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Labor market awaits second wave of crisis and layoffs in autumn - experts

Source : 112 Ukraine

Forecast for jobs and salary growth is disappointing
20:12, 10 June 2020

Open source

With the gradual abolition of lockdown restrictions in Ukraine, the number of active vacancies is growing. However, the situation still remains disappointing.

Positive dynamics is observed in the sphere of services and sales, but even there the level of offers is less than it was before quarantine. Moreover, experts believe that in the fall the labor market expects a second wave of crisis and layoffs, as the Obozrevatel news agency reports.

Related: Would Ukrainian PM Shmygal lose his office soon?

First of all, labor market experts predict that problems with job search will be observed at least until the end of the year. And this is only in an optimistic scenario, says the head of the expert and analytical center of the international personnel portal, Julia Drozhina.

HR expert Tetyana Pashkina is leaning toward a more pessimistic option. According to her, even in the case of an optimal quarantine exit, world experts warn that restoration will not even begin at the beginning of 2021. The same applies to the level of salaries.

"We still can’t reach the pre-crisis salary, and in 2021 its level will be completely different from that predicted earlier," Obozrevatel expert says.

Related: Ukraine occupies 66th place in rating of safest countries in terms of Covid-19

Drozhzhina said that back in January 2020, experts were counting on an increase in the average salary by the end of the year within 20-25%. However, due to the coronavirus pandemic, its level, on the contrary, fell by 10-15%.

At the same time, as reported, Ukraine, after Europe, suffers from unemployment.

“Europe (which is the largest importer of Ukrainian labor resources) also felt this (unemployment, - ed.). Many European companies have to reduce their staff and lay off, in particular, Ukrainian workers,” the article says.

So, about 30% of Ukrainians in Poland lost their jobs due to a pandemic. This was told by the president of the All-Ukrainian Association of International Employment Companies Vasyl Voskoboinik.

“It is clear that Ukraine will not pay subsidies to Polish companies so that they do not fire Ukrainians,” expert Oleksiy Kushch said.

As we reported before, Cabinet of Ministers plans to introduce electronic labor books in Ukraine. The filling of the state register will continue for five years. Minister of Social Policy Maryna Lazebna stated this during a meeting of the Cabinet of Ministers

Related: Ukraine already receives first tranche from IMF, - official

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