TURKMENISTAN: EMPLOYMENT OF WOMEN WITH CHILDREN AND CHILD POVERTY

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1 1 UNICEF Innocenti Research Centre Piazza SS. Annunziata, 12, Florence, Italy website: www. unic ef.org/irc g Tel: Fax: TURKMENISTAN: EMPLOYMENT OF WOMEN WITH CHILDREN AND CHILD POVERTY Co-ordinator: D.B. Bairamov National Institute of State Statistics and Information of Turkmenistan MONEE Country Analytical Report 2003 The opinions expressed are those of the authors and do not necessarily reflect the policies or views of UNICEF

2 2 NATIONAL INSTITUTE FOR STATE STATISTICS AND INFORMATION OF TURKMENISTAN EMPLOYMENT OF WOMEN WITH CHILDREN AND CHILD POVERTY TURKMENISTAN 2003

3 3 CONTENTS 1. Formation of the family 2. Economic activities and the labour market. Employment of women 3. State support for families with children 4. Material provision for children 5. The national programme Strategy for the economic, political and cultural development of Turkmenistan for the period up to 2020 : prospects in the spheres of employment and incomes of the population

4 4 1. Formation of the family The dynamics of the age structure of men and women show that Turkmenistan has a favourable demographic situation and a growing population. People below working age constitute 37.4 per cent, of the working age 56.6 per cent and only 6 per cent of the population are of pensionable age. The high proportion of young people ensures a stable increase in labour resources and a high birth rate. Women make up 50.3 per cent of the population, this percentage being virtually the same among the urban and rural populations. Overall, the gap between the male and the female populations in Turkmenistan is decreasing. In the early 1990s, for instance, the difference was about 48 thousand people, by 2002 it had dropped to 27 thousand. This closing of the gap is mainly a result of a fall in the men death rate. Place of residence also has an indirect bearing on the sex structure of the adult population. There are 933 men for every 1000 women in urban areas, while the respective figure for rural communities is 986. The objective reason for this is the different levels of development in the labour sphere. In towns, there are more jobs available for men and the educational and social infrastructures attractive to young people are more developed. In addition, migratory mobility is largely characteristic of the male part of the rural population, especially young men. The marital status of rural women is more favourable than that of urban ones. This is because, in indigenous families, the institution of marriage is extremely stable and divorces are rarer. For instance, in the 1990s, there were 2.5 divorces per 1000 inhabitants in urban areas: the figure for rural areas was 0.1. Overall, during this period a general trend was observed in Turkmenistan towards a fall in the number of divorces, in both urban and rural families, and this has had a positive effect on the development of family and marital relations and the position of women. According to the 1995 full population census data for Turkmenistan, the share of married women was 61 per cent in urban areas and 67 per cent in rural ones. The population census data showed that a high percentage of women who had never been married was found mainly in the years (59.2 per cent) and years (28.2 per cent) age groups. The situation was similar among the male population. This reflects young people s responsible approach to starting a family: they lay the necessary material basis first. As a rule, after finishing secondary school at the age of 16 or 17, young people spend 3 to 5 years training for a profession, looking for a job and achieving a certain income for supporting a family. It should be noted that, in rural areas, where traditionally young families mainly live together with their parents in extended families, the marriage age is a year or two lower than among the urban population. Living together and a common budget eases the material situation of young families and allows them to marry much earlier. In recent years, a drop has been observed in the number of officially registered marriages. In 1995, there were 7.4 marriages per 1000 of the population, but in 2002 fewer than 5.8. This does not, however, indicate a drop in the number of actual marriages entered into. Due to the revival of ethnic marriage customs, religious wedding ceremonies have become common. According to the household sampling survey, carried out by the National Institute for Statistics and Information of Turkmenistan and the United Nations Population Fund (UNFP) in the first half of 2003, to study the reproductive behaviour and attitudes of the population, 1.5 per cent of women of reproductive age

