employment & working conditions

Synopsis: Employment & working conditions:

JRC85353.pdf

and acknowledge the following experts and colleagues for their valuable input and comments: Zoe Kay (DG CONNECT), Jean-paul Simon (JPS Consulting), Andrea De Panizza (OECD), Marc Bogdanowicz (JRC-IPTS), Paul Desruelle (JRC-IPTS) and all the

This work was documented in a series of EIPE reports: Defining European ICT Poles of Excellence.

38 5. 1. 3 Employer Ranking of a Computer science Faculty...40 5. 1. 4 Citations Ranking of a Computer science Faculty...

94 5. 3. 5 ICT Employment...96 5. 3. 6 Growth in ICT Employment...98 5. 3. 7 Turnover by ICT Firms...

100 5. 3. 8 Growth in Turnover by ICT Firms...102 5. 3. 9 Number of New Investments in the ICT Sector...

32 Academic ranking of a Computer science faculty Agrd 2 10 Employer ranking of a Computer science faculty Agrd 3 11 Citations ranking of a Computer science faculty Agrd 4 29 R&d

Agbuss 3 11 Location of ICT firms Agbuss 4 7 ICT employment Agbuss 5 13 Growth in ICT employment Agbuss 6 1265

18 Academic ranking of a Computer science faculty Agrd 2 7 Employer ranking of a Computer science faculty Agrd 3 3 Citations ranking of a Computer science faculty Agrd 4 6 R&d

Agbuss 3 1 Location of ICT firms Agbuss 4 1 ICT employment Agbuss 5 5 Growth in ICT employment Agbuss 6 82

of a Computer science faculty Agrd 2 8 Employer ranking of a Computer science faculty Agrd 3 8 Citations ranking of a Computer science faculty Agrd 4 4 R&d expenditures by ICT

60 Location of ICT firms Agbuss 4 8 ICT employment Agbuss 5 2 Growth in ICT employment Agbuss 6 82 Turnover by ICT

Research and development comprise creative work undertaken on a systematic basis in order to increase the stock of knowledge and the use of this stock of knowledge to devise new applications (OECD 2002.

faculty Agrd 2 2 Employer ranking of a Computer science faculty Agrd 3 3 Citations ranking of a Computer science faculty Agrd 4 4 R&d expenditures by ICT firms

affiliates Agbuss 3 29 Location of ICT firms Agbuss 4 30 ICT employment Agbuss 5 31 Growth in ICT employment Agbuss 6

. 1. 3 Employer Ranking of a Computer science Faculty Table 17: Top ranking regions according to the Employer Computer science faculty QS Ranking indicator Rank NUTS3 Code Region name Indicator Value EIPE Rank 1 UKH12

Cambridgeshire CC 100 5 2 UKJ14 Oxfordshire 95 19 3 UKI12 Inner London-East 68 2 4 UKI22 Outer London

30 GR300 Attiki 28 49 Indicator description Indicator ID Agrd 3 Name of indicator Employer ranking of a Computer science faculty What does it measure?

Measures the performance of the Computer science faculty according to the employer ranking of QS Unit of measurement The highest rank of a Computer science faculty in the employer ranking Definition of ICT dimension Computer science faculty Unit

Frequency of the Employer ranking of a Computer science faculty indicator values 1244 1 3 3 12 12 11 6 6 1 1 1 2 0

500 1000 1500 Frequency 0 20 40 60 80 100 Employer ranking of a Computer science faculty Table 18:

Descriptive statistics of Employer Computer science faculty QS Ranking indicator Number of observations Mean value Standard deviation Variance 1303 1. 47 7. 63 58.27 42 5

ICT Employment Table 73: Top ranking regions according to ICT employment indicator Rank NUTS3 Code Region name Indicator Value EIPE Rank 1 DEA22 Bonn, Kreisfreie Stadt

100 12 2 FR101 Paris 33 3 3 DE122 Karlsruhe, Stadtkreis 21 4 4 FI181 Uusimaa 12 9 5 UKI12

DEF0B Rendsburg-Eckernforde 2 138 30 DE21B Freising 2 57 Indicator description Indicator ID Agbus 5 Name of indicator ICT employment

measure It measures the total employment in ICT firms in the observed region Unit of measurement Region's share in the total employment by ICT firms located in the EU to a region's share in the EU population Definition of ICT dimension

Frequency of the ICT employment indicator values 1292 7 1 1 1 1 0 500 1000 1500 Frequency 0 20 40 60

80 100 ICT employment Table 74: Descriptive statistics of ICT employment indicator Number of observations Mean value Standard deviation Variance 1303 0. 21 3. 05 9. 28 98 5. 3. 6

