1. Directorate-General for Employment, Social Affairs and Inclusion
Key findings of the Country Report for Slovenia – Labour Market and Social Policy Developments
Ljubljana, 16 March 2018
Egbert HOLTHUIS,
Directorate-General for Employment, Social Affairs and Inclusion

2. Labour market conditions improved for the third year in a row%
- The economic recovery has been accompanied by job-creation
- Employment continued to rise and unemployment further decreased
- Wage growth remains moderate and in line with productivity
- Situation of young people improved
Challenges
Activation of older workers remains at the bottom of EU
Long term unemployment is still above pre-crisis levels
There are signs of labour shortages in some vocational occupations
Temporary employment remains an issue
Data for 2017* is average of first 3 quarters
Source: European Commission

3. Activity rates of older workers remain lowest in the EU%
Although the employment rate of older workers is increasing (45.3% in 2017) it still lags significantly behind the EU average (60.4% in 2017).
Challenges:
A rapidly ageing society means the working age population and labour supply are shrinking
This could hamper economic growth
IMAD forecasts that in two years the working population could shrink by 8000 persons per year
Old age dependency ratio is projected to double by 2060
Net migration after the economic crisis has been very low
Data for 2017* is average of first 3 quarters
Source: European Commission

4. There are signs of labour shortages
Source: Manpower Talent Survey %
The share of employers reporting skills shortages increased
Some of the most wanted professions are:
Drivers of heavy vehicles
Workers in manufacturing
Welders
Masons
Cooks
Waiters
Toolmakers
Salesmen
Challenges:
Most workers are well matched with their current jobs but there are indications that the system is not fully able to provide in-demand skills
Adjusting the education programmes and offering enrolment places could help reduce these gaps

5. Skills and Education %
- Slovenian education system performs well in most areas and the country already surpassed the Europe 2020 targets in education
- The participation rate of adults in learning is still slightly above the EU average but it's been falling since 2010
Challenges:
Population ageing accentuates the need to increase participation in adult learning
Adult learning is especially low among older workers and the low-skilled
Source: European Commission

6. Active Labour Market Policies (ALMP)
According to a study prepared by University of Primorska, Slovenian ALMP’s are performing well if judged by labour market impact and cost-effectiveness
Three out of four examined programmes had positive short and longer-term effects.
In 2017 Slovenia prepared two new ALMP measures aimed directly at older workers (Active until retirement and Support for companies for active ageing of the workforce)
Challenges:
The participation rate of unemployed in ALMP’s is among the lowest in the EU
Long-term unemployment remains high
Spending on ALMP programmes is low
Older and low-skilled workers remain under-represented in ALMP and could benefit from implementation of the Upskilling Pathways Recommendation.

7. Social conditions have improved further, but old-age poverty is frequent%
The number of people at risk of poverty and social exclusion declined further in 2016, but it is still above the 2008 level.
Challenges:
The elderly have the highest risk of poverty or social exclusion, particularly women over 65
Also due to the low employment and activity rate of older workers
Pensions are the principal source of income for elderly and are frequently below the poverty line
Due to the economic crisis many workers are facing shorter careers and longer career breaks and could face pension adequacy problems in the future
Delaying pension reform is a concern
Source: European Commission

8. Hvala!