5 (15 49 years) are in common-law marriages. It should be noted, however, that this number probably also includes polygamous marriages. 5 Even so, the majority of marriages are legally registered. The Code of Turkmenistan on Marriage and the Family guarantees women equal and joint decision-making with their spouses on matters of child upbringing and problems of family life, and the Civil Code protects women s interests in inheritance and the division of property between spouses after a divorce. These and other enactments are aimed at maintaining the high level of family affiliation among the country s population. Marriage and the family constitute the social institutions through the socioeconomic conditioning of demographic processes, especially the birth rate, is manifested. The policy of the state and public (non-governmental) organisations is to strengthen the family as a social institution, increase the advantages and attractiveness of family life, and emphasise the usefulness of children for parents. During the initial stage of the transition to a market economy in Turkmenistan, the state tried to influence the reproductive behaviour of the population by traditional methods of social policy through a system of benefits and allowances, but today it promotes an increase in the number of families living on their own incomes (from employment, commercial activities, etc.). It should be noted that, under current conditions, the traditional demographic policy of using incentives, such as benefits and allowances, for increasing the birth rate does not produce the required effect. The majority of families have children in accordance with their own preferences. The present-day reproduction pattern is largely determined by the quite stable traditions of the people in Turkmenistan. Alongside the continuing tradition to have many children, it is still a widespread custom for older and younger generations to live in extended families. These factors naturally facilitate maintaining the quite high birth rate. 2. Economic activities and the labour market. Employment of women The reasons for inequality between men and women on the labour market are mainly associated worldwide with differences in educational levels and remuneration, with an unequal distribution by sectors of the economy and professions, the conflict between professional and family roles, household problems and unpaid housework. All this reflects on the opportunities for selffulfilment of men and women, their professional careers and choice of lifestyle. According to Article 31 of the Constitution of Turkmenistan, all citizens have the right to work, to choose a profession, type of occupation and place of work at their own discretion. People who are employed have the right to a remuneration corresponding to the quantity and quality of their work. The favourable demographic situation in Turkmenistan promotes a growth of labour resources. In 1991, for example, the share of the able-bodied people in the population was 50 per cent, while in 2002 it was 56 per cent. Under the conditions of the country s changing political, economic and social systems, the inflow of young people into the labour force has become exceptionally important. During the years of independence, the proportion of young people between the ages of 16 and 24 in labour resources has risen by 30 per cent. The scale of the structural transformations in branches of the economy has ensured a rise in employment (by 40 per cent from 1991 to 2002). The creation of the conditions for a multi-sectoral economy and implementation of the privatisation programme have facilitated a redistribution of manpower from state enterprises and organisations into the non-state sector (Annex, table 1). From 1991 to 2002, the share of the workforce employed in the state sector of the economy dropped from 56 per cent to 32.5 per cent. The number of workers in the non-state sector rose by 50 per cent over the same period.

6 6 Measures designed to promote and encourage enterprise have led to a sixfold increase in the number of people engaged in micro-business (enterprises without the formation of a legal entity physical entities) compared to More than 54 per cent of the population of Turkmenistan live in rural areas, with the result that a high, and rising, proportion is engaged in agriculture about 49 per cent (Annex, table 2). This has been facilitated by the land reform (transfer of the land to private ownership, development of various forms of tenancy) and benefits granted by the state to agricultural workers. Women make up 49.5 per cent of the overall labour resources, 42.6 per cent of the economically active population and 44 per cent of those engaged in the economy. Share of women in labour resources ( ) engaged in the households including: secondary school and tertiary level students economically inactive looking for a job non-state sector state sector economically active labour resources Source: Turkmenmillikhasabat, Balance of labour resources. Employment in the state sector of the economy (where the share of women is 44 per cent) ensures a high proportion of women employed at large and medium-size enterprises ( more than 40 per cent). The distribution of working women by branch of the economy has its own special features (Annex, table 3). Several main sectors should be identified in women make up half or more of the entire workforce. These are health care and social security services, education, culture and art. In industry, the light and food industries are considered to be predominantly female ones. Construction, transport and the extraction industries, owing to their production characteristics, are traditionally considered to be largely male ones and the share of men in them exceeds 70 per cent. In Turkmenistan, women have a broad range of opportunities for participating in the country s socio-political life. Women currently hold 26 per cent of the seats in Parliament (the figure for the first few yeas of independence was 18 per cent). In terms of the number of women in Parliament, Turkmenistan ranks among the top twenty of the 180 UN member-states. In management and in government bodies, women hold mainly medium-level posts, where they account for about 30 per cent (2002). It should be noted, however, that there is an unfavourable tendency for the share of women in such bodies to fall (the 1991 figure was 42.2 per cent).

7 According to the Employment and labour market survey carried out jointly by Turkmenmillikhasabat and the UNDP in 2001, the level of economic activity among women of working age (16 57 years) is 85 per cent, of men (16 62 years), 92 per cent. These are quite high indicators of the population s labour activity. As the Survey has shown, adolescents of 14 to 15 years of age are mainly engaged in study, only 5.4 per cent of pensioners work, and more than half of the able-bodied people are engaged in officially registered work. It is mainly the women of child-bearing age, who, as housewives and mothers, do not have an officially registered occupation status. They account for 36.4 per cent of the able-bodied population, while young people (up to the age of 24), for 48.9 per cent. The employment situation is more acute in towns than in rural areas. A large proportion of the able-bodied population are employed: 84 per cent of men and 81 per cent of women. The self-employed include employers, entrepreneurs who do not become a legal entity (individuals, working under patents microbusiness). Women account for only 30 per cent of employers, but for 62 per cent of individual entrepreneurs. The entrepreneurial undertakings of women do not, as a rule, go beyond the traditional spheres of women s activities. 7

