Seventy-four percent of surveyed companies in Ukraine are experiencing a personnel shortage, according to a new study published by the European Business Association (EBA) on April 24. This is a significant increase from the 55% of surveyed employers experiencing a shortage in 2023.
The study noted that nearly three-quarters of surveyed employers are struggling with a hiring shortage, 17% are experiencing a partial shortage, and only 7% are not experiencing a shortage of any kind. Previous studies of Ukraine's labor market took place in the fall of 2023 and revealed that 55% of employers struggled to hire personnel.
According to the study, scarcity is mainly caused by talent shortages, mobilization, employee desires to work remotely, outflow of qualified personnel abroad, burnout, and employee fatigue.
Participants in the study noted that several changes may be instituted to try to remedy ongoing constraints. Some of these changes involve salary increases and expanded training and development programming.
Research participants mainly represent Ukraine's wholesale and retail markets, the pharmaceutical sector, food production, and specialized consulting services such as legal support, auditing, marketing, and recruiting. The study was conducted between August 2023 and April 2024.
Earlier this year, Ukrainian business associations publicly called for reform to the country's mobilization law, fearing that its draft policies could cripple an already-struggling domestic economy.
The Ukrainian Business Council urged the removal of certain proposals that could hurt businesses already operating in "survival" mode, including online call-ups and provisions that would allow Ukraine's military to seize privately owned vehicles.
Ukraine's government only recently passed the highly controversial mobilization bill following several contentious rewrites. Lawmakers have proposed over 4,000 amendments to the bill since then.
Elsa Court
