Ukrainian labour market during quarantine

Dmytro Yablonovskyi, member of editorial board, VoxUkraine
Oksana Tymchenko, analyst, DataVox

The independent analytical platform VoxUkraine uses a scientific method of analysis to evaluate the most important economic and political processes that take place in Ukraine. According to the authors of the publication, the indicator that shows important changes in the economy during the quarantine restrictions may be the numer of job offers and CVs.

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As part of the study, VoxUkraine collected and compiled data on new job vacancies and sent CVs on the most popular Ukrainian portal The information was collected within one week before the start of quarantine, the days when the main restrictions were introduced (12th March – start of quarantine, 18th March – suspension of transport links, 22nd April – extension of the quarantine deadline).

According to the results, during quarantine both the number of vacancies andsent CVs, decreased. The biggest drop in job vacancies was in the industries, which were mostly affected by the pandemic: hospitality, tourism and the services. The most workplaces were offered by companies involved in food trade, logistics companies and state institutions. Employers are mainly looking for people with experience in the profession, but not necessary with higher education: only 38% of employers have reported such a requirement. The number of remote vacancies remained the same, and represents 6% of all offers, with the number of job seekers reaching 29%.

Research has also shown that despite rising unemployment, people are reluctant to look for a new job. Emloyed people are not looking for new professional opportunities, willing to keep their positions. People may also not be looking for new work offers due to the complications, related to the transport links suspensions. People, who usually lived far from the workplace have very limited possibility to reach the admission or workplace.

For now, both business and employees are treating the closure of their business or the decline in turnover as a temporary phenomenon. However, after two months of quarantine, the financial stocks of both employees and companies are slowly ending, so we can expect another increase in unemployment. Once quarantine is over, it will also turn out that there is a crisis in the energy sector, agriculture, and the effects of a decline in external demand, that will also be the source of economic problems.

In order to minimise losses to the economy, restrictions must be loosened slowly and, above all, transport traffic must be resumed. Cooperation with the International Monetary Fund is also needed to finance anti-crisis measures, and can help the country to have an access to other donors’ loans. Ukraine needs some financial resources not only to end of quarantine, but also for the resumption of economic activity after its completion.