8 8 DIAGRAM distribution of respondents aged 14 and over according to employment status Economically inactive 46% Engaged in the economy population; informal sector; people looking for a job 54% Main employment Including 3.5% Supplementary employment Pensioners 12.7% Students 8.7% Informal activities 14.2% Disabled persons 2.3% Others 30.3% Not seeking work 4.0% Engaged on private allotment 19.1% Engaged in the household 11.2% Seeking work 7.2% Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, The employment of the population in urban and rural areas differs somewhat. Townspeople are engaged more in the state sector, while country people in peasants associations. The survey did not reveal significant differences in the level of employment between men and women. Their employment in enterprises of the various forms of ownership is roughly the same.

9 9 Structure of the employment of men and women ( the workforce) Women Men State Joint ventures, foreign-owned Public organisations Peasants' associations Enterprise under patents or licences Family Co-operatives, associations Consumer co-operatives Daikhan Other Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, The structure of professional employment corresponds to the structure of the workforce, but men predominate on the managerial level and women among the medium-levels specialists. Structure of the professional composition of the employed (%) Women 1,3 13,8 21,7 0,7 42,1 1,5 18,9 Men 2,8 12,9 33,4 1,4 31,3 4,4 13, Top-level managers Employees Members of peasants' associations Others Engineers and technicians Entrepreneurs Self-employed Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, 2001.

10 10 The gender breakdown employment in different sectors is traditional: men predominate in industry and women in agriculture and the services. Sector structure of the employment of men and women, % ,1 37,9 Men 6,9 42,1 8,4 44,3 1,5 Women 45,8 Industry Agriculture Construction Services Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, A considerable degree of stability is characteristic of the employed population of Turkmenistan. About 75 per cent of the employed have steady jobs, 5 per cent work under contracts and 20 per cent do seasonal work in agriculture. The best guarantees of employment are provided by state enterprises. According to the Survey, 92.7 per cent of those employed in the state sector have steady jobs, 4.6 per cent work under contracts and 2.3 per cent have seasonal jobs. The contractual form of employment is more common in foreign-owned enterprises and joint ventures, where the share of those employed under contracts is 38.6 per cent of all employees. The Survey has shown that the share of those employed who also have supplementary jobs is not high in Turkmenistan 3.5 per cent. Moreover, it is somewhat higher in rural areas (4.5 per cent) and lower in urban ones (2.0 per cent). The employed people who also have supplementary jobs usually work at family enterprises, in peasants associations, under patents or licences and in the informal sector. Structure of supplementary employment of the working population (%) State enterprise Family enterprise Peasants' association Entrepreneurial activities under patent Other official types of activity Informal activities (including tilling personal allotments) 10 0 town country Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, 2001.

11 11 In urban areas, there are broader opportunities for engaging in different types of activity, including transport, educational and consumer services and trade. In rural areas, these are work on a personal land allotment, in trade and the provision of various types of consumer services. Supplementary employment is mainly of seasonal nature. In towns, this was noted in the answers of 58.3 per cent of working respondents; in rural areas, of 76.8 per cent. People with a steady supplementary job spend on it on average about 20 hours a week, while seasonal workers are engaged 8 months of the year. The same proportion of men and women have supplementary jobs. The reasons for not undertaking supplementary work, the respondents noted, come down mainly to: 1) difficulty in combining the main and supplementary jobs; 2) difficulty in finding a supplementary job; 3) no need, sufficiently well off. Reasons for not undertaking a supplementary job,% , , ,5 2,6 7,6 5,3 2,9 2,8 0 Materially provided for Impossibility of combining the main job with a supplementary one Health Difficulty in finding a supplementary job Lack of work experience and training Lack of funds for starting own business Lack of conditions for production Don't know Other Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, More than 94 per cent of households in rural areas have allotments and so do 29 per cent in urban areas. On average, each household in Turkmenistan has 1.08 hectares of land. In urban areas, the figure is 0.39 ha and in rural 1.29 ha. The distribution of allotments according to the number of people in the household means that larger allotments belong to larger households (with many children).

