Increased expenditures

Definitions

Name and topic: Name: Norwegian Labour and Welfare Service - StatRes (discontinued)
Topic: Social conditions, welfare and crime

Responsible division: Division for Income and social welfare statistics

Definitions of the main concepts and variables

Key concepts within the resource input measured in NOK:

Own production: Basically consists of the sum of wage costs, the purchase of goods and services and capital costs. Data for capital costs, i.e. depreciation and imputed interest as a result of capital ties, are not available for the Labour and Welfare Service. This element is not therefore included in own production for this area. The basis for the published amount is item 1-29 in the national accounts.

Wage costs: Includes all expenses that the enterprises have in their capacity as employer, including social security contributions and pension premiums. The starting point for the size is reported amounts in item 1-29, sub-post 11-19, ref. R101. This includes employer's NI contributions, but not travel expenses or the purchase of cleaning services or other outsourced labour-intensive services. Recognised wage repayments are deducted.

Purchase of goods and services: Includes the value of used intermediate products and services in the production. The starting point for the size is reported amounts in item 1-29, sub-post 21-29, ref. R101.

Transfers: Covers contributions to the private sector, i.e. item 70-79 in the national accounts. Labour and Welfare Service occupies a special position in the public sector, in that this agency accounts for most of the national public sector’s total transfers, principally because this agency handles payments relating to the various social security schemes. The starting point for the published amount is the reported amounts in item 70-79, ref R101.

Investments: Acquisitions and major maintenance work in connection with property, or major acquisitions of assets with a long-term value. The starting point for the amount is the reported amounts in item 30-49, ref R101. Any revenues from corresponding sales are deducted.

Contracted man-years adjusted for long term leaves: The number of full-time jobs and part-time jobs calculated as full-time equivalents adjusted for doctor-certified sickness absence and maternity leave.

Activities/services:

No. of persons in employment initiatives (year average) : The statistics on initiatives cover those on employment and rehabilitation initiatives, and are classified in three groups:

Participants on ordinary initiatives
Reduced capacity for work
Other initiative participants

The group of other initiative participants was introduced in 2009 and covers participants who are not jobseekers and who do not have a reduced capacity for work. This mainly includes those with a need for sick leave follow-up, and also includes others who are not jobseekers.

Recipients of child benefit: Child benefit is given for children under 18 who are domiciled in Norway. In accordance with the EEA rules, child benefit is also paid for children who are domiciled in other EEA countries. This is applicable when the mother or father of the child works in Norway and is a member of the National Insurance Fund, but has lived in another EEA country together with the child.

Recipients of cash-for-care benefits: This arrangement was introduced for 1 year-olds on 1 August 1998 and for 2 year-olds on 1 January 1999. In order to qualify for this benefit, the child must not have a full-time place at a publicly subsidised kindergarten. According to the Cash Benefit Act, cash-for-care is payable for children aged 1-3 years for a maximum of 23 months, where the child does not have a full-time kindergarten place. The exception to this is for adopted children. Cash-for-care can be paid for adopted children up to school age, but the period of entitlement for these children is also 23 months.

Recipients of maintenance (December) : Recipients of advance payments of maintenance/child support payments. For recipients who have been granted advance payments, the advance is payable in the event that a child support payment by someone who has a requirement to pay such a payment is late or omitted, and in cases where the payment is lower than the advance.

No. of children under child support payment scheme: Advance payments of maintenance are payable for children under the age of 18 who do not live with both parents. The advance payment is means tested (as from 1 October 2003) based on the recipient’s income, civil status etc. One condition for receiving the advance payment is that the other parent (except in cases where the father is unknown) has agreed/will agree to pay such a contribution. The parent that does not live with the child has an obligation under § 67 of the Children Act to pay child support payments. This obligation normally continues until the end of the month when the child turns 18. Upon application, child support may be payable after the child turns 18 if it is attending upper secondary school.

Outcomes:

Recipients of unemployment benefit (year average): Unemployment benefit is paid to registered unemployed persons and partially unemployed jobseekers. Unemployment benefit may also be payable when a jobseeker is participating in an initiative.

Recipients of sickness benefit (as of 30 June): The number of persons receiving sickness benefit.

