Regional Labor Market Performance in Europe

2016 ◽  
Vol 40 (3) ◽  
pp. 270-296 ◽  
Author(s):  
Helmut Herwartz ◽  
Annekatrin Niebuhr

The labor market effects of the recent financial and economic crisis are rather heterogeneous across countries and regions. Such differences in labor market performance among industrialized countries are an issue of ongoing research. The objective of this article is to analyze labor market disparities among European regions and to provide evidence on the factors behind these differences. Whereas previous research focused on the effects of national labor market institutions, we also take structural characteristics of regions into account and investigate differences in labor demand responsiveness and their potential determinants. The data set covers the Nomenclature des unités territoriales statistiques 2 regions in the EU15 for the period 1980 to 2008. We employ an error correction model that is combined with spatial residual correlation. Our findings point to substantially distinct wage and output elasticities of employment among European countries and regions. Moreover, the rate of adjustment to disequilibrium is subject to significant variation across units of observation. There is robust evidence that labor market institutions affect the adjustment speed of regional labor markets and the wage elasticity of employment. Moreover, the findings suggest that some characteristics of regional labor markets matter as well. However, corresponding results are less robust compared with the evidence on labor market institutions.

2019 ◽  
Vol 19 (155) ◽  
Author(s):  
Adriana Kugler

This paper documents recent labor market performance in the Latin American region. The paper shows that unemployment, informality, and inequality have been falling over the past two decades, though still remain high. By contrast, productivity has remained stubbornly low. The paper, then, turns to the potential impacts of various labor market institutions, including employment protection legislation (EPL), minimum wages (MW), payroll taxes, unemployment insurance (UI) and collective bargaining, as well as the impacts of demographic changes on labor market performance. The paper relies on evidence from carefully conducted studies based on micro-data for countries in the region and for other countries with similar income levels to draw conclusions on the impact of labor market institutions and demographic factors on unemployment, informality, inequality and productivity. The decreases in unemployment and informality can be partly explained by the reduced strictness of EPL and payroll taxes, but also by the increased shares of more educated and older workers. By contrast, the fall in inequality starting in 2002 can be explained by a combination of binding MW throughout most of the region and, to a lesser extent, by the introduction of UI systems in some countries and the role of unions in countries with moderate unionization rates. Falling inequality can also be explained by the fall in the returns to skill associated with increased share of more educated and older workers.


Author(s):  
O. Borodiyenko ◽  
L. Milto ◽  
І. Kamenska ◽  
O. Bokshyts ◽  
V. Malykhina

Abstract. The purpose of the article is to highlight the problems of providing regional labor markets with qualified personnel and identify ways of effective interaction between educational institutions and enterprises. The theoretical significance of the article is that it, based on an experimental study conducted in the Donetsk region, analyzed the reasons for dissatisfaction of enterprises with the quality of professional training; the existing experience of cooperation between educational institutions and enterprises of the region is analyzed; barriers have been identified that prevent the establishment of an effective partnership between educational institutions and enterprises aimed at meeting the existing and future needs of the labor market in qualified personnel; the level of readiness of enterprises of the region to cooperate with institutions in the direction of modernization of material and technical base, internship of teachers, joint preparation of educational programs, advanced training of personnel is analyzed; on the basis of the analysis of results of survey it was identified professions for which it is advisable to start professional traininin in vocational institutions in Donetsk region; the model of competencies of the future skilled worker elaborated by employers is presented (on the example of the profession «Locksmith for repair of wheeled vehicles. Driver of motor vehicles (category «C»). Machinist of a truck crane»). The practical significance of the article is that based on the opinion of employers of Donetsk region, the authors offer recommendations to improve the interaction between educational institutions and enterprises of Donetsk region to solve the problem of professional training for current and future needs of the region’s economy. The presented recommendations and research model can be extrapolated to the effective development of labor markets in other regions of the country. It was revealed that the modern labor market in particular in Donetsk region is characterized by significant disparities between demand and supply of personnel (almost all vacancies in terms of occupations have a deficit, i.e. supply (number of unemployed) exceeds demand). There is a great lack of vacancies in the professions of auxiliary worker, driver of vehicles, seller of food products, seller of non-food products, cook. Instead, the scarce professions that are in demand in the labor market are a machinist bypassing turbine equipment, a locksmith repairing steam and gas turbine equipment, a machinist bypassing boiler equipment, an electrician servicing electrical installations, a kneading machine operator, a plumber, a nanny, an electrician for repair and installation of cable lines, a pipe and billet cutter, an extruder of refractory products. It is determined that the system of training of future skilled workers in educational institutions of the region needs significant modernization, as there are currently significant discrepancies between the level of preparation of graduates for professional activities and the requirements of employers. The difficulty of adaptation of graduates in the workplace is associated with the lack of certain professional competencies and personal qualities, the development of which should be paid attention to in the process of initial professional training in educational institutions — practical training, experience, practical knowlwdge), motivation to work. Deficits are also responsibility, independence, purposefulness, level of qualification. It was found that cooperation between educational institutions and employers is still carried out in traditional forms — the internships of students of educational institutions on the basis of enterprises, the participation of employees in assessing the quality of training. The prevalence of formal interaction significantly determines the quality of training for the needs of regional labor markets. The directions of personnel professional training for actual and perspective needs of the region labour market are singled out: excavator driver, car mechanic, electric gas welder, locksmith-repairman, electrician, turner, crane driver, confectioner cooker. The structure of the competency model of future skilled workers was identified — basic and professional competencies — that will ensure rapid adaptation and effective work of graduates at enterprises of the region. It is determined that for the effective development of regional labor markets and effective training for them the key is to implement the idea of public-private partnership of educational institutions and employers, the most effective forms of which should be cooperation in curricula development, advising on their content, methods and technologies of the educational process, providing recommendations for updating equipment, providing teaching materials, assistance in updating the library fund, databases, to ensure the educational process in the institution (invitation of so-called guest speakers), professional development of teachers and masters of industrial training, joint project activities, implementation of career guidance activities, organization of excursions of students and entrants to enterprises, informing about employment opportunities at enterprises, lobbying the interests of the institution at the level of local governments, participation in determining the development strategy of the institution, assistance in the process of attraction of additional sources of financing, creation of advisory bodies of the educational institution (advisory committee in the specialty, supervisory boards, etc.). Keywords: regional labor markets, professional training, educational institutions, institutions of professional (vocational) education, efficiency, professional training. JEL Classification I21, L33 Formulas: 0; fig.: 0; tabl.: 0; bibl.: 9


