The EPL index, youth unemployment and emigration within the EU

Abstract

This article focuses on analysing the link between the rigidity of labour markets, the youth unemployment rate and the number of emigrants in the 19-30 age group within the EU in the years 2009-2020. The calculations show a very strong link (0.91-0.95) between the EPL index and the youth unemployment rate during the observed period. The nexus between youth unemployment and youth migration is confirmed as well. The linear dependence fluctuated between 0.61 and 0.65 in the same period. Furthermore, the correlation between total unemployment and total emigration reached up to 0.85 in the post-crisis period. The labour market rigidity and the EPL strictness can have, therefore, several effects; in addition to youth unemployment and youth emigration, total emigration is stimulated as well.