12 Land ownership by households of different sizes, % persons 4-6 persons 7-9 persons more than 10 persons VII -more than 5 ha VI - from 1.0 to 5 ha V - from 0.32 to 1.0 ha IV - from 0.25 to 0.32 ha III - from 0.12 to 0.25 ha II - from 0.06 to 0.12 ha I or less Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, Apart from land cultivation, many households keep animals. More than 55 per cent of the households responding to the questionnaire indicated that they keep various cattle and poultry. In urban areas, 26.9 per cent of households answered in the affirmative and in rural areas 83.4 per cent. The larger the number of people in the household, the higher the indicator for the head of cattle and poultry kept. Share of households keeping cattle and poultry ( households of various sizes) Composition of household 33,8 59,8 74,2 71,3 1-3 persons 4-6 persons 7-9 persons 10 or more persons Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, On average, in Turkmenistan there are 2.7 cattle, 12.9 sheep or goats, 2.6 camels, 17.1 poultry and 2 other animals per household. The structure of the numbers of cattle and poultry vary somewhat from velyat to velyat. An affirmative answer to the question: Do you produce output on your personal allotment? was given by 62.1 per cent of households. Moreover, 92.6 per cent of those who said

13 Yes own land. Only 7.4 per cent of households having land replied that they do not use it for producing output. In rural areas, 92.2 per cent of households produce output on their personal allotments. 13 The elimination of various restrictions on the number of animals kept on a personal allotment and the absence of taxes have facilitated a transition from subsistence production on it to commodity production. The profit gained by the rural population from the sale of output from their personal allotments grows by the year. Households produce output on their personal allotments not only for their own consumption, but also for sale on the market in order to obtain a cash income. The volume of sales depends on the type of product. Share of personal allotment output sold on the market (%) , , , , ,2 26,7 32,9 32,7 21, Meat Milk Wool Cocoons Eggs Vegetables Fruit Grain Melons Potatoes Grapes Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, The products most in demand are cocoons and wool, of a substantial proportion is sold. The people also sell considerable amounts of the meat and milk they produce. More than half the households keep up to 50 per cent of the dairy products they produce for their own consumption, as well as 53.9 per cent of the eggs, 50.7 per cent of the vegetables, 55.9 per cent of the fruit, 61.1 per cent of the grain, 52.2 per cent of the potatoes and 49.2 per cent of the grapes. On the basis of a questionnaire survey, the interconnection between the size of the household and the share of products sold was analysed. These indicators differ by type of product. For the main products (meat, milk, eggs, vegetables, potatoes and grapes), the pattern is that the more members the household has, the smaller the share of the output that is sold. The commodity nature of output can be inferred from the interconnection between the size of the allotment and the volume of sales. People having 0.32 to 1 ha of land, sell more than 50 per cent of the meat, over 20 per cent of the milk, 75 per cent of the wool, 50 per cent of the eggs, and 50 per cent of the vegetables, fruit, melons and grapes they produce.

14 Thus, the existence of registered allotments, cattle and poultry and the commodity nature of the output produced by households thus means that this activity is a legal, officially recognised form of occupation. The informal sector of the economy (IS) includes the work carried out by the people that is not officially registered. The main reasons for this are a shortage of jobs in the formal sector, the need for supplementary income and, in some cases, tax evasion. The questionnaire survey of households showed that, at present, 14 per cent of the population are engaged in the informal sector, mainly unemployed able-bodied people. The educational level of those engaged in the IS is not high: 70 per cent have a general secondary education, 14 per cent a specialised secondary education, and 4 per cent a higher education. The lack of professional training greatly reduces the people s chances of finding work in formal and informal sectors of the economy. Among people with a general secondary education, the level of paid employment is rather law or non-existent, prods them to engage in informal activities. Their informal sector activities are quite limited, however, owing to their lack of professional skills, and consists of simple, unskilled labour. In Turkmenistan, the informal sector activities have traditionally been restricted to folk arts and crafts. Recently, however, as market relations have developed, they have expanded considerably and, in addition to the production of carpets, embroidered and knitted items, there emerged other occupations such as construction and repairs to premises, transport services, car and home appliances repairs, baking, paid medical and educational services, musical services, housekeeping, laundry and so on. Who primarily engages in an informal sector activity depends on the type of activity. For instance, the carpet making and embroidery are traditionally female occupations, while construction, repairs and decorating are a male sphere, and so on. The questionnaire survey showed that 95 per cent of those engaged in the informal sector are people of working age, including 33.5 per cent who are young people up to the age of 24. Overall, 43 per cent of the population employed in the informal sector are men and 57 per cent -- women. More than 44 per cent are townspeople and 56 per cent country people. Thus, the most diverse categories of workers are involved in informal sector activities. People engaged in the informal sector of the economy ( ) unemployed able-bodied people employed 26 schoolchildren, students 64 pensioners disabled persons Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, 2001.

