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Regular version of the site

Development of Labor Market Intermediaries in Russia

2007
Department: Laboratory of Sociological Studies

 

The objective of this research is to analyze the situation and developments concerning labor market intermediation in Russia, in particular the institutional structure of the Russian market of intermediary services in the area of recruiting and employment, including the functions of the state and commercial employment agencies as well as informal rules determining relations between employer and employee concerning the process of hiring and employment. The work is remarkable for its comprehensive approach to the problems of recruitment and employment including motivation and behavioral practices of the main labor market agents.

 The work focuses on the analysis and evaluation of the role of specialized agencies in providing recruitment, employment and job hunting services, as well as  on the analysis of recruitment practices in Russian companies and of their influence on the intermediary service market; the research also includes analysis of the situation of young workers in the labor market.

Currently, intermediary services in the labor market are provided by state employment agencies, various types of private recruitment and employment agencies as well as by entities related to education institutions (providing services for graduates). This infrastructure also includes various information channels:  Internet, mass media etc. Intermediary mechanisms facilitate interaction between employers and job candidates.

The research methods of the project include both qualitative and quantitative sociological analysis. Original empiric data sets have been obtained through a household survey conducted by the HSE Institute for Social Development Studies in June 2007. The survey took place in St. Petersburg, Ivanovo and Samara Regions (1800 people representing adult population of the region). In addition to questions related to job hunting and recruitment practices, a set of questions on security and social protection in the labor market were included, giving a wider picture of labor mobility and providing a comparison of the results with other surveys.

The household survey revealed that 24% of unemployed and 44% of employed people have looked for a job over the last three years (representing about 40% of all respondents). The leading role in the intermediary services in the labor market belongs to the channels and institutions which existed long before the start of market reforms. Even though new institutions of modern intermediaries in the labor market are developing quite rapidly, they have not yet been able to achieve competitive level of efficiency.

Recent changes in the socio-economic situation in Russia have led to increased activity in the youth labor market. Depending on their educational background, young workers go to different segments of the labor market, use different employment strategies, technologies and intermediaries. The research reveals that for the most part graduates of elite education institutions find jobs using modern market intermediaries, while graduates of other institutions rely more on traditional state programs and public institutions. The research also reveals the low efficiency of services provided by educational institutions for their graduates.