Labor Market Analysis in Algeria#
To analyze labour market trends in Algeria we analyse two alternative datasets - LinkedIn and World Development Indicators.
Data Description#
This analysis utilizes three key metrics from LinkedIn’s Economic Graph to analyze labor market dynamics in South Asia:
LinkedIn Hiring Rate (LHR)#
Hiring Rate measures the proportion of LinkedIn members who report starting new jobs each month, providing a real-time indicator of labor market activity. Calculation:
LHR = (Members who added new employers) / (Total country members)
Indexed to the 2016 average (a value of 1.0 represents the hiring rate of an average month in 2016) Presentation:
Reported as year-over-year (YOY) percentage changes, capturing labor market trends relative to the same period in the previous year.
Enables timely month-to-month comparisons by normalizing fluctuations in hiring patterns. Adjustments:
Accounts for profile update lags, ensuring that hiring trends are not skewed by delays in job status changes on LinkedIn.
Normalized to remove seasonal hiring variations and provide a clearer picture of underlying labor market dynamics.
2. Skills Genome#
Provides an ordered list of most characteristic skills for any entity (occupation, country, industry). It uses the Frequency-Inverse Document Frequency (TF-IDF) algorithm to identify representative skills. The IF-IDF algorithm is a natural language processing (NLP) algorithm to extract the most ‘unique’ skills. The algorithm essentially allows for a ‘weighting’ to be created for unique skills. For example, ‘Microsoft Word’ is a common skill but not a unique skill to a specific job market. Hence, it will be weighted less based on the number of different places it appears. Further details about the methodology can be found here.
The current dataset being analyzed is the ‘POOLED’ Skills Genome which shows skills across the years of 2017 - 2023.
3. Skills Penetration#
Measures the prevalence of skill groups within industries and countries, offering insights into workforce specialization and competitiveness.
Based on the top 50 skills per country-industry combination, ensuring a robust and representative sample.
Calculated through three key steps:
National industry skill penetration calculation – Determines the share of a given skill group within a specific country-industry combination.
Global industry benchmark estimation – Establishes an average penetration level for each industry at a global scale.
Relative penetration value computation – Compares the national industry value against the global benchmark.
Interpretation of Values:
Values > 1 indicate an above-global-average penetration for a skill group within a country-industry.
Values < 1 indicate a below-global-average penetration.
Scope:
Covers 249 skill categories derived from LinkedIn’s 35,000 recognized skills.
Utilizes a dataset spanning multiple industries and countries, enabling cross-country and cross-industry comparisons.
The relative skill penetration metric allows for meaningful comparisons across countries while accounting for occupational distribution differences on LinkedIn.
For example, if the relative tech skill penetration for India’s healthcare industry is 1.2, this means that the proportion of tech-related skills in India’s healthcare workforce is 120% of the global average, holding constant for occupational distributions. This adjustment ensures that differences are not driven by varying workforce compositions across countries but rather by actual skill prevalence.
Limitations#
Data represents LinkedIn members only
Coverage varies by country and industry
Professional network bias in representation
Industry classifications follow LinkedIn’s taxonomy
Industry Classification#
Industry |
Definition |
|---|---|
Accommodation |
This industry includes entities that provide short-term lodging in facilities, such as hotels, motels, and bed-and-breakfast inns. In addition to lodging, they may provide a range of other services to their guests. |
Administrative and Support Services |
This industry includes entities that perform routine support activities for the day-to-day operations of other organizations, including office administration, hiring and placing of personnel, document preparation and similar clerical services, solicitation, collection, security and surveillance services, cleaning, and waste disposal services. |
Construction |
This industry includes entities that construct buildings or engineer projects (e.g., highways and utility systems) and perform specific activities (e.g., painting and plumbing). |
Education |
This industry includes entities that provide instruction or training in a wide variety of subjects from specialized entities, such as schools, colleges, universities, and training centers. |
Entertainment Providers |
This industry includes entities that: (1) produce, promote, or participate in live performances, events, or exhibits intended for the public; (2) preserve and exhibit objects and sites of historical, cultural, or educational interest; and (3) operate facilities or provide services that enable patrons to participate in recreational activities or pursue amusement, hobby, and leisure-time interests. |