15 The level of remuneration for people with secondary-level and tertiary-level qualifications is quite high and this clearly does not encourage them to work in the informal sector of the economy. As a rule, informal activities of professionals are supplementary to their main jobs and are intermittent in nature. In Turkmenistan, the economically inactive population is represented by people running households, students, schoolchildren, pensioners of working age and other such categories. Housewives make up 75 per cent of the unemployed population. The greatest value for a Turkmenian woman has always been the family and children. Owing to the reproductive function, the high birth rate and existing traditions, many women are housewives and engage in bringing up children. As women s social function is deemed very important and held in high esteem, it allows them to determine their own status in the employment sphere: to work or not to work, while the state provides them with social guarantees. 15 Gender composition of the economically inactive population of Turkmenistan 100% 80% 60% 40% 20% 0% Students/schoolchildren Pensioners Running households Other caterories Women Men Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, The high proportion of women among pensioners of working age is connected with the fact that mothers of large families can receive their pension at an earlier age. In addition, the average life expectancy of women is 6.9 years (2002) longer than that of men. The labour market The large scale socio-economic changes in the country have led to the formation of a labour market. This includes people actively looking for a job. In Turkmenistan, in 2002, this category of people officially registered on the labour exchanges ( were set up in 1997 in all parts of the country) numbered about 57 thousand people, or 2.5 per cent of the economically active population (3.0 per cent of men and 2.2 per cent of women). Of these, 36.2 per cent are women. Sources for the formation of the labour market are most varied. Among citizens registered at the labour exchanges, it is those who have left their previous jobs voluntarily that predominate (69 per cent).

16 16 The problem of job-hunting is greater for men (36.3 thousand) than women (20.6 thousand). The overwhelming majority of those seeking work through the labour exchanges are between the ages of 25 and 46 (60.2 per cent of the men and 57.7 per cent of the women), and have a secondary education (44.9 per cent and 46.8 per cent, respectively). The share of unemployed young people from 15 to 24 years of age among the working population of this age group is very low: 0.9 per cent of men and 0.7 per cent of women, giving an average of 0.8 per cent (compared with 14.9 per cent in the EU countries). Social profile of people seeking jobs through labour exchanges (numbers, 2002) men women incomplete higher education secondary specialised primary professional secondary incomplete secondary up to 16 years years years years years years 55 years and older Source: Turkmenmillikhasabat statistical reports. The social status of women and their fulfilment of the reproductive function prevent them from competing on an equal footing with men on the labour market. Overall, a man s chances of finding a job are higher than a woman s. They are more mobile professionally and are not burdened by family problems. In 2002, jobs were found for 63.2 per cent of unemployed men registered at the labour exchanges (43.6 per cent of women), including 44.1 per cent of the men with a secondary education (43.6 per cent of the women). This is largely due to the fact that enterprises mainly apply to labour exchanges for personnel to fill blue-collar positions. Data of the labour bodies show that over 80 per cent of people get placement at the state sector enterprises co-operate more closely with them. More women than men find jobs in the private sector of the economy. As a rule, these are former state sector workers, with a speciality, a certain level of professional training and yet not demanding a high salary. The requirement for choosing a job for most women leaving the state sector is a flexible work schedule, proximity to home and the opportunity to get pension insurance for accumulating work service years. Owing to the strict criteria for selecting employees, fewer women find work at joint ventures and foreign-owned companies, where the salaries are higher. Not all those seeking work register with the labour exchanges, but job hunt independently. According to the Employment and labour market survey (2001), 30.3 per cent of the respondents were unemployed. They included women running households and bringing up children, girls waiting to get married and young people expecting to be called up into the army. Some of them were engaged on personal allotments (19.1 per cent), part in housework and, in parallel, some informal activity (11.2 per cent).

17 The surveys showed that, out of the 11.2 per cent not working, only 7.2 per cent wanted to find a job (only 2.6 per cent were registered with the labour exchanges). Moreover, half of them were young people between the ages of 16 and 24 (48 per cent). In urban settlements, this indicator was higher than in rural areas (67.3 per cent against 60.0 per cent). This corresponds to the share of respondents without official employment status in urban settlements it is higher. This is largely due to the fact that, in a rural area, where virtually every household owns a personal allotment, the possibility of making additional income is higher than in urban locations. Of the men without the official employment status, 76 per cent are job hunting, while among women 56 per cent. This shows that women are less concerned than men with having no official employment status and that the majority of them are satisfied with informal activities, working on the personal allotment or doing housework and bringing up the children. In order to assess the labour potential of regions, it is important to know the extent to people who are not currently working would like to work, are prepared to start working and on what terms. The questionnaire survey showed that, on the whole, the demand for work is not high. The terms on men and women are willing to work are approximately the same. These include: a low but stable wage, acceptable working conditions, work place close to home. Men are more demanding with respect to salaries. There were, however, quite a few male respondents willing to work without any preconditions. 17 Employment terms of men and women, % 45 men women High remuneration Not high, but stable remuneration Acceptable work schedule and conditions Close to home Not requiring special training No conditions Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, Overall, the labour mobility of the unemployed population is not high, as evidenced by the length of time spent job hunting.

