Current Problems of the Public Regulation of Labor Market in Ukraine

Abstract

The article is devoted to changes of some legislative acts of reform public administration in employment. Analysis and qualitative assessment of the Draft Law of Ukraine “On Amending Certain Legislative Acts of Ukraine to reform of public administration in the employment and social insurance in case unemployment” has been done in the work.
 The author considers that in developing of legislative reforms in employment necessary to expand the list of sources of funding for implementing public policy through gradual attracting resources of separate trust funds for the implementation of employment policy. It is necessary to create mechanism for attracting funds from private foundations and differentiate the expenditure of the Fund of Compulsory public social insurance Ukraine in case of unemployment with the allocation of urban and rural units. Implementation of these reforms requires pre reforming of social insurance in case unemployment. In addition greater attention should be paid to the development of methodology measures to facilitate employment and assessment of their effectiveness in the short and long terms.
 Voucher systems can be effectively introduced to the labor market once the labor market actors (local employment offices, education institutions and private sector) interact and the potential users are prepared to accept them (have the required awareness and stimuli). Transfer of voucher systems is possible, but the introduction won’t be effective without well proven practices and due account to the available resources.
 Also, the problem of building social dialog should not be overlooked when elaborating regulatory reforms in the employment. Ways to enhance the effectiveness of social dialogue and activate the positions of all the entities involved in the negotiation process need to be found, in order to preserve the development prospects for the already existing system of social and labor relations, although not quite acceptable for a major part of the Ukrainian community. The social stability in Ukraine is largely dependent on the quality and controllability of the mechanisms underlying the social and labor relations system, and on the capacity of its actors.