The study is a part of the project «Research of the Ministry of Welfare» of the National Programme «Labour Force Research» of the European Structural Funds. The objective is to contribute to the elaboration of research based programmes of employment and social policy for the well-balanced and sustainable regional development, and to create analytical basis for informed and effective decisions, which favour increase of employment, creation of included labour market and development of Latvian economy. The project was implemented from March 17, 2006 to June 17, 2007. The direct aim was to analyze causes and length of unemployment and social exclusion, including low level of education as one of the factors of social exclusion and developing proposals and solutions in order to decrease unemployment and social exclusion. ISBN 987-9984-624-50-1