2015 ◽  
Vol 59 (3) ◽  
Author(s):  
Michaela Fuchs ◽  
Antje Weyh

Return migration to East Germany. Spatial patterns and relevance for regional labor markets. We analyze labor market-related return migration from West to East Germany between 1999 and 2012. The spatial patterns of relocating the place of living versus the place of work attribute clear benefits from return migration to the East German districts directly at the former intra-German border, the larger cities and the regions surrounding Berlin. Return migration to rural areas is in most cases undertaken by natives of these regions.


2021 ◽  
Vol 12 (3) ◽  
pp. 105-120
Author(s):  
Margarita V. Kurbatova ◽  
◽  
Inna V. Donova ◽  

The modern economic literature has accumulated enough data indicating that labor markets have local specifics, and a single all-Russian labor market is an abstraction. Therefore, the characterization of the Russian labor market as a system of separate regional markets is very important. The purpose of this paper is to determine the functional characteristics of the labor markets of resource-type regions, to identify the features of their state. We used Rosstat data for 2005–2006, 2008, 2013, 2016–2019, as well as microdata from a sample labor force survey conducted by Rosstat in 2019. It is shown that the factor of resource dependence has some effect on the parameters of regional labor markets, but only in combination with other factors (climatic, demographic, spatial, structural and sectoral). In various regions the influence of this factors can be very different. The cluster analysis made it possible to identify some effects of the influence of the resource dependence on labor markets. Firstly, only a very high level of resource dependence of regions is accompanied by a positive and complex influence on regional labor markets. Secondly, resource dependence of regions provides labor market parameters at least at the national average. From the point of view of state regulation labor markets in regions with a high level of resource dependence deserve special attention. At the same time, the main area of activity should be efforts to diversify the economy at the expense of resource rent. This requires the development of new approaches to the interaction of regional authorities with mining companies based in resource-type regions.


2018 ◽  
Vol 8 (2) ◽  
pp. 111-112
Author(s):  
Iryna Tsymbaliuk ◽  
Maksym Voichuk ◽  
Vladyslav Kolomechiuk ◽  
Oleg Uniga

The place and role of the labor market for smart city development are determined. Proposed methodology for assessing the labor market, according to which the diagnostics of the labor markets development in the regions of Ukraine was conducted. According to the results of the integral indicator calculation, the assessment and grouping of regional labor markets at different levels of development was carried out. Based on the comprehensive application of econometric tools, a model for the development of regional labor markets in Ukraine based on indicators of demand, supply and prices for labor was built, as well as the most significant factors of labor market development is determined. According to the results of the regional labor markets development analysis, prospects for the formation of smart cities located on their territory are determined.


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