Problemi Ekonomiki (Mar 2022)

The Impact of the COVID-19 Pandemic on Regional Labor Markets in Ukraine

  • Kyzym Mykola O.,
  • Bielikova Nadiia V.,
  • Levanda Olena M.,
  • Doronina Maya S.

DOI
https://doi.org/10.32983/2222-0712-2022-1-59-69
Journal volume & issue
Vol. 1, no. 51
pp. 59 – 69

Abstract

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In March 2019, the World Health Organization (WHO) announced the global outbreak of COVID-19 to be a pandemic. The probable source of the virus was Wuhan (China), from where it quickly spread all over the world. Experts say that from the start of the pandemic in Ukraine and to the second quarter of 2022, 5.04 million cases of infection were recorded. The fraction of people who have received at least one dose of the COVID-19 vaccine is 36.4%, making Ukraine the least vaccinated country in Europe. High morbidity rate made it necessary to introduce quarantine measures that have negatively affected the socio-economic development of Ukraine as a whole, and regional labor markets, in particular. The article is aimed at assessing the impact of the coronavirus pandemic on regional labor markets in Ukraine. To achieve this aim, the following tasks were solved: a) to analyze the COVID-19 dynamics as for Ukraine’s regions, taking into account the aggravation of the humanitarian crisis; b) to identify the situation in regional labor markets by economic activity indicators; c) to analyze state regulation as for its compliance with the state social guarantees in labor relations. It has been determined that the most negative situation with the COVID-19 epidemic is present in the regions with the largest cities of the country (which are home to a population of 1,029,049 to 2,611,327 people). It proves that a particularly negative impact of the pandemic was made on the regional labor markets with high economic activity and strong economic potential. It is established that the pandemic has led to employment reduction in all the regions, which went hand in hand with the increase in informal employment of economically active population. Rising unemployment and wage arrears are also signs of the negative impact of the COVID-19 pandemic on Ukraine’s regional labor markets. It can be concluded that the key problems requiring managerial decisions are those connected with inclusive economic recovery after COVID-19 and the fulfillment of state social guarantees in the labor market in almost every region in Ukraine, given the impact of the ongoing military conflict and the need for economic recovery after it.

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