MODERN CRITERIA FOR MEASURES OF STATE REGULATION OF EMPLOYMENT

Authors

DOI:

https://doi.org/10.32689/2617-2224-2022-2(30)-15

Keywords:

state regulation of employment, criteria of measures, labor market, employment of the population

Abstract

It is determined that in the conditions of military aggression, economic instability the Ukrainian labor market is characterized by a slight reduction of jobs with a significant reduction in their value. The increase in wages in some enterprises does not lead to its growth in other enterprises, as the demand for labor is quite limited. However, the reduction of wages, its "optimization" (a situation where the employer increases the burden on the employee without a corresponding increase in wages) is supported by another employer. Fearing layoffs, job losses and a widespread decline in wages, workers agree to deteriorating working conditions. Therefore, state regulation of the employment system should take into account this fact and effectively affect employers. It is established that the reason for state intervention in the relations between the employee and the employer is that as a result of their activities an economic good is created, which is necessary to meet the needs of society as a whole. Accordingly, food security and industrial independence of the state depend, first of all, on the quality of state regulation of employment. The inability to provide their own population with the necessary products leads to irreversible consequences. In this regard, active state regulation of the employment system and the labor market is necessary. It is determined that the modern development of the economy is impossible without productive employment, which is derived from an effectively functioning flexible labor market, which allows you to respond quickly to economic calls. The transition to an innovative economy (restructuring and diversification of sectors of the economy) will change the current structure of employment, will be accompanied by reduction of inefficient jobs, redistribution of workers by economic sectors, expansion of services, development of innovative activities and new areas of employment. In such conditions, the labor market will stimulate the creation of new effective jobs, including flexible forms of employment, increase their turnover. The purpose of the article. The purpose of the study conducted in this article is to analyze and improve the criteria for measures of state regulation of employment. Methodology. Substantiation of the need for public administration mechanisms in the field of employment regulation is one of the elements of regulating the functioning of the national economy and society in general. The history of the study identifies different approaches to forms, methods, tools, objects and subjects of employment regulation. The two main opposing views are based on whether the state should regulate employment (Keynesianism) or whether the mechanisms of self-regulation should work (classical political economy). In the case of financial prosperity, positive economic conditions, most are in favor of freedom of relations. The main supporter of freedom of market relations was A. Smith, who in his treatise "Studies on the Nature and Causes of Wealth of Nations" (Smith A., 1993) tried to prove the predominance of rational human behavior, and based on this existence of the desire for wealth through mutually beneficial interactions of all market participants. . A. Pigou in his book "Theory of Unemployment" pointed out: "In the presence of absolutely free competition among employees and in the presence of a perfect mobile labor market, the nature of the relationship (between rates, real wages, which insist on workers and the function of labor demand) very simple. There will always be a strong tendency to establish such a relationship between wage rates and demand that everyone is employed "(Malthus T., Keynes D., Larin YM, 1993). M. Friedman (Friedman, M., 1996), a representative of the economic school of monetarism, believed that money plays a major role in the development and stabilization of employment and the economy as a whole. According to him, the market mechanism always seeks self-stabilization, so government intervention in the economy and employment is a major factor in inflation and economic destabilization. A. Marshall in his work "Principles of Economics" (Marshall A., 1993) also shared the idea of selfregulation of market processes. However, the onset of economic instability, the crisis in the economy leads to increased attention to the research of those scientists who share views on the need for active state regulation of employment. The founder of such views was JM Keynes. In his book The General Theory of Employment, Interest, and Money, he argued that a significant shortcoming of a market self-regulatory society is its inability to provide full employment in the labor market, as well as the arbitrary, unjust distribution of wealth and income (Keynes JM, 1993). Representatives of institutionalism T. Veblen (Veblen T., 2011) held views on the need for joint regulation of employment by both the state and the market. At the same time, he believed that the decisive role in the economy is played by large enterprises, which are a planned system. Scientific novelty. Improved: classification of criteria for measures of state regulation of employment, namely: by forms of provision (remotely (using Internet technologies, Internet platforms and Internet communications); locally (locally directly with participants in the employment regulation system); impact (on the employer (issuance of a certificate to attract labor resources, etc.); on the employee (vocational education, training, training, profession; programs to promote the mobility of the working population, etc.); on the employee and the employer (approval of the minimum wage) , professional standards, etc.), on the infrastructure of the labor market (tax, monetary policy, etc.), by types of influencing entities (specialized employment authorities (Ministry of Social Policy of Ukraine, state employment service), online community specialized sites, Internet groups of professionals, experts, consultants, etc.); dartization (standardized (included in state standards of public services and public functions in the field of employment promotion); not standardized (not included in the list of state standards). Conclusions. The main reason for the creation and functioning of any market is equal conditions for seller and buyer. In the labor market, this approach is not followed. Under Ukrainian labor law, an employee is much more protected than an employer. In this case, the dishonesty of the employer may lead to loss of income of the employee, limited to a short period of time. The employee, having become unemployed, at the same time falls under the protection of the state, including material. Damages caused by the employer to a negligent employee are not compensated by anyone. Therefore, employers are very careful about hiring new employees who go to sign temporary employment contracts, hire employees on probation or at the same time with the application for admission are forced to write an application for dismissal with an open date. Correction of this situation is seen in the analysis of labor legislation and its alignment in relations between labor market participants and employment.

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Published

2022-09-08

How to Cite

Шевченко, С. В. (2022). MODERN CRITERIA FOR MEASURES OF STATE REGULATION OF EMPLOYMENT. Public Management, (2 (30), 120-126. https://doi.org/10.32689/2617-2224-2022-2(30)-15

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