Corresponds to the GDP at current prices (nominal) divided by total employment (EMP). Data on GDP are based on million purchasing power standards (PPS) at current prices, while labour input is measured by the number of employed persons based on the domestic concept. Figures are shown as an index, where EU-27 is set to 100. An index of a country above 100 indicates that this country's total economic activity in nominal prices per employed person (regardless full-time or part-time status) is higher than the EU average.
The nominal unit labour cost (NULC) index is defined as the ratio of labour cost to labour productivity, where labour cost is the ratio of compensation of employees (current prices) to hours worked by employees, and labour productivity is the ratio of gross domestic product (at market prices in millions, chain-linked volumes reference year 2015) to total hours worked. Data on employment are presented according to the domestic concept used in national accounts. The MIP Scoreboard indicator is the 3-year percentage change. Input data are obtained from the official national accounts' country data, through ESA 2010 transmission programme. The indicative threshold is 9% for the euro area countries and 12% for the non-euro area countries.
Gross domestic product (GDP) is a measure for the economic activity. It is defined as the value of all goods and services produced less the value of any goods or services used in their creation. GDP per person employed is intended to give an overall impression of the productivity of national economies expressed in relation to the European Union average. If the index of a country is higher than 100, this country's level of GDP per person employed is higher than the EU average and vice versa. Basic figures are expressed in PPS, i.e. a common currency that eliminates the differences in price levels between countries allowing meaningful volume comparisons of GDP between countries. Please note that 'persons employed' does not distinguish between full-time and part-time employment. Labour productivity per hour worked is calculated as real output per unit of labour input (measured by the total number of hours worked). Measuring labour productivity per hour worked provides a better picture of productivity developments in the economy than labour productivity per person employed, as it eliminates differences in the full time/part time composition of the workforce across countries and years.
The nominal unit labour cost (NULC) index is defined as the ratio of labour cost to labour productivity, where labour cost is the ratio of compensation of employees (current prices) to hours worked by employees, and labour productivity is the ratio of gross domestic product (at market prices in millions, chain-linked volumes reference year 2015) to total hours worked. The MIP indicator is expressed as the one-year percentage change. Data on employment are presented according to the domestic concept used in national accounts. Input data are obtained from the official national accounts' country data, through ESA 2010 transmission programme.