Growth in ICT Employment Table 75: Top ranking regions according to Growth in ICT employment indicator Rank NUTS3 Code Region name Indicator Value EIPE Rank 1 PT171 Grande Lisboa

100 93 2 PL325 Rzeszowski 76 376 3 NL113 Overig Groningen 69 246 3 UKH31 Southend-on-sea 69 257 3 DEA1B

Kleve 69 317 6 NL327 Het Gooi en Vechtstreek 61 133 6 SE213 Kalmar lan 61 491 8 FI1A2 Pohjois

Anhalt-Bitterfeld 46 425 Indicator description Indicator ID Agbus 6 Name of indicator Growth in ICT employment What does it measure?

It measures employment growth in ICT firms in the observed region Unit of measurement Growth rate in%Definition of ICT dimension Based on NACE Rev. 2 Unit of observation NUTS 3 Source

Frequency of the Growth in ICT employment indicator values 2 7 7 23 1183 51 13 10 2 3 1 1 0 500

1000 1500 Frequency 0 20 40 60 80 100 Growth in ICT employment Table 76:

Descriptive statistics of Growth in ICT employment indicator Number of observations Mean value Standard deviation Variance 1303 30.50 5. 05 25.54 100 5. 3. 7 Turnover

Frequency of the Growth in ICT employment indicator values 1293 4 4 1 1 0 500 1000 1500 Frequency 0 20 40 60

Descriptive statistics of Growth in ICT employment indicator Number of observations Mean value Standard deviation Variance 1303 0. 21 3. 04 9. 23 102 5. 3

of indicator Universities ranked in the QS University ranking Academic ranking of a Computer science faculty Employer ranking of a Computer science faculty Citations ranking of a Computer science faculty R&d expenditures by ICT firms ICT FP7 funding

Measures the number of universities in QS university ranking Measures the performance of the Computer science faculty according to the academic ranking of QS Measures the performance of the Computer science faculty according to the employer ranking of QS Measures the performance

number of EU ranked universities to a region's share in the EU population The highest rank of a Computer science faculty in the academic ranking The highest rank of a Computer science faculty in the employer ranking The highest rank of a Computer science

of ICT Scoreboard Headquarters Ownership of ICT Scoreboard affiliates Location of ICT Scoreboard affiliates Location of ICT firms ICT employment What does it measure?

affiliates located in the observed region It measures the number of ICT firms located in the observed region It measures the total employment in ICT firms in the observed region Unit of measurement Region's share in the total number of ICT Scoreboard

ICT Scoreboard affiliates located in the EU to a region's share in the EU population Region's share in the total number of ICT firms located in the EU to a region's share in the EU population Region's share in the total employment by ICT

7 Agbuss 8 Agbuss 9 Name of indicator Growth in ICT employment Turnover by ICT firms Growth in turnover by ICT firms New business investments

It measures employment growth in ICT firms in the observed region It measures the average annual turnover by ICT firms in the observed region It measures turnover growth in ICT firms in the observed region It measures the number

the QS uses its proprietary datasets that enable to drill down by subject area, namely academic and employer reputation surveys and the Scopus data for the Citations per Faculty indicator in the global rankings.

which they consider themselves expert. For EACH of the (up to five) faculty areas they identify,

Employer reputation survey considers the students'employability as a key factor in the evaluation of international universities and in 2010 drew on over 5,

The employer survey works on a similar basis to the academic one only without the channelling for different faculty areas.

Employers are asked to identify up to ten domestic and thirty international institutions they consider excellent for the recruitment of graduates.

They are asked also to identify from which disciplines they prefer to recruit. From examining where these two questions intersect,

Employers seeking graduates from any discipline are weighted at 0. 1 and those from a parent category (i e.

Weightings are based on publications patterns and level of employer interest in the given subject area. Weightings are applied not evenly between indicators for different disciplines

40%Employer: 30%Citations: 30%8. 2 ICT FP7 by EC DG Connect The Framework Programmes for Research and Technological Development,

or in the past, cites this work. In addition, literature which shows the greatest impact in a field covered by Web of Science,

but not creating any new employment), not-for-profit organisations. 134 8. 6 Patent Data:

data (assets, capital stock, number of employees, etc.)and R&d expenditures. This information was included combines information in the following sources:

Regarding the selection of companies out of the ORBIS database and the construction of indicators on the number of employees, turnover, intangible and R&d expenditures at the NUTS 3 level,

Venturesource by Dow jones Dow jones Venturesource provides comprehensive data on venture-backed and private equity-backed companies including their investors and executives in every region, industry sector and stage of development

JRC85356.pdf

This work was documented in a series of five EIPE reports: Defining European ICT Poles of Excellence.

