Enter the total number of employed workers, number of unemployed workers, and the working age non-institutionalized population.
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Labor Force Participation Rate Formula
The following formula can be used to calculate the labor force participation rate of a given country or area.
LFPR (%) = LF / P *100\
- Where the LFPR is the labor force participation rate
- LF is the total labor force = total employed + unemployed
- P is the working age able population
Labor Force Participation Rate Definition
The labor force participation rate, or LFPR for short, is a measure of the percentage of a given population is participating in labor. In other words, it’s another way of say the employed percentage of working age “able” population including those looking for work. This can be applied to a country or smaller area. The working population should only include individuals that are capable of work.
Labor Force Participation Rate Example
How to calculate a labor force participation rate?
- First, determine the labor force.
Calculate the total number of people in the labor force.
- Next, determine the working age population.
Calculate the total number of people of working age.
- Finally, calculate the participation rate.
Calculate the labor force participation rate using the formula above.
FAQ
What is a labor force participation rate?
The labor force participation rate is the percentage of people in a working population that are either employed or seeking employment.
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