Research object of the surveys presented in the report consists of the dynamics of job structure and gross worker flows.
Research purpose of the surveys is the comprehensive analysis of labour mobility on the Russian labour market, its major features and consequences.
Empirical base of the research is provided by the official data collected by Federal Statistics Service (“Rosstat”) and national statistics data provided by OECD database and The European Map of Job Flows. Russian Labour Force Survey for the period of 2000-2012 and October Occupation Survey conducted on the regular basis by Rosstat. Important information was provided by the large panel Russia Longitudinal Monitoring Survey – Higher School of Economics (RLMS-HSE) covering the period of 1994-2013.
Research results showed that there were no prominent signs of jobs polarization in the period analyzed. The proportion of low-paid jobs was declining and the share of well-paid jobs was increasing. These trends are the results of positive development of Russian economy in the previous decade (employment restructuring, consumer’s demand dynamics, increase in high-qualified workers supply, technological and institutional progress). The Russian unemployment appears to be very dynamic since 50% of the current unemployed on average manage to find new jobs in the next period. It was also revealed that out of the labour force status serves as an important instrument of labour market adjustment accumulating about one third of the previously unemployed individuals and later successfully transferring them to the employment status. Analysis of Russian employment structure shows that public sector is characterized with low levels of labour mobility while private and especially informal sectors are quite dynamic. Labour mobility in terms of job changes can be quite beneficial for those who voluntarily decide to move to another job - they tend to be better paid afterwards. Transition to the unemployment is associated with the loss of labour earnings during the period of unemployment, substantial wage decline on the new job and serious moral damage. Transition to the unemployment is also characterized with non-pecuniary costs in subjective social status decline that are distributed unequally between different occupational groups. Managers experience most significant subjective social status decline in case of becoming unemployed while members of worker occupations make largely no difference between the states of employment and unemployment. The present report also includes the study of wage rigidity in Russia that was analyzed on the basis of panel micro-data for the first time. It demonstrated that structural changes in Russian unemployment affect dynamics of mean wage in a less degree than in developed countries. It signifies the absence of flexible mechanisms of wage adjustment to negative economic shocks. Report also comprises comprehensive comparative investigation of the transition labour market features that deals with turnover of jobs and worker flows. It showed that processes of reallocation in different countries have many similarities, namely high levels of reallocation intensity in small enterprises and service sectors. In transition countries, creation and destruction of enterprises plays significant role. Institutions also substantially influence worker flows dynamics.
Implementation of the research results
Results presented in the report can be used in social and economic policy recommendations. They also can have a number of important consequences for the evolution of labour market theory and methodology. The present report provides new empirical results that contribute to the understanding of the contemporary features of Russian labour market mechanism. Main results of the report and the methodology of empirical studies conducted can also be used in the labour economics courses.