18 18 Time spent job hunting, numbers seeking work 71,1 73,7 67,2 67,4 74,3 13,5 11,2 16, ,1 6,1 5,0 7,6 6,1 6,0 5,9 7,0 4,4 6,6 5,3 3,5 3,2 4,0 4,8 2,4 over 1 year 6-12 months 3-6 months 1-3 months less than 1 month Turkmenistan Towns Countryside Men Women Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, More than 71 per cent of those seeking work take more than 1 year to find a job. In rural areas, fewer of the respondents take more than a year to do so than in urban areas. Women take longer to find work than men. A third of the respondents indicated the absence of jobs in the vicinity of home as the main reason for long search for work, this indicator being higher in rural areas (40.3 per cent) than in urban ones (26.5 per cent). Both men and women named this as the main reason (Annex, table 4). The second most important reason (judging by the share of respondents mentioning it) is the lack of professional training. Moreover, the share of respondents naming this reason is virtually the same among townspeople and country people, men and women.

19 19 Reasons for being unable to find work ( respondents in each age group) Lack of professional training Young people years of age Low level or lack of correspondence between professional training and requirements Lack of work close to home Able-bodied people Unacceptable work schedule or conditions Adolescents Unacceptable salary level Lack of service record, work skills Other Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, Analysis of the answers given by the respondents by age group shows that all age groups see the lack of work close to home as the main reason and lack of professional training as the second. To the question: What help do you need? in finding work, more than half the respondents pointed to the need for new jobs to be created. Moreover, in the Lebap velayat, all those who answered the question named this measure. The need to improve the system for finding work was seen as the second most important measure (Annex, table 5). People in town and country, men and women alike, hold, in general, the same views on the measures required. There are no major differences in the answers given by the respondents from different age groups either.

20 20 Help required in finding work ( respondents) ,8 51,4 50, ,5 11,2 8,6 26,7 21,3 24,6 8,2 9,2 9,3 Adolescents Able-bodied Young people 0 Create new jobs Help with training and retraining Improve the employment system Granting of loans Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, The proportion of respondents that mentioned the need for loans was very small. As mentioned above, 36 per cent of those with no official employment status are not seeking work. Among men the figure is 24 per cent and among women, 44 per cent. The reasons for a respondent not seeking work vary, but the main one is for family reasons (Annex, table 6), this answer given by women twice as frequently as by men. All the respondents having no official employment status who were looking for work were asked: How do you plan your future? More than half the respondents were optimistic about their future: 40 per cent hoped to find a job eventually and 23.7 per cent to start their own business (Annex, table 7). The need to study was mentioned by 5.3 per cent of the respondents, while 5.2 per cent had to be dependent on their relatives. More people intended to depend on relatives in the towns than in the countryside, and more women than men. People in rural areas and men were more active in desiring to open their own businesses.

21 21 Respondents assessment of their future prospects, by age group, % Young people from 16 to 24 years Other Don't know Hope for chance earnings Able-bodied people Intend to study to obtain a speciality Intend to leave Adolescents Have to live at the expense of relatives Will find a job or start my own business, if I get help Hope eventually to find a job or start my own business Source: Employment and labour market survey. Turkmenmillikhasabat and UNDP, The proportion of young people who want to open their own business or to study is high, but so is the share of those who have no idea about their future and propose to live at the expense of relatives. The results of the questionnaire survey show that, out of the number of people engaged in households, one third are not seeking work. Among women, the figure is higher more than half. A large proportion are seeking work but indicated the lack of work close to home as the reason for difficulty in finding a job, is particularly characteristic of the Dashoguz and Balkan velayats. This testifies to the need to create new jobs, particularly in these two velayats. 3. State support for families with children Turkmenistan pursues a policy of social protection for women and especially women with children. On 17 July 1998 the Parliament (Mejlis) of Turkmenistan passed the Law on State Allowances, envisages, among other things, measures for the social protection of women. The Law provides for the following types of state allowance: maternity, temporary disability, childcare, disability, loss of breadwinner, and social allowances. One of the main types of allowance is the maternity allowance, is 100 per cent of wages for 112 calendar days, irrespective of how long the woman has worked. This applies to all working women, regardless of where they work, including seasonal and temporary workers and those working in religious organisations. The Law of Turkmenistan envisages, if necessary, the transfer of pregnant women to easier jobs following a conclusion of a health institution, so as to exclude the possibility of unfavourable production factors affecting them, while maintaining the average wage from the previous job.

