The employment model and labor policy in Russia

Abstract

The paper examines the characteristics of employment policy in Russia in the context of economic crisis. It is shown that stability of employment and relatively low unemployment level in Russia were achieved due to low wages, the conservation of an outdated technological structure, and the low rate of renewal of labour resources. The necessity of transition to a new employment model that combines efficient labour with an up-to-date system of unemployment insurance is substantiated. Particular attention is given to the policy of retraining and job search assistance carried out by employment services. It is argued that, to combat unemployment, a shift of employment policy focus is required from passive to active measures, such as retraining and employment programs.