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The Incidence and Cost of Job Loss in the Ukrainian Labor Market

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Author Info

  • Lehmann, Hartmut

    ()
    (University of Bologna)

  • Pignatti, Norberto

    ()
    (ISET, Tbilisi State University)

  • Wadsworth, Jonathan

    ()
    (Royal Holloway, University of London)

Abstract

We examine the effects of economic transition on the pattern and costs of worker displacement in Ukraine, using the Ukrainian Longitudinal Monitoring Survey (ULMS) for the years 1992 to 2002. Displacement rates in the Ukrainian labor market average between 3.4 and 4.8 percent of employment, roughly in line with levels typically observed in several Western economies, but considerably larger than in Russia. The characteristics of displaced workers are similar to those displaced in the West, in so far as displacement is concentrated on the less skilled. Around one third of displaced workers find re-employment immediately while the majority continues into long-term non-employment. The wage costs of displacement for the sub-sample of displaced workers do not seem to be large. The main cost for displaced workers in Ukraine consists in the extremely long non-employment spell that the average worker experiences after layoff.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 1770.

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Length: 44 pages
Date of creation: Sep 2005
Date of revision:
Publication status: published in: Journal of Comparative Economics, 2006, 34 (2), 248-271
Handle: RePEc:iza:izadps:dp1770

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Keywords: displaced workers; labor markets in transition; Ukraine;

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  7. Hartmut Lehmann & Jonathan Wadsworth, 2000. "Tenures that shook the world: Worker Turnover in Russia, Poland and Britain," LICOS Discussion Papers, LICOS - Centre for Institutions and Economic Performance, KU Leuven 9500, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
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  16. Earle, John S. & Lehmann, Hartmut, 2002. "Microeconometric Studies of Russian Labor Markets in Transition: Introduction to a Symposium," Journal of Comparative Economics, Elsevier, vol. 30(1), pages 91-95, March.
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  19. Michael Podgursky & Paul Swaim, 1987. "Job displacement and earnings loss: Evidence from the Displaced Worker Survey," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 41(1), pages 17-29, October.
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