Grygorenko H. S., Rieznik M. A.
Oles Honchar Dnipropetrovsk National university, Ukraine
MODERN TRENDS IN THE LABOUR MARKET OF UKRAINE
Today, the labor market is characterized by some problems that hinder effective development of the country. These problems include the following:
1. The labor market had some losses as a result of annexation of the Crimea and military operations in Luhansk and Donetsk regions.
2. The increased level of migration.
3. Ukraine’s qualified specialists are in great demand abroad.
4. The high volume of hidden unemployment, ongoing depopulation and general aging of the population, that lead to a reduction in the working population in Ukraine.
However, in the Ukrainian labor market, there are some positive trends:
1. The Association Agreement between the EU and Ukraine.
2. The pharmaceutical sector, service industry and information technology industry continue to be stable.
3. The shift in political power enables some managers to implement their knowledge and experience in public administration.
The most popular occupations that have been in demand in the last two years are the jobs of highly skilled workers – metal workers, lathe operators, electric and gas welders, drivers, repair workers who fix electrical equipment, etc. There was also the demand for top-level specialists, top managers, as well as doctors and experienced engineers with high professional skills. Currently, the most popular are also information technology specialists and skilled employees in technical support of computer networks. Besides, the labor market lacks marketing specialists, technical experts, pharmaceutical market employees .
Nowadays, because of hostilities in Donetsk and Lugansk regions, a number of vacancies are decreasing in the country, because people from these regions are moving to more stable regions of the country.
The main causes of unemployment are as follows:
1) low wages offered by employers;
2) some training and education systems that don’t meet labor market needs;
3) political and economic events;
4) dissatisfaction with working conditions;
5) limited career potential, lack of prospects and opportunities to improve skills;
6) irrational structure of sectoral employment, labout supply outweighing demand .
The problem of unemployment entails job losses and the decrease in production, depreciation of the national currency. It also results in the reduction of tax revenues of the state, in addition to increased government spending on social protection of the unemployed. Taking into account important political events in the country, Ukrainians started to seek employment abroad more.
In 2012, The Act by the Cabinet of Ministers of Ukraine № 1008-2012 On approval of the Program to promote new jobs until 2017 was adopted. This program identifies measures and solutions to problems of employment. It is the basis for developing regional and local employment programs. As a result of this program, the level of unemployment should reduce . In addition to this, according to the statement by the President of Ukraine Petro Poroshenko, the development program «Strategy – 2020» will allow Ukraine to enter the top 20 countries in the World Bank's rating as far as the ease of doing business is concerned, and it will raise GDP per capita to 16000 US dollars against the current 8500 US dollars. This program will also increase the inflow of foreign investments. According to this document, all graduates should know two foreign languages, which will affect the development of the labor market in Ukraine .
To improve the labour market in Ukraine, the following measures must be taken:
1) the system of remuneration must be improved;
2) the demand for labor must be increased, both in the private and public sectors of the economy;
3) proper conditions for employment of young people and university graduates must be created;
4) the mechanism for the employment of foreigners in Ukraine must be improved to prevent illegal employment.
Based on current realities, the measures to develop the labor market must be flexible and have an economic and social impact, as prospects for further development and improvement of Ukraine's labor market are related to the increased employment and reduced unemployment.
List of references:
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