Luxembourg (1)

Title of the survey

Enquête semestrielle sur les gains et la durée moyenne du travail offerte (Six-monthly harmonized survey on earnings and average hours of work offered).

This enterprise survey is supplemented by data from social security records.

Organization responsible

Service central de la Statistique et des Etudes Economiques (STATEC)

Periodicity of the survey

Six-monthly.

Objectives of the survey

To observe trends in the hourly earnings of wage earners, monthly earnings of salaried employees and weekly hours of work offered per wage earner, by sex and economic activity.

Main labour topics covered by the survey

Employment, earnings and hours of work.

Reference period

The months of April and October each year.

Coverage of the survey

Geographical

Whole country.

Industrial

Mining and quarrying; manufacturing; electricity, gas and water; wholesale and retail trade; construction; financing and insurance.

Establishments

Since 1988, all establishments with at least one employee.

Persons

All employees (except those excluded by the definitions) working in the enterprises surveyed.

Occupations

Different occupational categories are not taken into account in the survey.

Concepts and definitions

Employment

Data are collected on employees. A distinction is made between wage earners and salaried employees, as well as between full-time and part-time employees and, in each category, according to sex.

Wage earners are defined as manual workers bound to the enterprise by a contract of employment and subject to wage earners' pension insurance. They include wage earners who have worked for a certain period only because of reduced activity or suspension of work (lay-offs or redundancies) within the enterprise.

Salaried employees are all employees bound to the enterprise by contract of employment and subject to salaried employees' pension insurance. These include shift foremen and supervisors, security staff and administrative, technical and commercial sales workers. Civil servants in state or local government enterprises are classed as salaried employees.

The survey does not cover senior managers (e.g. company chairman, managing director), persons working entirely or partially on a commission basis, management representatives, apprentices bound to the enterprise by an apprenticeship contract, home workers, unpaid family workers, cleaning staff, workers receiving reduced wages because of partial incapacity for work (disabled persons), employees recruited, dismissed or having resigned during the reference period.

Part-time workers (wage earners or salaried employees) are employees whose regular working hours are less than the weekly or monthly hours normally worked in the enterprise. This definition covers all forms of service, for example, half-day work, work during a few days in the month, etc.

Earnings

Data are collected on the total gross earnings of each employee category.

This is defined as the remuneration paid in cash by the employer each pay period, before deduction of tax and social security contributions payable by the employee and retained by the employer, as well as fines.

Gross earnings comprise remuneration for normal hours of work, premium pay for overtime and shift work; incentive pay and other regular bonuses, household allowances, housing allowances, as well as paid vacations and cash compensation for leave not taken, and payments for public holidays and other paid days off.

Excluded from gross earnings are: statutory family allowances; benefits in kind; irregularly paid bonuses, gratuities and shares in profits; payments representing reimbursement of expenses defrayed by the workers on behalf of the employer (working clothes or equipment, travel, compensation over and above the wage for work done by fitters employed outside, etc.).

The data on earnings are collected separately according to the following components:

Wage/salary rates

Not relevant.

Hours of work

The survey covers the weekly hours of work offered for wage earners.

These are the total number of hours paid for during the reference month, and include normal hours of work, work on Sundays and public holidays, night work and paid annual leave, as well as hours spent on trade union activities and short breaks at the workplace.

Hours of work offered do not include inactive periods caused by mechanical or electrical breakdown, lack of supply of materials or clients, or bad weather; meal breaks; study or training periods; or time corresponding to work stoppages because of industrial disputes.

The data on hours of work cover only wage earners who worked full-time during the reference month and workers have worked during a certain period only because of reduced activity or suspension of work in the enterprise (lay-offs, redundancies). The data should reflect variations in hours of work due to changes in the economic situation of the enterprises or in the collectively agreed hours of work.

The following workers and the hours worked by them are excluded from the survey: wage earners who worked for less than the whole reference month because of sickness or injury, dismissal or resignation, personal reasons (unauthorized absence, unpaid leave, etc.), or involvement in industrial dispute.

Data are also collected on the normal hours of work per week for salaried employees and on the total overtime hours worked by full-time salaried employees. Normal or collectively agreed hours of work are fixed in the internal rules of the enterprises.

International recommendations

The concept of gross earnings used corresponds to the international recommendations on earnings in current surveys, in as much as it includes direct wages and salaries paid in cash at regular intervals as well as remuneration in cash for hours paid for but not worked. It does not include payments in kind or irregular bonuses and gratuities.

The concept of hours of work offered is defined by the Statistical Office of the European Communities (EUROSTAT) as the hours of work during a normal period in which there is no public holiday. This concept takes the enterprise rather than the worker as its point of reference and therefore includes hours paid for but not worked for personal reasons, such as sickness or personal leave, and excludes hours lost for technical or economic reasons.

However, in this survey, the concept used excludes workers and hours paid for those absent because of sickness or injury, personal reasons, etc.

