Unemployment is Lower Among Women and Continues to Decline – But What Do the Numbers Conceal?

According to the National Statistics Office of Georgia, the unemployment rate in the fourth quarter of 2024 stood at 14.2%, marking an annual decrease of 1.1 percentage points.

The unemployment rate among men was 16.7%, while for women, it was 11.1%. However, this does not mean that women have a better position in the labor market. The unemployment rate only accounts for individuals actively seeking employment, while those who have temporarily or permanently withdrawn from the labor force due to economic or social reasons are not reflected in the statistics. Many women stop looking for jobs due to household responsibilities, structural barriers, and limited career opportunities, reducing their economic activity. Additionally, many women are employed in the informal sector, where their income and working conditions are often unstable.

The unemployment rate is determined by the percentage of people in the labor force (either employed or actively seeking employment) who are unemployed at a given time. However, to fully assess the labor market, it is essential to examine the labor force participation rate, which indicates what proportion of the population is economically active. In the fourth quarter of 2024, the labor force participation rate for women was 45.1%, while for men, it was 66.3%. This highlights that employment and unemployment rates do not fully capture women’s real economic activity—many women may have simply stopped looking for jobs, excluding them from the unemployment statistics. A low participation rate among women also points to restrictions in professional development that hinder their career advancement.

The difference in employment rates between men and women remains significant. The employment rate for women increased by 1.7 percentage points, while for men, it grew by 0.4 percentage points. Nevertheless, men still have a significantly higher employment rate compared to women. The employment rate reflects the percentage of economically active people who are employed, meaning it indicates the structural state of the labor market. This once again emphasizes that a lower unemployment rate for women does not necessarily mean an improvement in their employment conditions—many may not be economically active at all, leaving them without income and social security. Moreover, women’s employment is often concentrated in informal and temporary jobs, increasing their economic vulnerability and limiting opportunities for career growth.

Therefore, when assessing unemployment and employment rates, it is crucial not only to rely on numbers but also to consider structural labor market issues that place men and women in different conditions. A low unemployment rate may seem like a positive trend; however, if it is driven by people stopping their job search rather than real employment growth, it merely indicates a decline in economic activity.