22 22 Working women are entitled to antenatal leave of approximately 56 calendar days and postnatal leave also of 56 days, to be extended by 16 calendar days in the event of birth complications and 40 calendar days for the birth of two or more children. Women on maternity leave (ante and postnatal) are classified as being employed in the economy. Allowances for temporary inability to work because of the need to look after a sick child up to the age of 14 years are granted for a period of 14 calendar days; to look after a sick child up to the age of 7 years on an inpatient basis, as well as a child up to the age of 14 years suffering from a serious illness, during the period after a major surgery, injury or burns no more than 122 calendar days; to look after a child during a period of quarantine in children s preschool institutions no more than 14 calendar days. In comparison with men, all working women in Turkmenistan enjoy a number of additional benefits, envisaged by individual articles of the Law of Turkmenistan on Pensions, passed in In particular, under Article 9 of the Law on Pensions, women have the right to retire five years earlier than men (at 57) and with a work service record of 20 years, with pension insurance (the figure for men is 25 years). Women who have given birth to and brought up three children to the age of 8, receive old age pension benefits of a lower pensionable age by one year, for four children by 2 years, for 5 or more children or for a child disabled from birth by 3 years. In the calculation of the pension, the work service period is taken to include the time women are on maternity leave; working less than a full working day; work at home, irrespective of the actual length of the working week; study in higher, secondary specialised and professional educational institutions, personnel training courses, internship, postgraduate or doctorate study; as well as others. For the purpose of ensuring an increase in the real incomes of Turkmenistan s population wages, pensions, grants and allowances are raised regularly, the last time when they were doubled in Families with children enjoy benefits for attendance at children s preschool institutions. In 2002, there were 1,003 such institutions in Turkmenistan, attended by thousand children, 50 per cent of whom were girls. Of the number of children attending preschool institutions, children up to and including the age of 1.5 years accounted for 3 per cent, from 1.5 to 3 years 21 per cent and 3 years and above 76 per cent. The preschool institutions catered for 21 per cent of all the children in the relevant age group (48 per cent in urban settlements and 5 per cent in rural areas). In spite of the low preschool institutions enrolment, there are, on average, 84 children for each 100 places, so the institutions are not filled. This is because the majority of preschool children (especially in the countryside) are brought up at home, mainly by their mothers, either on leave to look after children or engaged in the household. The job of a working mother, on leave to look after a child up to the age of three, is kept open. In addition, this period (but no more than 6 years) is included in the work service period for pension insurance. The state s concern for children and the high level of social protection of the population is manifested in the fact that parents in Turkmenistan pay little for their children to attend preschool institutions. The parents contribute only 11 per cent to the cost of maintaining preschool

23 institutions. Moreover, according to the current regulations, the payment made by parents for a child to attend such an institution is 50 per cent less for low-income categories of family than for the rest of the population Material provision for children It is impossible to make a breakdown of incomes (including wages and salaries) by gender on the basis of the existing statistical reports. The administrative statistics lack data on the ratio of the average wages and salaries of women and men and the number of children they have. Worldwide, a ratio of 75 per cent is usually used the mean weighted ratio of the remuneration indicators for all countries of the world for wage and salary data are available (Human Development Report, UNDP). The differences in the income levels of men and women may be traced on the basis of sample surveys data. In particular, as the results of the Standard of living survey, carried out by the World Bank together with the statistical authorities in 1998, show, the average woman s wage in the non-agricultural sector constituted 72 per cent of the average man s wage in Turkmenistan. Thanks to the annual rise in wages in state-financed sectors of the economy, in recent years the wage level in such branches as healthcare and education (where mostly women are employed) has exceeded the average for the economy as a whole. The share of women engaged in wage work in the non-agricultural sector of the economy has been rising in recent years and in 2002 amounted to 42.1 per cent, against 39.9 per cent in Due to economic growth and the effective social policy pursued in Turkmenistan no people had a cash income of only 1 dollar a day per person at purchasing power parity by the year 2000, and the share of those who had a cash income of 2.15 dollars a day a new poverty line was reduced to 0.71 per cent (0 per cent in 2001). The improvement in the standard of living is demonstrated by the annual growth, since 1997, of the real money incomes of the country s population. In the period from 1996 to 2002 alone, the real money incomes of the country s population almost quadrupled. In Turkmenistan, the low income tax rate (12 per cent) substantially increases the disposable cash income of the population and ensures social stability. Many population categories in the country are exempt from income tax or have tax benefits. These include hero mothers of very large families, people disabled from birth, sight impaired, students and pensioners. Workers with three or more dependants pay 30 per cent less tax, and so on. In Turkmenistan, according to the 1995 census, over 42 per cent of families have three or more children and, consequently, enjoy tax benefits. People in the countryside pay virtually no types of tax at all. Moreover, they enjoy rent-free use of the land and irrigation water, while 50 per cent of material outlays and services for the production of grain and cotton are paid by the state. In addition to money incomes, there are enormous price subsidies and people also receive income in kind. More than 54 per cent of the population live in the countryside. A significant source of supplementary income for these people consists of produce from their personal allotments. Support by the state for the development of personal allotments through the abolition of all types of taxation