Financial Services |
This industry includes entities that make financial transactions (creation, liquidation, or change in ownership of financial assets) and/or that facilitate financial transactions. |
Government Administration |
This industry includes entities of federal, state, and local government agencies that administer, oversee, and manage public programs; organize and finance public goods and services; and have executive, legislative, or judicial authority over other institutions within a given area. These agencies set policy, create laws, adjudicate civil and criminal legal cases, and provide for public safety and national defense. |
Hospitals and Health Care |
This industry includes entities that provide health care and health-related social assistance for individuals. It includes entities that provide medical care exclusively, health care and social assistance, and only social assistance. These entities deliver services by trained professional health practitioners or social workers. |
Manufacturing |
This industry includes entities that use mechanical, physical, or chemical transformation of materials, substances, or components to create new products. Included are entities that assemble component parts of manufactured products. |
Oil, Gas, and Mining |
This industry includes entities that extract naturally occurring mineral solids, such as coal and ores; liquid minerals, such as crude petroleum; and gases, such as natural gas. Included are entities that provide quarrying, well operations, and other preparation customarily performed as a part of mining activity. |
Professional Services |
This industry includes entities that perform professional, scientific, and technical activities for others, including legal advice and representation; accounting, bookkeeping, and payroll services; architectural, engineering, and specialized design services; computer services; consulting services; research services; advertising services; photographic services; translation and interpretation services; veterinary services; and other professional, scientific, and technical services. |
Retail |
This industry includes entities that retail merchandise generally in small quantities to the general public and provide services incidental to the sale of the merchandise. |
Technology, Information and Media |
This industry includes entities that produce technology products, such as software and data analytics, and provide the means to transmit or distribute these products. Also included are motion picture and sound recording; traditional broadcasting and broadcasting exclusively over the Internet; telecommunications; data processing; and Web search portals and information services. |
Transportation, Logistics, Supply Chain and Storage |
This industry includes entities that store and warehouse goods, transport passengers and cargo, provide scenic and sightseeing transportation, and provide support activities related to modes of transportation. |
Skill Classification#
Skill Group |
Definition |
|---|---|
Soft Skills |
Non-cognitive skills or personality traits valued in the labor market but not assessed by achievement tests. IQ or achievement tests cannot predict these skills. |
Business Skills |
Knowledge and skills required to start or operate an enterprise. Examples include Business Management, Project Management, Entrepreneurship. |
Tech Skills |
Defined as a range of abilities to use digital devices, communication applications, and networks to access and manage information. They enable people to create and share digital content, communicate and collaborate, and solve problems. |
Disruptive Tech Skills |
Skills associated with developing new technologies that are expected to impact labor markets in the coming years. Examples include Robotics, Genetic Engineering, and Artificial Intelligence (which can be isolated as a skill group category itself). |
Green Skills |
Skills clearly associated with “green” occupations, per LinkedIn’s Green Analytical Methodology |
Gender Classification#
Gender identity isn’t binary and we recognize that some LinkedIn members identify beyond the traditional gender constructs of “men” and “women.” If not explicitly self-identified, we have inferred the gender of members included in this analysis either by the pronouns used on their LinkedIn profiles, or inferred on the basis of first name. Members whose gender could not be inferred as either man or women were excluded from this analysis.
Skills and internet speed requirements.#
Skill |
Potential Bandwidth (Mbps) |
Assumptions |
Source |
|---|---|---|---|
YouTube Marketing |
Download: 2.5–5 Mbps; Upload: 1+ Mbps |
Involves streaming and uploading videos on YouTube. Smooth HD video streaming (720p–1080p) requires around 2.5–5 Mbps download, and uploading content (e.g., marketing videos) works efficiently with at least ~1 Mbps or more upload speed. |
|
Music |
Download: 0.5–1 Mbps |
Primarily involves streaming music online. Audio streaming services use relatively little bandwidth (on the order of a few hundred Kbps), so about 0.5–1 Mbps download speed is sufficient for uninterrupted music playback. |