R&d activities Research and development comprise creative work undertaken on a systematic basis in order to increase the stock of knowledge and the use of this stock of knowledge to devise new applications (OECD, 2002.

Thus, the typical measures of R&d include, for example, R&d expenditure, R&d employment or R&d facilities on the input side (OECD, 2002;

More disaggregated data on business activity show business indicators such as the number of firms, employment, capital, turnover, value added, profits,

the EIPE project builds this measurement by observing the actual presence and development of ICT firms (headquarters and affiliates, employment data, turnover and investments.

As a result of the interplay between these forces, economic activity, population, employment and wealth are distributed unevenly. Residents, workers,

and firms are agglomerated typically in urban areas, which gives rise to the notion of agglomeration economies (M. Fujita & Thisse, 2002;

Intensity measures, for example, the amount of labour, human, and physical capital relative to physical space (Ciccone & Hall, 1996) or relative to the size of population (Perez & Sanchez, 2002;

This type of spatial division of labour reflects the increasing transfer of sophisticated, knowledge-intensive activities to locations other than companies'domestic markets.

ICT employment (JRC-IPTS, 2007. The advantage of the Balassa index over a simple comparison of shares in total employment is that relative size is taken also into account here.

The original Balassa index compares a region's share of a specific variable, for example, employment in the ICT sector,

with the region's share in the general variable, i e. in this case the total employment. However, because of the focus of this project,

which aims to map ICT-related activities and the lack therefore of a number of data at the general level,

company registers) rather than experts'opinions or surveys. 9 Some secondary data sources were used such as the (ICT) industrial scoreboard (JRC-IPTS).

faculty Agrd 2 2 Employer ranking of a Computer science faculty Agrd 3 3 Citations ranking of a Computer science faculty Agrd 4 4 R&d expenditures by ICT firms

Location of ICT firms Agbuss 4 30 ICT employment Agbuss 5 31 Growth in ICT employment Agbuss 6 32 Turnover by ICT firms

as well as to their turnover and employment size and growth. 13 In order to account for the differences of size of the regions,

of ICT Scoreboard Headquarters Ownership of ICT Scoreboard affiliates Location of ICT Scoreboard affiliates Location of ICT firms ICT employment What does it measure?

ICT Business Agglomeration indicators (Agbuss) Indicator ID Agbuss 6 Agbuss 7 Agbuss 8 Agbuss 9 Name of indicator Growth in ICT employment

the EIPE study used QS proprietary datasets to investigate its subject area at three levels, namely academic and employer reputation surveys and the Scopus data for the Citations per Faculty indicator.

which they consider themselves expert. For each of the faculty areas they identify, respondents are asked to list up to ten domestic

The Employer reputation survey considers the students'employability as a key factor in the evaluation of international universities and in 2010 drew on over 5,

The employer survey works on a similar basis to the academic one only without the channelling for different faculty areas.

Employers are asked to identify up to ten domestic and thirty international institutions they consider 16 More information under:

http://www. topuniversities. com (last accessed 01.02.2012) 33 excellent for the recruitment of graduates. They are asked also to identify from which disciplines they prefer to recruit.

Employers seeking graduates from any discipline are weighted at 0. 1 and those from a parent category (i e.

which currently cites this work, or has done so in the past. In addition, literature which shows the greatest impact in a field covered by the Web of Science,

as detailed information on employment or R&d expenditures in those centres is not available at this level of granularity. 5. 5 European Investment Monitor by Ernst & young The European Investment Monitor (EIM) is a unique

but not creating any new employment), not-for-profit organisations. 36 especially as many patents are filed by large companies with several establishments located in different regions and countries.

while constructing the indicators on the number of employees, turnover, intangible and R&d expenditures at the NUTS 3 level,

Besides providing the company-level information that was used to count the number of firms or the employment,

sales, operating surplus, employment and capital expenditure (to be interpreted as a flow, the increasing of tangible assets) for the top 1,

Venturesource by Dow jones Dow jones Venturesource provides comprehensive data on venture capital-backed and private equity-backed companies including their investors and executives in every region, industry sector and stage of development

Economic and Labour market Review, 4 (7), 56-65. Ciccone, A, . & Hall, R. E. 1996).

Location, Employment, Factors of Attractiveness and Economic Impact. Seville. Kaplan, S n.,Strömberg, P, . & Sensoy, B. A. 2002).

jrc88429 s3 05_2014_transnational_learning_mariussen_midtkandal_ rakhmatullin_approved in pubsy.pdf

and explained and discussed with peers, experts and critical friends from regions in other countries.

