is that with the longest hours usually worked, as defined in the international statistical standards on working time.
Those employed as independent workers will have as many jobs as the economic units they own or co-own, irrespective of the number of clients served.
When a worker in employment for profit is dependent for access to the market, determination of the price of the goods or services produced, raw materials or capital items, on another economic unit that directly benefits from the work performed by the worker, the set of tasks should be considered to be performed for the economic unit on which the worker is dependent. The worker therefore has a separate job for each such economic unit on which she or he is dependent.
Separate work activities are defined when a person is engaged in both own-use production of goods and own-use production of services for the same household.’
ILO Department of Statistics

15. Classification criteria
The framework uses two aspects of the work relationship as criteria to differentiate categories of jobs and work activities according to status.
type of authority that the worker is able to exercise in relation to the work performed and
the type of economic risk to which the worker is exposed.
ILO Department of Statistics

16. Independent and dependent workers
Independent workers
control the activities of the economic units in which they work, either entirely independently or in partnership with others.
make the most important decisions about the activities of the economic unit and the organization of their work.
are not supervised by other workers
are not dependent on a single other economic unit or person for access to the market, raw materials or capital items.
may work on their own account or in partnership with other independent workers and may or may not provide work for others.
Dependent workers
do not have complete authority or control over the economic unit in which or for which they work.
include:
Dependent contractors
Employees,
Contributing Family Workers
ILO Department of Statistics

17. Employment for pay or for profit
Workers are classified as employed for pay or employed for profit based primarily on the nature of the remuneration for a particular job.
Work activities in forms of work other than employment may also be exposed to varying degrees of economic risk, but this concept is of less relevance to the determination of specific groups of workers in these forms of work.
The aspects of the nature of the remuneration taken into consideration include whether or not:
the work is performed for profit (and therefore also entails the risk of loss);
a wage or salary is received or expected;
the worker is paid for the time worked or for the goods or services produced.
ILO Department of Statistics

18. Classification of Status in Employment
Nine detailed categories that can be aggregated according to two alternative hierarchies
The first hierarchy is based on the type authority
Dichotomy between dependent workers and independent workers.
The second hierarchy is based on economic risk
dichotomy between employment for pay and employment for profit.
analogous to the traditional distinction between paid employment and self-employment.
ILO Department of Statistics

19. Classification of status based on type of authority/dependency
Independent workers
Employers
Employers in corporations Employers in household market enterprises
Own-account workers
Owner-operators of corporations without employees
Own-account workers in household market enterprises
Dependent workers
Employees
Permanent employees
Fixed-term employees
Casual and short-term employees
Dependent contractors
Contributing family workers

20. Classification of status based on the type of economic risk
Workers in employment for profit
Employers in household market enterprises
Own-account workers in household market enterprises
Dependent contractors
Contributing family workers
Workers in employment for pay
Owner-operators of corporations
Employers in corporations
Owner-operators of corporations without employees
Employees
Permanent employees
Fixed-term employees
Casual and short-term employees

21. Status at Work Three level hierarchical classification
An extension of Status in Employment to cover all forms of work
20 mutually exclusive categories at 3rd level
defined on the basis of
the type of authority that the worker is able to exercise in relation to the work performed,
the type of economic risk to which the worker is exposed.
Covers all jobs and work activities in all forms of work, including own-use production work, employment, unpaid trainee work, volunteer work and other forms of work.
Each detailed Status at Work group relates to only one form of work
Aggregate categories are based on the type of authority
ILO Department of Statistics

22. I Independent workers 1 Employers** 2 Own-account workers**
11 Owner-managers of corporations with employees*
12 Employers in household market enterprises*
13 Employers in own-use production of services
14 Employers in own-use production of goods
15 Volunteers employing others
2 Own-account workers**
21 Operators of corporations without employees*
22 Own-account workers in household market enterprises*
23 Own-account workers in own-use production of services
24 Own-account workers in own-use production of goods
25 Own-account volunteers
ILO Department of Statistics

23. D Dependent workers** 3 Dependent contractors*
4 Employees*
41 Permanent employees*
43 Fixed-term and seasonal employees*
44 Casual and short-term employees*
5 Family helpers**
51 Contributing family workers*
52 Family helpers in own-use production of services
53 Family helpers in own-use production of goods
6 Unpaid apprentices, trainees and interns
60 Unpaid apprentices, trainees and interns
7 Dependent volunteers
70 Dependent volunteers
9 Other workers
90 Other workers
ILO Department of Statistics

24. Four forms of unpaid work
ICSW-18 versus ICSE-18
I Independent workers**
1 Employers**
11 Owner-managers of corporations with employees
12 Employers in household market enterprises*
13 Employers in own-use production of services
14 Employers in own-use production of goods
15 Volunteers employing others
2 Own-account workers**
21 Operators of corporations without employees*
22 Own-account workers in household market enterprises*
23 Own-account workers in own-use production of services
24 Own-account workers in own-use production of goods
25 Own-account volunteers
D Dependent workers**
3 Dependent contractors*
30 Dependent contractors*
4 Employees*
41 Permanent employees
42 Fixed-term employees
43 Casual and short-term employees
5 Contributing family workers
51 Contributing family workers*
52 Family helpers in own-use production of services
53 Family helpers in own-use production of goods
6 Unpaid apprentices, trainees and interns
60 Unpaid apprentices, trainees and interns
7 Dependent volunteers
70 Dependent volunteers
9 Other workers
90 Other workers
Employment
Four forms of unpaid work
5 Family helpers
ILO Department of Statistics