https://www.highspeedinternet.com/resources/how-much-speed-do-i-need-for-pandora-and-spotify |
Search Engine Optimization (SEO) |
Download: 1–2 Mbps |
SEO work entails heavy web browsing and use of online analytics tools, mostly loading text and small images. This is similar to general office internet use, which only needs on the order of 1–2 Mbps download for smooth performance. |
https://blog.frontier.com/2020/03/how-much-speed-do-you-need-to-do-your-job-from-home/ |
Facebook Marketing |
Download: 1–2 Mbps; Upload: 3–4 Mbps |
Involves managing Facebook pages, viewing multimedia content, and uploading posts (images/videos). Basic browsing of the feed works with ~1–2 Mbps down, but high-quality video uploads or live streaming on Facebook Live require around 3–4 Mbps upload for 720p HD content. |
https://gyre.pro/blog/what-is-a-good-upload-speed-for-streaming |
Video Editing |
Download: 10–50 Mbps; Upload: 5–10 Mbps |
Video editing often involves downloading large raw video files and uploading edited videos. To work efficiently (especially with HD/4K footage), a fast connection is needed – potentially tens of Mbps download to retrieve big files without long waits, and a high upload speed (5–10 Mbps or more) to send final video files or share projects. |
https://blog.frontier.com/2020/03/how-much-speed-do-you-need-to-do-your-job-from-home/ |
ETABS |
Download: 1–2 Mbps |
ETABS is engineering software used offline; internet is only required for license verification and downloading software updates. These tasks are not bandwidth-intensive, so a very basic connection (~1–2 Mbps) is sufficient for any online component. |
https://www.csiamerica.com/products/etabs/system-requirements |
Lead Generation |
Download: 1–2 Mbps |
Lead generation involves researching online databases and using CRM tools, which mostly means loading webpages and sending emails. Such routine online activities only need around 1–2 Mbps download for smooth operation. |
https://www.expereo.com/blog/managing-network-bandwidth-needs |
Instagram Marketing |
Download: 1–2 Mbps; Upload: 3–4 Mbps |
Focuses on visual social content—scrolling through feeds/stories and posting photos or short videos. Basic browsing of Instagram (images, short clips) works with ~1–2 Mbps down, but uploading high-quality images or HD video snippets (Reels/Stories) is best with roughly 3–4 Mbps upload for quick, reliable posting. |
https://gyre.pro/blog/what-is-a-good-upload-speed-for-streaming |
Music Production |
Download: 1–2 Mbps |
Digital music production is done in local software (DAWs), so internet use is minimal—mainly downloading plugins or sharing audio files. These files are much smaller than video, and even live online collaboration or lessons can run on ~1–2 Mbps (e.g., an online music class requires ~1.5 Mbps down). |
https://www.interlochen.org/online/programs/recording-and-producing-music-for-beginners |
Web Content Writing |
Download: 1–2 Mbps |
Involves researching online and publishing text content to websites. Loading articles and editing in CMS platforms is not data-heavy, so around 1–2 Mbps download is enough to handle text and the occasional image upload without issues. |
https://blog.frontier.com/2020/03/how-much-speed-do-you-need-to-do-your-job-from-home/ |
Virtual Assistance |
Download: 1–2 Mbps; Upload: 1–2 Mbps |
Virtual assistants communicate via email and messaging and often join video calls. One-on-one HD video conferencing generally needs about 1–2 Mbps in both directions, which covers typical VA duties (cloud-based documents, VoIP calls, etc.) on a basic broadband connection. |
https://blog.frontier.com/2020/03/how-much-speed-do-you-need-to-do-your-job-from-home/ |
Keyword Research |
Download: 1–2 Mbps |
Keyword research requires using search engines and SEO tools online, which are mostly text-based queries and loading result pages. This activity falls under basic web browsing and can be done efficiently with roughly 1–2 Mbps download speeds. |
https://www.expereo.com/blog/managing-network-bandwidth-needs |
Off-Page SEO |
Download: 1–2 Mbps |
Off-page SEO involves activities like link building, social bookmarking, and influencer outreach, primarily through web platforms and email. Such tasks are not bandwidth-heavy; a standard connection around 1–2 Mbps download handles these interactions and postings comfortably. |
https://www.expereo.com/blog/managing-network-bandwidth-needs |
C (Programming Language) |
Download: 1–2 Mbps |
Programming in C is done locally; internet usage is mainly for downloading libraries or searching documentation (text-based). These require minimal data transfer, so a basic 1–2 Mbps download speed is adequate for coding work and occasional file downloads. |
https://www.expereo.com/blog/managing-network-bandwidth-needs |
Data Entry |
Download: 1–2 Mbps; Upload: 1–2 Mbps |
Data entry work involves inputting information into online databases or spreadsheets. This is mostly sending and receiving small amounts of text data, so even a low bandwidth (~1–2 Mbps up/down) can handle the constant but lightweight data transfer without slowing down the workflow. |
https://www.expereo.com/blog/managing-network-bandwidth-needs |