Advice from peers from other regions or international experts may just be pushing fashions which may be more or less relevant and useful.

may sustain high levels of employment, decent standards of living and welfare, in short, preconditions for happiness.

and evaluation How do you make this work? Continue GAP analysis through comparison with others.

such as Education (lack of adaptation to globally competing existing industries) Infrastructure Labour market education You should also consider to what extent the existing fragmentation of your triple helix is caused by the educational system,

JRC95227_Mapping_Smart_Specialisation_Priorities.pdf

employment and patents, with the conclusion that the connection between priorities and the economic and innovation structures is weak.

industry and social partners, identify and produce information about new activities and develop roadmaps to realise the potential. 3 Common Provisions Regulation for the European Structural and Investment funds (ESIF),

and the work of DG Regional and Urban Policy (DG REGIO) and regional policy makers on regional innovation strategies (RIS) and regional innovation and technology transfer strategies

Also DG REGIO observed this challenge in its work with RIS and RITTS, as well as DG Enterprise and Industry in the context of politically driven cluster initiatives.

The majority of data have been added by S3 Platform staff and a minority by policy makers themselves.

we have used Eurostat data on the number of organisations, employment data and patent applications in absolute terms,

Therefore, we have looked also at the number of employees per sector (NACE code categories) and growth of employment.

'There was quite a strong link between regional priorities and the sectors with the largest growth in employment in 2010 (illustrated in Figure 7),

Eurostat employment data for 2010, SBS data by NACE Rev. 2 for the EU-28 (and Norway) with missing data for Croatia, Greece, France, Italy, The netherlands and Slovakia.

According to our analyses, priority choices correlate with existing specialisations mainly in terms of relative growth of the number of firms and employment,

%18%20%Growth rate of employment Mining support service activitiesmining of metal oresoffice administrative, office support and otherbusiness support activitiesactivities of head offices;

such as labour, organisations, publications and patents. Figure 8: Patent applications in absolute numbers (2010) Source: Patent applications to EPO at the national level by IPC sections

Finally, we compared Eye@RIS3 data with Eurostat data on numbers of local units in different sectors, employment and patent applications.

The chosen innovation priorities somewhat reflect growth in employment, the relative growth of the number of local units and the absolute number of patent applications.

and performance indicated by regional data on labour, organisations, publications and patents. 21 References Aho, E.,Cornu, J.,Georghiou, L,

Report of the Independent Expert Group on R&d and Innovation. Asheim, B.,Boschma, R, . and Cooke, P. 2007).

and engineering activities, technical testing and analysis Education Employment activities Financial service activities, except insurance and pension funding Insurance, reinsurance and pension funding, except compulsory social security Legal and accounting activities Office administrative,

employment and patents, with the conclusion that the connection between priorities and the economic and innovation structures is weak

KFI_Tukor_ENG_NET.pdf

Export and import performance 13 1. 6 Number and size of ICT businesses 15 1 7 Rate of employment 18 1. 8 International outlook

Among the new member states, Hungary, the Czech republic and Poland recorded significant increases in ICT manufacturing employment

A large part of labour productivity growth in Hungary comes from the ICT sector. The ICT sector is a significant boost3 to labour productivity:

it is estimated by OECD that labour productivity in Hungary improved year-on-year by an average 3. 1%in 1995-2008, from which National Innovation Office RDI MIRROR-1. Review on the ICT

Sector11 2 The Power of Simplicity Toward a smarter and streamlined innovation policy in the EU 3 Average cost of labour per unit of output Figure 2:

Annual average labour productivity growth and ICT contribution to such growth in total industries, 1995-2008(%.

%Source: OECD Key ICT Indicators, 2012.0%1%2%3%4%5%Slovakia Hungary Czech republic Sweden Finland USA Austria Germany Average annual

growth of labour produchvity excl. the ICT sector The ICT sector's contribuhon to the growth of labour produchvity 0. 5%(i e. nearly sixth of total growth) was due to impacts from the ICT sector.

(in addition to the cost cutting and redundancy methods widely used in other sectors). Figure 4: Gross value added of the Hungarian ICT sector as a percentage of value added of the total economy, 1995-2011.

'if it generates sales revenue or employs one or more staff during that year (Hungarian Central Statistical Office).

At the same time, it must be noted that many companies have no employees or their size is unknown, something

which could distort the statistical result to a certain extent. 1. 7 Rate of employment Since the beginning of the 2000s,

The ICT sector has a major role on the labour market: In 2011 the ICT industry employed 94,800,

where employment did not fall to such a degree in 2009 but has been experiencing a rather erratic performance ever since.