25. SNA production boundaries and status at work
In addition to employment, the following groups are within the SNA Production Boundary:
14 Employers in own-use production of goods
15 Volunteers employing others
24 Own-account workers in own-use production of goods
53 Family helpers in own-use production of goods
60 Unpaid apprentices, trainees and interns
70 Dependent volunteers
Groups concerned with own-use production of services and with own-account volunteering are beyond the SNA Production Boundary but within the General Production Boundary.
13 Employers in own-use production of services
23 Own-account workers in own-use production of services
25 Own-account volunteers
52 Family helpers in own-use production of services
ILO Department of Statistics

26. Concepts to be covered by a series of cross-cutting variables
Required for ICSE-18
Duration of work contract
Contract type
Contractual hours of work
Forms of remuneration.
Place of work
Job-related social protection coverage 
Essential
Duration of employment in the current economic unit
Reason for non-permanent employment
Seasonality
Full-time/part-time status
Domestic workers
Homeworkers and outworkers
Multi-party work relationships
Paid annual leave
Paid sick leave
Apprentices, trainees and interns  
Recommended
Number of employees in the economic unit in which the worker is employed
Main form of remuneration

27. Domestic work and domestic workers
Domestic work - All work performed within households to provide services for consumption by household members’.
Domestic workers - Workers employed for pay or profit, including in kind payment, who perform work within households to provide services for consumption by the household including:
Domestic employees, defined as all workers engaged directly as employees of households to provide services for consumption by the household members, irrespective of the nature of the services provided.
Live-in domestic employees
Live-out domestic employees
Workers who provide services within or for households on a regular basis but are not employed directly by the household, when the nature of the work performed mainly comprises domestic services such as cleaning, child care, personal care, and food preparation , gardening, driving and security..
Domestic workers employed by service providers
Self-employed domestic service providers

28. Operational measurement of domestic workers
Domestic employees
Economic activity of their employer is equivalent to ISIC Rev. 4 Division 97, Activities of households as employers of domestic personnel.
For most operational measurement purposes data on employment classified at 1-digit level to ISIC Rev 4 Section T, Activities of households as employers; undifferentiated goods and services- producing activities of households is sufficient.
Domestic workers employed by service providers
Employees of economic units other than private households who provide domestic services in private households.
Occupation is one of the occupations commonly held by domestic employees,
Place of work is the client’s residence
Self-employed domestic service providers
Workers employed for profit who provide domestic services to private households
occupation is one of the occupations commonly held by domestic employees
place of work is the client’s residence status in employment is employer, own-account worker or dependent contractor.
Possible need for a further qualifier ‘and the economic activity of the employer is relevant for the provision of domestic services’.

29. Multi-party work relationships
A third party is involved between the worker and the economic unit for which the work is performed.
One institutional unit acts as the employer and makes the worker available, on a temporary or permanent basis, to work for another economic unit while paying the wage or salary of the employee.
Private employment agencies that supply the workers but are not generally involved in supervision of the work;
Government agencies in the context of schemes such as employment promotion programmes;
Service provision agencies such as nursing agencies, domestic or office cleaning service providers, and security service providers
employing agency may supervise some elements of the work and establish standards of service, while the client may also provide day-to-day supervision over work performed on its premises.

30. Operational measurement of workers in Multi-party work relationships
The work is not mainly performed at the premises of the agency that pays the employee.
Place of work is usually the premises of the client but may be some other place.
This group of workers may therefore be identified in statistical sources through questions on
who is responsible for payment of wages and salaries,
the place of work.
It may be possible to identify and make the distinctions between these three groups on the basis of the institutional sector and economic activity codes.
ISIC code of the employer = 782, Temporary employment agency activities,
place of work is NOT the premises of the employer, NOT the worker’s own home,
worker can be classified in category (a)

31. Possible issues for discussion
Extension of ICSE to cover all forms of work, in the form of the proposed International Classification of Status at Work (ICSaW);
Relationship between the two ICSE-18 hierarchies as derived classifications based on ICSaW-18
Use of common codes and definitions for categories that appear in more than one classification hierarchy;
Definition of job/work activity
Micro-entrepreneurship and forms of employment that challenge traditional notions of independent self-employment (dependent contractors);
Relationship between the status at work categories and SNA production boundaries;
The development of a new suite of labour related classifications that will complement the revised ICSE and proposed ICSaW;
The statistical measurement of multi-party employment relationships, such as workers employed by labour hire companies, where the employer and the unit for which the work is performed are not the same
potential impact of ICSE changes or clarifications and its revised structure on ISIC interpretations, in particular in the case of outsourcing activities
The measurement of domestic workers based on ISIC, ISCO and classifications of place of work
Expert Group’s participation in the Working Group for the revision of ICSE;

32. Thank you
ILO Department of Statistics