Against the background of increased mobilization in Ukraine, a shortage of Labor is beginning to be felt – Bloomberg

Against the background of increased mobilization in Ukraine, a shortage of Labor is beginning to be felt – Bloomberg

Kyiv  •  UNN

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Mobilization was one of the reasons for the acute shortage of workers at enterprises throughout Ukraine, which led to a decrease in labor productivity and the volume of economic activity.

Mobilization, which is necessary to counter the war against the Russian Federation, undermines the productivity of enterprises in the rear. More and more entrepreneurs are facing a shortage of labor in the labor market. This is reported by Bloomberg, reports UNN.

Details

The publication notes that the shortage of Labor has become one of the main problems of companies trying to hire employees.

Thus, the law on mobilization , which came into force last month, is aimed at replenishing the Ukrainian military ranks with hundreds of thousands of military personnel. At the same time, because of this, enterprises that form the basis of the wartime economy may face a shortage of able-bodied men and women.

We are now in a war of attrition

- said Deputy Head of the NBU Serhiy Nikolaichuk in an interview in Kiev.

 Bloomberg believes that the problem  will only get worse, as the Russian full-scale invasion continues for the third year and Ukraine needs new forces to repel enemy attacks.

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Nikolaychuk said that the decline in economic production compared to 2021 was due to a reduction in the available labor force by about 27% compared to pre-war levels.

In addition to the estimated 6 million people who fled the war, the vacuum is compounded by the shadow economy of undocumented workers, who thus seek to avoid mobilization.

Addition

The publication notes that due to the lack of employees, some companies raise salaries in order to somehow retain those workers who remained.

Meanwhile, senior economist at the Kiev Center for economic strategies Volodymyr Landa notes that the government should monitor business requirements, even strengthening the army.

The reason is simple: Ukraine does not have enough funds to significantly increase its troops

Landa said. 

Recall

The Kiev Metro plans to increase train intervals due to an acute shortage of specialists in working professions. The company says that one of the reasons for the lack of personnel is mobilization. In particular, about 7% of Metro employees already serve in the Armed Forces of Ukraine.