It is noteworthy that sectoral employment rose significantly since the beginning of the 2000s, furthermore, it can boast one of the most dynamic rates of growth in employment compared to all sectors of the national economy.

Figure 12: The ICT sector by company size(%)2011. Source: Hungarian Central Statistical Office 1. 18 According to the OECD Information and Technology Outlook (2010), two out of the 250 TOP ICT companies founded a subsidiary in Hungary,

employed in the ICT sector, Hungary outperforms the United states, Germany and the average of OECD countries Hungary's rising employment in the ICT sector is aligned also with international trends.

however, that each of these countries has an outstandingly high relative proportion of ICT employment,

as the above results are explained largely by the sheer scale of the labour markets of the countries concerned.

Based on its share of ICT employment Hungary is 3rd in the ranking of OECD countries (after Sweden and Finland),

Share of ICT employment in business sector employment. Source: OECD Key ICT Indicators, 2012 8based on OECD data for 2009.0%2%4%6%8%10%Portugal Greece Spain Switzerland Austria Germany

direct and indirect cost of labour carried out by staff directly employed, using equipment directly owned less amortisation (research

It is interesting that 4%of respondent companies named doing research for the sake of research (be to be) as a motivating factor. 12 R&d employment:

then after a drop in 2008 the sector could once again start making a contribution to the increase in R&d employment.

The most dynamic increase in R&d employment took place in the ICT services sector compared to other branches of the national economy,

Rate of R&d employment increase in the ICT sector and other business sectors in 2005-2009.

%The growth in Hungarian ICT R&d employment is outstanding even in international terms. 9. 2 2. 7 4 11.4 0. 9 2. 7 2010

Relative proportion of ICT research and development professionals within the total R&d employment(%.%Source: Eurostat 0%5%10%15%20%25%30%Czech republic Poland Hungary Bulgaria Austria Germany 2007 2009 National Innovation Office RDI

While R&d employment within the ICT service sector is on the same scale for Poland, the Czech republic and Hungary in absolute terms,

Share of innovative businesses with at least 10 employees in various sectors of the national economy and in the manufacturing industry, 2008-2010.

The majority of the ICT sector's innovative companies with at least 10 employees (like the majority of other sectors) are engaged in product or procedural innovation and organisational or marketing innovation at the same time,

Share of innovative companies with at least 10 employees by type of innovation in 2008-2010.

there was significant growth also in the scale of overall ICT employment. 33 National Innovation Office RDI MIRROR-1. Review on the ICT Sector Summary 34 Speaking of expenditure,

Annual average labour productivity growth and ICT contribution to such growth in total industries, 1995-2008(%.

Share of ICT employment in business sector employment. Source: OECD Key ICT Indicators, 2012.19 Figure 14:

Rate of R&d employment increase in the ICT sector and other business sectors in 2005-2009.

Relative proportion of ICT research and development professionals within total R&d employment(%.%Source: Eurostat...25 Figure 24:

Share of innovative businesses with at least 10 employees in various sectors of the national economy vs manufacturing industry sectors, 2008-2010.

Share of innovative companies with at least 10 employees by type of innovation in 2008-2010.

and promote networking between RDI players u provide innovation management services u boost the innovation activity of SMES To promote these objectives, NIH works in close cooperation with other government agencies, ministries, bureaus, the Hungarian

Leporello_EN_20131202.pdf

Research and experimental development (R&d) comprise creative work undertaken on a systematic basis in order to increase the stock of knowledge, including knowledge of humanity, culture and society,

and its R&d activity is conducted by its own employees and its own infrastructure. R&d expenditure:

R&d current costs are composed of labour costs and other current costs excluding depreciation. Capital expenditure is composed of expenditure on land and buildings, instruments, equipment and computer software.

358 27 214 450 159 626 477 59 131 661 208 151 more than half of the nation's all researchers work in budapest.

Their most signiicant employer is the business enterprise sector. In Baranya Csongrád and Hajdú-Bihar counties because of academic research in their universities the number of researchers is high. 7393 4120 Budapest 14125 capita (FTE) Apart from Budapest 8894 capita

Income per employee of innovative and non-innovative enterprises in Hungary the average income per employee of enterprises with both technological and non-technological innovations*is two times higher than that of their non-innovative competitors

the survey is fully comprehensive for the companies working with more than 100 employees in the industry and service sectors,

and based on a sample in respect of the ones working with less then 100 (but min. 10) employees.

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