24 and an increase in the size of such allotments ensures a steady growth of incomes in kind (by 20 per cent in 2002 and 40 per cent in ). The mechanism for providing social protection to the population during the period of transition to a market economy allowed each of the country s citizens to make use of the national (natural) wealth in the form of price subsidies (transfers in kind). Since 1 January 1993, every citizen of Turkmenistan has had free gas, water and electricity (in standard amounts). Rents for municipal housing in the country are subsidised by the state. There is no tax on private housing. Consequently, expenditure on housing, utilities and maintenance constitutes on average only 0.2 per cent of the outlays of households in Turkmenistan. The people in Turkmenistan enjoy considerable price subsidies in the use of transport. The price of tickets for air and rail transport is maintained at a low level for all citizens and constitutes only a half of the cost involved. For children up to the age of five, travel within the country is free of charge. The price of travelling on public transport (buses, trolleybuses) is only a twelfth of the true cost, and veterans of the Second World War and other similar categories of Turkmenistan s citizens travel free of charge. The telephone rates for the country s population make up only 5 per cent of the real cost. In order to render material assistance to the people in improving their living conditions, building materials are sold at low prices. In particular, the subsidised price of bricks is only 53 per cent of the production cost and the corresponding figure for cement is 45 per cent. In accordance with the Fundamental Law of the country the Constitution of Turkmenistan, virtually the entire population enjoys, in addition to price subsidies, free educational (compulsory secondary education, a guaranteed level of professional secondary and higher education) and healthcare services. So far there are no private educational institutions in Turkmenistan. In terms of gross incomes (taking into account incomes in kind, price subsidies and free healthcare and educational services), in 2000 the share of the population with an average per capita income of 2.15 dollars a day at purchasing power parity was only 0.07 per cent and in per cent. At present, there is no officially (legislatively) set survival minimum in Turkmenistan. Low-income families with a per capita income of up to 250 thousand manats a month enjoy benefits, such as in the children s attendance of crèches and kindergartens. In 2002, such people made up about 15 per cent of the population. The current officially set minimum wage in Turkmenistan is 500 thousand manats, while the average wage is 1,500 manats. In August 2003, the average wage in the economy was 1,779 thousand mantas, including 1,677 thousand manats in state-financed sectors, 1,876 in self-financing enterprises, and 1,765 in those with mixed financing. In the distribution of the population in households according to the average per capita income, the first 10 per cent group (low income category) consists of those with three times more children than in the last 10 per cent group, while the percentage of workers in each of these groups is roughly equal 60.4 per cent and 63.4 per cent respectively. 24

25 There are no statistics on employment of men and women or on incomes, linked to the numbers of children they have. Special sampling surveys carried out by the statistical authorities of Turkmenistan, including the manpower survey (1999), employment and labour market survey (2001), together with UNDP, did not include questions on the marital status of the respondents or the number and ages of any children they had. Some data may be obtained from the sampling of women of reproductive age (15-49), carried out in the first half of 2003 (Turkmenmillikhasabat and UNFPA). The average age of the women in the survey was 29.8 years, the mode (most frequently encountered value), 20 years, in urban areas, 30.4 and 20 years respectively, and in rural areas, 29.1 and 20 years. Of the number of respondents, 57.3 per cent are in registered marriages (54.8 per cent in the towns and 59.6 per cent in the countryside), 33.4 per cent are unmarried (30.4 per cent and 36.2 per cent respectively), 1.1 per cent (1.8 per cent and 0.4 per cent respectively) are officially married but separated from their husbands, 1.5 per cent (2.7 per cent and 0.5 per cent) are in common-law marriages, 4.4 per cent (7.3 per cent and 1.7 per cent) are divorced and 2.3 per cent (3.0 per cent and 1.7 per cent), are widowed. Of those respondents with children, over 86 per cent are in official (registered) marriages, 1.5 per cent are officially married but separated from their husbands, 1.9 per cent are in commonlaw marriages, 6.2 per cent, divorced, 3.3 per cent, widowed, and 1.1 per cent, unmarried (Appendix, table 8). About 54 per cent of women of reproductive age who are in official marriages have three or more children. Divorced women and those in common-law marriages have, in the main, one (55.7 per cent and 55.2 per cent respectively) or two children (23.2 per cent and 31 per cent). About 67 per cent of widows have three or more children. The majority of those who are not married have one (over 74 per cent) or two children (29 per cent). 25 Distribution of women between the ages of 15 and 49 according to marital status and number of children (%) 100% 80% 60% 40% 20% 5 or more child 0% unmarried official marriage officially married but separated common-law marriage divorced Source: Survey of the reproductive behaviour and attitudes of women of reproductive age. Turkmenmillikhasabat and UNFPA, widow