What is the term for the percentage of the working-age population that is employed or actively seeking work?

The percentage of the working-age population that is employed or actively seeking work is the labor force participation rate.

It measures how much of the potential workforce is participating in the labor market. The labor force includes people who have jobs and people without jobs who are available for work and actively looking for it. Dividing that labor force by the working-age population produces the rate.

This measure differs from the employment-to-population ratio, which counts only people who are employed. It also differs from the unemployment rate, whose denominator is the labor force rather than the entire working-age population. Someone who is retired, studying full time, caring for family, or discouraged from searching may be outside the labor force.

Economists track the rate because it helps distinguish weak job creation from changes in workforce participation. A falling unemployment rate, for example, may reflect people leaving the labor force rather than finding jobs. Definitions of “working age” and survey methods vary by country, so international comparisons require care.