Classifications

Industrial

The data on earnings and hours of work are classified in accordance with the Standard Classification of Economic Activities of the European Communities (NACE), 1990, Rev.1, which is compatible with the International Standard Industrial Classification of All Economic Activities (ISIC), Rev.3, 1990.

Occupational

Not relevant.

Others

The data are classified by employee category and by sex.

Sample size and design

Statistical unit

The enterprise.

Survey universe / sample frame

The sample frame is the directory of enterprises compiled by the STATEC, supplemented by social security records covering all enterprises with at least one employee.

Sample design

Not relevant. The survey is based on a complete enumeration of the enterprises concerned.

Field work

Data collection

Since April 1988, the STATEC has had access to the data files of the social security institutions and has thus been able to extend the results of the survey on earnings to include all enterprises with at least one employee. However, a postal survey of banks and insurance companies is still conducted on an exhaustive basis, as well as on enterprises that pay a significant number of their employees wages or salaries in excess of the declarable ceiling, set at seven times the minimum social wage.

The mailed survey questionnaire is supplemented by telephone calls and reminder letters to enterprises that have not returned the questionnaires. The questionnaires are sent out in June and December.

Survey questionnaire

The six-monthly harmonized survey questionnaire is in two parts: one on monthly earnings, reported separately for wage earners and salaried employees, full-time and part-time, and by sex; the other on average weekly hours of work offered.

Table 1 contains information on the number of wage earners by category, the different types of remuneration, normal hours and overtime. Table 2 contains information on the number of salaried employees, and the gross remuneration paid for normal hours and overtime.

The second part concerning average weekly hours of work offered collects data on:

Substitution of sampling units

Not relevant.

Data processing and editing

The data are processed by computer. A manual check is first carried out. In addition to arithmetical checks, consistency tests are also conducted, by comparing wage trends over time for each enterprise and analysing the data supplied by the enterprises in relation to other enterprises in the same NACE groups or sub-groups.

Types of estimates

For each branch of economic activity, remuneration and hours of work are obtained by totalling the data from each enterprise. Average hourly earnings by sex are obtained by dividing total remuneration by the number of hours paid for. The same method is applied in when passing from the level of group, to class and then to branch of economic activity.

Construction of indices

Trend indices are constructed for each branch of economic activity.

Weighting of sample results

Not relevant.

Adjustments

Non-response

No adjustment is made in the case of total non-response (because of cessation of activities, change of address, refusal to respond, etc).

In the case of partial non-response, the missing data are imputed from the replies to the previous survey or from the monthly survey on industrial activity.

Other bias

Not relevant.

Use of benchmark data

Not relevant.

Seasonal variations

None.

Indicators of reliability of the estimates

Coverage of the sampling frame

The STATEC register of enterprises is supposed to contain data relating to all the enterprises covered by the survey.

Sampling error / sampling variance

Not relevant.

Non-response rate

About 5 per cent.

Non-sampling errors

Not examined.

Conformity with other sources

Results by branch are compared with the information derived from the social security records.

Available series

History of the survey

A survey on earnings and hours of work began in Luxembourg in October 1953.

The six-monthly harmonized survey on earnings and hours of work has been carried out since 1964, up to April 1980 by the Ministère de l'Emploi and the Ministère de l'Economie within the framework of the harmonization of wage statistics in the Benelux countries and the Common Market.

The NACE classification has been in use since October 1972.

Since October 1980 the Service central de la statistique et des études économiques (STATEC) has been responsible for conducting the survey and processing the data. Up to that date, the survey covered enterprises with at least one employee in industry, construction and civil engineering. After 1980, the survey was extended to wholesale and retail trade, financing and insurance. The sample was revised, covering only establishments with ten employees (except for financing and insurance which are subject to complete enumeration).

Since April 1988, the STATEC has had access to the records of the social security institutions and has thus been able to extend the survey on earnings to include all enterprises with at least one employee. However, the financing and insurance are still subject to complete enumeration as are enterprises that pay a significant number of their employees wages or salaries in excess of the declarable ceiling, set at seven times the minimum social wage.

Confidentiality / Reliability criteria

Results for a branch of economic activity are not published if there are fewer than three enterprise in that branch and if one of them shows a marked differences in relation to the other two.

Documentation

Ministère de l'Economie, Service central de la Statistique et des Etudes économiques (STATEC) Annuaire statistique (annual, Luxembourg).

Statistical Office of the European Communities (EUROSTAT) Earnings - Industries and services, Topic 3, series C (annual, ibid.).

Other information

Social Security administrative records: Since April 1988, the administrative records of the social security institutions have been the main source of data for the harmonized earnings statistics and they supplement the survey on enterprises. They make it possible to extend information on wages to all sectors of the economy and to establishments and enterprises of all sizes.

The social security administrative records cover all employees registered with the social security.

Definitions:

Methods:

Data supplied to the ILO for publication

The following series are published in the Yearbook of Labour Statistics:

in non-agricultural activities, mining and quarrying, manufacturing and construction (Tables 11 to 14 and 16 to 19).

The six-monthly data are published in the corresponding tables in the Bulletin of Labour Statistics.