Consequences of the War in Ukraine for the National Labor Market, Directions of Employment Support
Perehudova T. V.

Perehudova, Tetiana V. (2022) “Consequences of the War in Ukraine for the National Labor Market, Directions of Employment Support.” The Problems of Economy 2:184–191.
https://doi.org/10.32983/2222-0712-2022-2-184-191

Section: Social economy, policy and demography

UDC 331.5(477)

Abstract:
Nowadays Ukrainian society is faced with a new problem of preserving social and economic capital, maintaining socioeconomic balance and forming strategies for the further postwar recovery of the country, which requires an assessment of the state of the national labor market with the development of proposals for supporting the employment of the population. Therefore, the article is aimed at evaluating the consequences of the war in Ukraine in terms of a decrease in the level of employment, determining the directions for preserving / creating jobs, taking into account the present conditions where Ukraine has to deal with military hostilities, taking into account the principles of forming a competitive economy. The article is concerned with outlining the main threats of war for the national labor market with the definition of the main directions of the employment support. The loss of labor potential is analyzed, which is one of the acute humanitarian problems. Based on the calculation of the coefficient of elasticity of employment, a forecast of a decrease in the level of employment in 2022 appears as a result of a decline in the economy because of military actions on the territory of Ukraine. The biggest drops in employment are possible with a 50% drop in GDP and an increased sensitivity between falling GDP and employment. Therefore, the State regulation of the labor market should take place taking into account the fact that during the recession it is necessary to reduce such sensitivity, and with the subsequent postwar recovery of the economy is important, on the contrary, to increase the sensitivity between GDP growth and employment to ensure maximum social and labor involvement of the population of Ukraine, which is quite possible with a large-scale reconstruction of the country and the development of the economy, which will be accompanied by an increase in demand for labor. Measures are proposed to support employment in accordance with the conditions of the national economy of wartime, which will contribute to an increase in the level of GDP and the level of income of the population. The role of non-standard forms of employment in coordinating the negative consequences of the economic crisis in Ukraine is determined. It is proposed to use such programs to protect wage recipients as «work-sharing», subsidization of wages, etc.

Keywords: gross domestic product, labor market, war, labor potential, employment, jobs, elasticity of employment, income, social and economic policy.

Fig.: 1. Tabl.: 1. Bibl.: 28.

Perehudova Tetiana V. – Candidate of Sciences (Economics), Associate Professor, Senior Research Fellow, Department of Socio-economic Problems of Labor, Institute for Economics and Forecasting of NAS of Ukraine (26 Panasa Myrnoho Str., Kyiv, 01011, Ukraine)
Email: ptv_tat@ukr.net

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