As we discussed in our previous post, Global Value Chains can lead to the creation of more, inclusive and better jobs. . However, there is a potential trade-off between increasing competitiveness and job creation, and the exact nature of positive labor market outcomes depends on several parameters. Given the cross-border (and, therefore, multiple jurisdictive) nature of GVCs, national policy choices to strengthen positive labor outcomes are limited. However, national .
Europe and Central Asia
My colleague Victoria and I had an opportunity recently to meet with students at the Tajik-Russian Slavonic University in Dushanbe, Tajikistan, as part of our research and preparation for a new report called Tajikistan Jobs Diagnostic: Strategic Framework for Jobs.
Curious to learn about their future professional ambitions, we asked one class of students how many of them would like to work in the private sector after they graduate. Only about 10% of the students raised their hands. We also asked them how many would like to work for the government. This time, around 20% raised their hands.
"Writing laws is easy, but governing is difficult," wrote Leo Tolstoy in War and Peace. We agree.
Our recently finished study highlights how differences in the enforcement of a strict labor code across Russia’s numerous administrative regions has affected hiring and firing decisions. More specifically, we examine how the varying capacity to enforce the labor code affected labor adjustment by firms in response to industry-wide surges and slumps.
Exponential increases in automation, computerization and digitization is having a profound impact on many people’s jobs. Branko Milanovic’s recent work on global inequality has shown extent to which the lower-middle class jobs in developed countries are being replaced by technology. In particular, economists argue that middle-skilled, routine-intensive jobs are being hollowed-out. And indeed, in Western European countries and the US there has been a decrease in the intensity of routine tasks – both manual and cognitive. However, in Central and Eastern European (CEE) countries, the amount of routine cognitive work has been on the rise. And the pay for these workers has increased faster than for high skilled workers. Why is this happening, when in the most advanced economies the opposite is happening?
The last three decades have seen a transition from central planning to market systems across Central and Eastern Europe (CEE). But over the same period there has been a consistent decrease in women’s employment. Prior to the transition, CEE countries were characterized by a relatively high employment ratio among women. Gender employment gaps were generally lower in CEE under central planning and then increased over the course of transition.