No. of persons with a reduced capacity for work (year average): This term replaced the term occupationally handicapped in January 2009. Persons with a reduced capacity for work covers the group that was previously described as occupationally handicapped, and other persons with a need for rehabilitation earlier in the sickness and rehabilitation compensation process. Persons who are considered for rehabilitation earlier (than before) in a sickness or rehabilitation compensation process will be subject to a needs assessment and capacity to work assessment, which will be registered in the Norwegian Labour and Welfare Service’s case administration system. Of these, some will begin the rehabilitation process earlier than would have been the case without an early capacity to work assessment, and some will start rehabilitation at around the same time as is standard. Both of these groups will be registered earlier as a &“person with reduced capacity for work´´ and in isolation, this will mean that the statistics will be made up of more persons with a reduced capacity for work than previously and that the increase will mainly relate to persons who have not yet started an initiative and persons for whom it is still too early to make a decision on the appropriate rehabilitation.

Recipients of disability pension: The statistics cover persons aged 18-66 who receive a disability pension. A disability pension provides a subsistence income for persons whose earning ability has been reduced in the long-term due to illness, injury or infirmity.

Old age pensioners (OAPs): The old age pension from the National Insurance Fund provides an income in old age. The statistics cover persons aged 62 and older in receipt of the old age pension. In order to receive this pension before the age of 67, the person must have accrued enough. It is possible to combine the old age pension with work without reducing the pension.

Recipients of contractual benefits (AFP): AFP is a voluntary early retirement scheme for persons aged 62 and older who work in areas that have wage agreements and where AFP forms part of the agreement. The scheme was introduced on 1 January 1989 as part of the wage agreement between the Norwegian Confederation of Trade Unions (LO) and the Confederation of Norwegian Enterprise (NHO), and at that time only applied to 65 and 66 year-olds within the LO/NHO area. The scheme was subsequently expanded several times and now covers persons aged 62-66 years in receipt of AFP. The statistics cover recipients in both the private and public sectors and are made up of five different AFP schemes.

This pension may be combined with work.

For 2009- 2012, NAV only publishes statistics on AFP recipients in the private sector and in Spekter. This is because NAV does not have enough recipients of the AFP in the public sector in the statistics for 2009 - 2012, but work is underway to rectify this situation. The situation arose mainly due to the lack of figures on new pensioners in the municipal sector, and NAV assumes that they have a deviation of around 5 per cent for the number of pensioners in total. This is due to incomplete reporting of new AFP recipients in the municipal sector.

Recipients of supplementary benefit: The statistics cover persons aged 67 and older who receive supplementary benefit. Supplementary benefit is given to persons who receive little or no old age pension. In total, any income and benefit shall correspond to the National Insurance Fund’s minimum pension.

Recipients must be domiciled in Norway in order to receive this benefit.

No. in receipt of basic benefits: The statistics cover persons in receipt of basic benefits. The benefits aim to cover the necessary extra expenses relating to illness, injury or infirmity. There are 6 different rates of basic benefits, and these are normally regulated on 1 January every year. There is no age limit for these benefits generally speaking, except for the benefit for transport, which is not given if the extra need arises after a person turns 70.

No. in receipt of auxiliary benefits: The statistics on auxiliary benefits cover persons in receipt of auxiliary benefits. The benefits aim to provide financial compensation for expenses relating to special supervision or care due to long-term illness, injury or infirmity. The benefits are only payable where care is provided privately. Auxiliary benefits are paid in line with standard rate 1 (no age limit) and 3 different rates for extra auxiliary benefits to children and young persons under the age of 18. In addition, there is a rate 0 for persons in receipt of benefits according to the old scheme for help at home.

Recipients of work assessment allowance: The statistics cover persons aged 18-67 in receipt of a work assessment allowance. This allowance aims to provide income in a transitional period where, due to illness or injury, a person has a need for employment initiatives, medical treatment or other follow-up by NAV in order to return to work.

Recipients of work assessment allowance who receives following up decisions: nav.no

Related figures:

Employed 15-74 years: This is the year average from Statistics Norway’s Labour Force Survey.

Unemployed 15-74 years: This is the year average from Statistics Norway’s Labour Force Survey.

Registered unemployed (NAV figures, year average): Covers all ordinary jobseekers who have not had income-earning work in the past two weeks.

