Employment rate

Employment rate

The percentage of the labor force that is employed. The employment rate is one of the economic indicators that economists examine to help understand the state of the economy. See also: Unemployment rate.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Employment Rate

The number of persons who have jobs, expressed as a percentage of the total workforce. The employment rate is not used as commonly as the unemployment rate but it is still an important indicator of the state of the wider economy. It is a lagging indicator; that is, following a recession, the employment rate tends not to grow to any significant extent until the remainder of the economy has recovered. This is because of the high risk and expense of creating jobs.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
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