## Labor Force Participation in Romania

_Selected Issues Papers, December 13, 2023_

## Source details

**Canonical URL:** [Labor Force Participation in Romania](https://www.imf.org/en/publications/selected-issues-papers/issues/2023/12/13/labor-force-participation-in-romania-542446)

## Other formats

- [Markdown version](/en/publications/selected-issues-papers/issues/2023/12/13/labor-force-participation-in-romania-542446/index.md)
- [Structured JSON version](/en/publications/selected-issues-papers/issues/2023/12/13/labor-force-participation-in-romania-542446/index.json)
- [Bundle manifest](/en/publications/selected-issues-papers/issues/2023/12/13/labor-force-participation-in-romania-542446/bundle-manifest.json)

## Bibliographic details
- Authors: Florian Misch, Alexander Pitt
- Published: December 13, 2023
- Series: Selected Issues Papers
- DOI: https://doi.org/10.5089/9798400263651.018

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### Summary
- Labor force particiaption (LFP) in Romania is—at 66.8 percent in 2022—significantly lower than the EU average, especially among women and less educated people.
- With a declining working-age population, rasing LFP could yield signifcant benefits including by boosting long-term growth, mitigating the fiscal impact of an ageing society, and reducing inequality.
- Key policies to boost LFP include provision of affordabel high-quality childcare, and improving education standards.

### Key findings
- Current LFP level: 66.8 percent in 2022.
- LFP is notably lower than the EU average, with particularly large shortfalls for women and less educated people.
- Demographic pressure: a declining working-age population makes raising LFP a priority to support growth and fiscal sustainability.
- Distributional effects: raising LFP can help reduce inequality.

### Policy recommendations
- Expand provision of affordabel high-quality childcare to increase female labor force particiaption.
- Improve education standards to raise participation among less educated groups and support long-term labor supply.

### Thematic tags (as listed)
- Aging, Education, Gender, International organization, Labor, Labor force participation, Monetary policy, Population and demographics, Women

*Labor Force Participation in Romania, Selected Issues Papers, December 13, 2023.*

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## Content in this bundle

- **Labor Force Participation in Romania; Selected Issues Paper No. 2023/062; November 16th, 2023**
  - [Labor Force Participation in Romania; Selected Issues Paper No. 2023/062; November 16th, 2023 (Markdown version)](/-/media/files/publications/selected-issues-papers/2023/english/sipea2023062.pdf.md){rel="alternate" type="text/markdown"}
  - [Labor Force Participation in Romania; Selected Issues Paper No. 2023/062; November 16th, 2023 (PDF)](/-/media/files/publications/selected-issues-papers/2023/english/sipea2023062.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/selected-issues-papers/issues/2023/12/13/labor-force-participation-in-romania-542446_