Standard classifications: Expenses are mainly classified according to the definitions in the IMF’s Government Finance Statistics Manual 2001 (GFSM2001). In some cases, the definitions are deviated from in order to give a more realistic picture of the resource use.

Administrative information

Background

Background and purpose

The aim of StatRes is to develop and disseminate statistics and indicators of a high quality on resource input, activities, services, production and results of public sector activities. Public sector activities in this context are limited to central government. StatRes is pivotal to the development of statistics on the public sector, and aims to represent a framework for further developing the statistics that cover central government.

The first publications in StatRes were published in autumn 2007. The Norwegian Labour and Welfare Service was included in StatRes in 2009, with number series dating back to 2006.

Users and applications: The target group for StatRes are statistics users who have some previous knowledge of and interest in public sector activities and who, for a variety of reasons, have an interest or need for information about the amount of resources the public sector uses, what the input of resources provides in the form of activities and services in the different public sector activities and what can be seen as the results of the input of resources. These may be interested voters or taxpayers, the media, the authorities, public administration, researchers, industry organisations, school pupils or students. It is also a goal that StatRes should be able to give the authorities information that supplements the information used in the day to day management of the various public sector activities.

Coherence with other statistics: The statistics should be seen in context with Statistics Norway’s specialist subject statistics in the area and NAV’s own statistics.

Legal authority: Statistics Act § 2-1, 2-2, 3-2 (Questionnaires/registers).

EEA reference: Not relevant.

Production

Population: The population is the state-owned part of the Norwegian Labour and Welfare Service.

Data sources and sampling

Benefit statistics : Statistics Norway receives data from the Norwegian Labour and Welfare Directorate.

Unemployed person statistics and number of persons on labour markets initiatives :

Statistics Norway receives data from the Norwegian Labour and Welfare Directorate.

Resource input measured in NOK : the data basis is taken from the Government Agency for Financial Management’s basic data for formulating White Paper no. 3 &– the national accounts.

Personnel indicators : Statistics Norway’s register-based personnel statistics are based on individually-based register data from various registers. Information on employment conditions are taken from the Register of Employees (NAV) and the Register of Wages and Deductions. The Central Coordinating Register of Legal Entities and the Register of Business Enterprises provide details of industries and sectors for enterprises and underlying businesses. In addition, the Norwegian Labour and Welfare Service's registers of persons on labour market initiatives, recipients of maternity pay and cash benefits, as well as Statistics Norway's register of certified sick leave are also used.

Full census.

On January 2009, The Norwegian Health Economics Administration (HELFO) was transferred from NAV's area of responibility and placed under The Norwegian Directorate of Health. The population has therefore changed since 2009.

Collection of data, editing and estimations

Personnel indicators : Data collection is done from several registers (see 3.2. Data sources).

Resource input measured in NOK : the data basis is taken from the Government Agency for Financial Management’s basic data for formulating White Paper no. 3 &– the national accounts.

Benefit statistics and number of persons on Labour markets initiatives : These statistics are prepared by NAV. See point 3.2 above for more about data collection.

Resource input measured in NOK : Resource input measured in NOK: The basic data obtained from the Government Agency for Financial Management (SSØ), which it uses to prepare the Report to the Storting (white paper) No. 3 - National Accounts, is checked against the printed edition of Report to the Storting No. 3.

Personnel indicators : For the three registers that are primarily used as a basis for Statistics Norway’s personnel statistics, control and revision is done in the following way: NAV carries out an annual check on its employee register. A selection of the employers who report manually are sent lists of all the persons they have reported as being actively employed. Errors are then reported to NAV. Statistics Norway checks that enterprises with several companies have a separate number for each company. NAV and Statistics Norway check that the employees are linked to the correct company. Statistics Norway also checks the employee register against the register of pay and deductions statements, the ARENA register etc. Some types of errors are also corrected directly in the basic data for the personnel statistics. In the case of StatRes-NAV the limitation of the population for each year is checked.

Resource input measured in NOK :

This is calculated in the same way as for other areas of activity in StatRes, where the accounts data sent from the Government Agency for Financial Management forms the data source. As well as the information that is in the printed edition of Report to the Storting No. 3 - National Accounts, the basic data also includes information about which agencies have reported the various amounts and which sub-items have been used.

