New labour market transitions patterns

This synthesis report stems from a joint International Labour Organization (ILO) and European Commission’s Joint Research Centre (JRC) project examining the impact of structural trends and the COVID-19 pandemic on labour market transitions, that is, the movements of individuals within and between employment, unemployment, and economic inactivity statuses. The studies analysed labour market transitions in European Union countries and selected non-EU countries in South Africa, Central and South America, and Asia, using different methodologies available. Focusing on less-explored study topics, such as transitions over the life course and old-age transitions, the research conducted under this project pillar reveals, for instance, that education is a pivotal factor influencing later-life transitions, challenging particularly vulnerable populations and women who face higher poverty risks. The COVID-19 analysis highlights scarring effects on labour market dynamics, especially for the most vulnerable, emphasising the need for continuous monitoring and targeted support for affected groups. The report underscores the complexity of methodologies used to analyse longitudinal data on individuals’ trajectories and data availability challenges, mainly in developing economies. In general, all studies summarised in the current report urge further research for comprehensive policymaking on labour market transitions in a fast-changing world, especially in high-impact areas like transitions out of informality and old-age workers’ movements within the labour market and into retirement.