The Impact of the COVID-19 Recession on the Russian Labor Market

Abstract

AbstractThe study is aimed at determining the specifics of the impact of the pandemic on the Russian labor market, identifying new trends in employment, as well as substantiating the directions of the state stabilization policy. The authors analyzed the situation on the labor market in Russia and the regions, as well as in the context of economic activities. A reduction in the number of employed in 2020 has been established, and regions and types of economic activity with the greatest reduction in employment have been identified. It is determined that the primary reaction of Russian enterprises to the introduction of lockdown was a reduction in employee wages despite the current legislation. The unfavorable situation in the labor market is evidenced by the growth of registered unemployment (the maximum value is 6.4% of the labor force). The article highlights new trends in employment as a result of the impact of the pandemic: an increase in vacancies for remote work; intensive automation of HR processes; an increase in the threat of cybersecurity; rapid development of the outsourcing and outstaffing of personnel market; and actualization of innovative transformations of labor activity. The authors have identified the directions of state policy to stabilize the labor market in Russia and overcome the pandemic consequences.KeywordsLabor marketEmploymentUnemploymentPandemicRecessionTransformation of forms of employmentRemote workJEL ClassificationJ21J64