The social policy has always been one of the main priorities in Azerbaijan. The amount of salary increased by 7 percent, pensions - by 8 percent in 2016. More than 100,000 permanent jobs were created. The important actions associated with targeted social assistance, were taken. The amount of this targeted social assistance is still increasing.
Around 4 billion manat were invested in 2016 in the development of Azerbaijani districts as part of the implementation of the "State Program on Socio-Economic Development of Azerbaijani districts for 2014-2018".
Around 261 million manat was allocated to accelerate socio-economic development of cities and regions and the execution of some important projects on the basis of 67 orders signed by the president following the visits to the districts.
Population’s income
According to the Azerbaijani State Statistics Committee, the nominal income of the population totaled 45.39 billion manat in 2016, which is by 8.7 percent more compared to 2015.
Thus, during the reporting period, the nominal income of the population per capita increased by 7.5 percent and reached 4709,8 manat (392.5 manat for the month).
Major indices, characterizing income of the population
|
Indices |
2016 |
2015, % |
| nominal income of population, in mln manat |
45395,1 |
108,7 |
| Per capita, manat |
4709,8 |
107,5 |
| Income of population, in mln manat |
41560,1 |
108,8 |
| Per capita, manat |
4311,9 |
107,6 |
Source: State Statistics Committee
The population’s income after paying all required fees and membership fees made up 41.56 billion manat, which is 8.8 percent more than in 2015. Real income per capita increased by 7.6 percent to 4311,9 manat.
During the reporting period, the country’s population spent 76.3 percent of personal income on consumer purposes, 8.4 percent - tax, insurance and membership contributions, 2.9 percent - payment of loan debts, while 12.4 percent remained in the form of savings.
The population’s expenditure amounted to 39,766.1 million manat in 2016 or 5.629 million manat less than the income of the population but by 13.3 percent more than expenditure of the population in 2015 (according to the Azerbaijani State Statistics Committee, Trend’s calculations).
The gap in income and expenditure of the population in favor of income testifies to the growth of material well-being of Azerbaijani citizens. The differentiation in the population's income and the availability of the Gini coefficient in the country should be taken into account.
Salary
The salary is one of the key social and economic indicators, which sufficiently enough characterizes the level of the prosperity of the working part of the population. According to the Azerbaijani State Statistics Committee, the average monthly salary in Azerbaijan in January-November 2016 increased by 7 percent from year to year and reached 494.3 manat.
Remuneration in the oil sector reached 2773,7 manat for the month, the non-oil sector – 440.2 manat, the public sector – 371.7 manat, the private sector – 669.3 manat as of December 1, 2016.
The highest salary was observed in the mining industry, financial, information and communication, scientific and technical activity, as well as the construction sectors.
Around 95,600 people were involved in the Azerbaijani construction sector in January-November 2016. The average monthly salary in the construction sector amounted to 811.9 manat, which is 20.4 percent more than in the same period of 2015.
The salary increased by 16.3 percent in the sphere of building construction, while by 24.3 percent – in the specialized construction in January-November 2016 compared to the same period of 2015.
Labor market
As of 2016, the economically active population reached 5.01 million people.
Thus, as of December 1, 2016, the number of hired employees exceeded 1.51 million people, including 889,500 people worked in the state sector, and 624,900 people - in private sector.
Some 34,200 people work in the oil sector, while 1.48 million people in the non-oil sector.
Around 22.1 percent fall to the hired employees involved in the production spheres: 6.0 percent in construction, 6.9 percent in manufacturing industry, 3.1 percent in agriculture, forestry and fishing, 2.3 percent - in the mining industry, 2 percent - water supply, waste recycling, 1.8 percent - in the production and distribution of electricity, gas and steam, 22.2 percent in education, 19.2 percent - trade, repair of vehicles, 8.8 percent - medical and social services, 7.1 percent in state governance and defense, social maintenance, 4.6 percent - transportation and warehousing, 3.7 percent - recreation, entertainment and arts, 3.6 percent – professional, scientific and technical activities, 1.6 percent - communication and information, 1.7 percent - financial and insurance activities, 1.2 percent - real estate transactions, 1.6 percent - administrative and additional services, 1.5 percent – tourist accommodation and catering and 1.1 percent - other areas.
The labor rights of almost 34,000 foreign employees were registered in Azerbaijan. The number of foreign employees registered in the individual registration system in the State Social Protection Fund of the Azerbaijani Ministry of Labor and Social Protection increased by 13.9 percent in 2016.
Around 207 foreign employees were registered in the individual registration system in December 2016. Thus, the total number of foreign citizens reached up to 33,940 people in Azerbaijan or by 744 people more than as of 2015.
The labor rights of citizens from 124 countries, mainly the citizens of Turkey, Georgia and Russia, were registered in the individual registration system.
In general, as of January 1, 2017, around 3,371,908 people were registered in the individual registration system in the country.
As of January 1, 2017, some 33,000 people were officially registered as unemployed in Azerbaijan, including 38.1 percent women, the Azerbaijani State Statistics Committee’s report said.
According to the report, the number of unemployed increased by 14.2 percent in the country compared to the last year.
In particular, some 2,700 people appealed to the employment centers after the banks and currency exchange offices closed in the country. The unemployment benefits were assigned for those people.
The average monthly unemployment benefit is 257 manat in Azerbaijan in the reporting period.
Distribution of unemployed individuals and those who receive unemployment benefit in towns and regions as of January 1, 2017 (people):
|
Economic regions: |
Individuals with unemployed status |
Individuals receiving unemployment benefits |
|
Baku |
14812 |
474 |
|
Absheron region |
1457 |
350 |
|
Ganja-Gazakh |
2181 |
216 |
|
Sheki-Zaqatala |
913 |
70 |
|
Lankaran |
948 |
42 |
|
Guba-Khachmaz |
1282 |
134 |
|
Aran |
7671 |
284 |
|
Upper-Karabakh |
1552 |
112 |
|
Kalbajar-Lachin |
1337 |
74 |
|
Mountain Shirvan |
819 |
101 |
|
Nakhchivan |
- |
- |
According to the Ministry of Labour and Social Welfare, despite much has been recently done in Azerbaijan to reduce the unemployment rate [this figure dropped up to 5 percent and up to 13.4 percent among the youth in 2015], this index increased as a result of the changes in the global economy, financial crisis, the fall in oil prices.
Social Security
According to the Azerbaijani Ministry of Labor and Social Protection of Population, around 3,371,908 employees are socially insured in Azerbaijan.
Around 191,754 people were registered in the individual registration system of the State Social Protection Fund in 2016, including 18,925 people in December 2015.
Most of those registered or 864,632 people (25.6 percent) are people aged 30-40, 674,900 people (20 percent) - under 30, 673,431 people (19.9 percent) – aged 40-50, 708,295 people (21 percent) – aged 50-60 and the rest of the insured people - older 60.
