According to a KSE study, the only sector of Ukraine’s economy where employment is increasing is public administration and defense. The number of employees in this sector has reached 2.6 million, accounting for 23.8% of the employed population. The high value of this indicator can be explained by the large-scale mobilization into the Armed Forces of Ukraine. In other sectors of the economy, employment is gradually declining. The most significant reduction is occurring in industrial sectors, particularly in mining and manufacturing, where employment has decreased by 37%. In the social sector, which includes education and healthcare, the reduction is 11%. This indicates a critical drop in overall economic productivity.
This is reported by Finway
To improve the situation in Ukraine, it is necessary to take measures to strengthen social support and transition to a productivity-oriented system. The study also emphasizes that the labor market needs require a reassessment of approaches to post-war economic recovery.
Labor Shortage in Russia
Meanwhile, in Russia, the labor shortage reached a record level of 2.6 million people last year, which is 17% more compared to the previous year. If this trend continues, over the next five years, the shortage of personnel in the country could reach four million. The main causes of the staffing crisis in Russia include mobilization and the mass emigration of highly qualified specialists.
In other sectors, employment is declining, according to the KSE study.