In 2007 and 2008 it was section 0605 Labour and Welfare Service in the national accounts that represented the organisational limitation of NAV. For 2006 the organisation of this area was different and the sections that then represented the organisational limitation were 605 Labour and Welfare Administration, 630 Aetat and 2600 Social Security. The expenses in these sections represent the majority of the published amounts in Own production and Investments. Also included are payments to individuals in the form of employment incentive schemes, redundancy payments, war pensions, cash support, child benefit and all pensions and other benefits in the National Insurance Scheme’s sections. This represents the majority of the published amounts in Transfers for Labour and Welfare Service (and Aetat and Social Security in 2006). The figures from the different sections, items and sub-items are summed up and grouped based on circular 101 (R101) from the Ministry of Finance. Entries for repayment of wages are regarding as wage reductions and not income in the way that the relevant amounts have been entered. When calculating the resource input relating to wages, Statistics Norway has therefore subtracted an amount corresponding to the amounts entered as repayment of wages.

Personnel indicators :

Contracted man-years adjusted for long term leaves are calculated by Statistics Norway as the number of full-time jobs and part-time jobs calculated as full-time equivalents adjusted for doctor-certified sickness absence and maternity leave. Contracted man-years are calculated as percentage of normal full time job (37.5 hours per week). This is done on the basis of working hours at the reference date, which is the third week in November in the statistical year, which is assumed to be representative for the whole year. The number of contracted man-years adjusted for long term leaves will not be identical with the man-years actually worked, since the statistics do not capture overtime, self-certified sickness absence, holiday or other deviations from agreed working hours other than doctor-certified sickness absence and maternity leave.

Confidentiality: Not relevant.

Comparability over time and space: Figures from and including 2006 are presented in StatRes. However some of the statistics, including from NAV, may be found with longer time series. As from 2009, the following statistics are no longer published: Persons on ordinary initiatives, Persons with occupational disabilities on initiatives, Benefit recipients, Recipients of contractual pensions, Surviving spouses with pension/transitional benefit, Users of technical aids, Single, divorced and separated providers with support for child supervision not combined with pension/transitional benefit, Surviving spouses with support for child supervision not combined with pension/transitional benefit, Women with parental payments in the year, Child pension recipients, Persons with pension/transitional benefit as former family carer. The following are also no longer published: Recipients of rehabilitation support, Invalidity benefit for a defined period, Temporary invalidity benefit. This is also connected with the introduction of new schemes in NAV, including the work assessment allowance in 2010.

Accuracy and reliability

Sources of error and uncertainty

Resource input measured in NOK:

The Labour and Welfare Service keeps its accounts in accordance with the rules of the central government’s appropriation regulations, including circular R101. The Office of the Auditor General of Norway carries out controls to ensure that the accounting is in accordance with these rules. Errors in the accounts data in relation to these rules are only expected to be marginal. However, the accounts data has certain weaknesses as a tool for measuring resource input in NOK, in that the capital stock is not capitalised and depreciated, and no costs are registered in connection with the binding of government capital brought about by the agency. Accounting according to the cash accounting principle instead of the accruals principle has relatively marginal consequences for the measured levels of the various amounts and is not therefore considered to represent a source of error.

Personnel indicators:

The data quality concerning the very shortest and most sporadic periods of employment will be poorer than for employment that has been reported to the employee register. For persons who are defined as employed only on the basis of information from Register of Wages and Deductions, the employment is not dated. This accounts for 1.3 per cent of agreed man-hours excluding long absences in the population in 2008. For some of these, information is obtained from other registers so as to put a date on the period of employment. For the remainder, information about amount of wages is used as a basis for determining whether a person is considered to be employed. There is thus a certain degree of uncertainty whether all Register of Wages and Deductions employment was actually active on the reference date for personnel statistics (third week of November).

Benefit statistics:

Women’s steadily increasing labour force participation has affected the statistics for certain benefit areas. This should be taken into account when using long-term statistics.

Not relevant.

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Norwegian Labour and Welfare Service - StatRes (discontinued), 2008

About the statistics

Definitions

Administrative information

Background

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Accuracy and reliability

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Norwegian Labour and Welfare Service - StatRes (discontinued), 2008

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About the statistics

Definitions

Administrative information

Background

Production

Accuracy and reliability

Find more figures