The labor market is revitalizing: who has rising salaries and who can change jobs. What awaits applicants in the fall and who can count on a salary increase

Michael Germershausen, managing director of the recruiting company Antal:

1. Automation of HR processes is perhaps the main HR trend of the last few years

Employers seek to automate routine processes and free up employees' time for more important and creative tasks. With the development of technology, there are more opportunities for this, including in HR.

According to Antal research, 81% of companies automate HR processes. At the same time, more than half of the survey participants rated the level of HR automation in their own company as medium or high. Already today, HR records management is automated for 90% of employers, and more than half of the companies are already testing various options for automating recruitment and staff assessment.

For many companies, automation is one of the key priorities. IN next year we will observe the development of existing software solutions and the emergence of new ones. Some software products will become more accessible - there are many niche products on the market that allow you to automate certain tasks. This is important for small and medium businesses who cannot afford global and expensive solutions.

Job seekers have become more confident in the Russian economy than three years ago, employers have become more confident in recruiting, but companies are still very cautious about growth. Over the past year, we have seen a certain stabilization in the labor market, but the prerequisites for active growth No.

For the next year, the forecast for the level of wages is more restrained than in the past. In 2016, employers more often included in the budget a salary increase of 7-9%. In addition, more than 30% of employers do not provide wage growth at all or do not yet have information about indexation.

This can lead to disappointment for employees who are waiting for a salary increase, so employers will have to put more effort into effective non-material motivation and retention of staff.

3. Slowing down strategic decision making

Presidential elections will be held next year, such a major political event will affect the country's economy. How exactly, however, is still unclear. That is why many companies will delay at the beginning of the year the adoption of important management decisions waiting for more certainty. Therefore, some recruitment projects may be frozen, and decisions related to the size of salaries, the number of staff, and the opening of new directions may be postponed.

4. Increasing demand for temporary staff

Summer in Russia will pass Soccer World Cup. Such a large-scale sporting event will require a large number of human resources. Demand for temporary staff and volunteers will skyrocket. This means that competition among employers in this segment will also increase.

5. Sharing economy

Continuing the trend of the past few years, the focus of employers continues to be on process optimization and cost reduction. One of the tools is the optimization of resources by sharing them. In private life, the popularity of the sharing economy confirms the success of services such as Uber and Airbnb. In business, this approach is also applicable.

From the point of view of personnel, this can be expressed in joint trainings and events for employees of several companies at once, outsourcing of certain functions or organizing single service centers. For example, the transfer and centralization of the CDP function for all offices in Russia in one region. Again, thanks to automation and greater opportunities for remote work, there are more chances today to use resources more efficiently, including human resources.

6. Soft skills will become mandatory for everyone

Non-specialized skills that ensure successful participation in the work process or Soft skills are becoming increasingly important for employees of any specialization. More and more technical, routine tasks can be automated, and the importance of successful interaction with the team and colleagues comes to the fore. Such interaction is impossible without a developed one. It will become one of the competencies in demand among both managers and specialists in the next few years.

In addition, the principle design work is becoming more and more popular in teams, which means that it is increasingly important for HR professionals to correctly identify and take into account when forming balanced teams.

Sergey Mozhenin, partner of Antal recruiting company:

Recruitment automation and big data analysis in HR are important trends, but they will really “shoot” not in 2018, but a little later.

7. Recruitment automation

56% of employers use certain programs to automate recruitment. Most companies consider automating HR and other processes one of their business priorities. At the same time, in addition to automating basic HR functions related to personnel records management, tried new and “fashionable” recruitment automation tools: chat bots, video interviews and the Vera robot. However, most of the participants in the study are still ambivalent about them. Despite the promise, today they are still not sufficiently reliable and versatile and require a lot of maintenance at the initial stage. Therefore, none of the participants in the study turned out to be ready to completely abandon the traditional recruitment. In 2018, this will also be talked about a lot, machine learning technologies will gradually improve, but it is too early to talk about the complete replacement of recruiters by robots, and this will not happen next year.

8. Working with big data, HR analytics

Today, tools for collecting data, generating and using predictive analytics in HR for making managerial decisions are widely discussed. However, at the moment we are talking rather about the stage of accumulation and systematization of data for further processing. Companies collect so-called "lakes" of data, but the qualitative further processing of this information is still ahead. We already have the technology to answer almost any question, now we need to learn how to ask these questions correctly.

Konstantin Bryauzov, partner of Antal recruiting company:

9. Expats are in demand again in Russia, but in a different capacity

In the agricultural sector and manufacturing, companies are increasingly faced with a shortage of highly specialized personnel, so they are ready to attract such specialists from abroad.

If earlier expats were primarily attracted to Russia for managerial positions, today there is a growing demand for expats-specialists who are familiar with specific technologies or know how to work on the latest generation equipment.

The calendar year is slowly but surely coming to an end. And this means that the time has come to sum up the results of the outgoing year, which, by the way, was by no means stingy with events. The year clearly showed that the Russian labor market is undergoing albeit slow, but qualitative changes. Employers had time to adapt to the existing economic situation, and they did not waste it in vain. Throughout the year, the business has been looking for the most optimal models of interaction and hiring, approaching the selection of personnel as pragmatically as possible: selecting the best personnel at the best price.

The main indicators of the state of the market traditionally include the level and dynamics of wages, employment and unemployment rates, labor needs and shortages, and so on. Considering them and the events that took place in 2017, Careerist.ru offers to deal with the main trends in the labor market that have affected, if not everyone, then most of our readers. Let's start with the essential - wages.

1. Salaries in Russia are growing. And go into the shadows

At least, representatives of Rosstat loudly declare this in their monthly reports. Of course, there are no final results of the year yet - we will receive them no earlier than at the end of January 2018, but we can already predict what we will see in them. So, wages in Russia grew throughout 2017, both in real and nominal terms.

Real growth (nominal growth minus inflation) will be approximately 3.2-3.5% compared to 2016. Many will be surprised, but in mid-2017, Rosstat, in monitoring the average salary, recorded indicators exceeding 40 thousand rubles. Thus, the average salary in May amounted to 40.2 thousand rubles, and in June (which, obviously, is associated with the payment of vacation pay), as much as 42 thousand rubles. However, on this moment the average salary has fallen in order and is at the level of 38 thousand rubles. Nevertheless, according to the results of the year, the growth will be obvious, although it will not exceed 3.5%.

However, we do not undertake to assert how objective such data of Rosstat is. Moreover, at least 22% of all those employed in the economy, and hence the wage fund, are in the shadow sector. It is important that this figure is growing compared to 2016: only in the first quarter, the growth reached 20%. At the end of the year, it is expected that in total gray salaries reached the volume of 11 trillion rubles. The country's leadership continues to declare - Russia has come out of the crisis, there is a steady growth. But neither business nor workers see incentives to enter the formal economy. Therefore, the situation when specific gravity shadow wages is increasing, and will continue for the next 2018, experts say.

2. The minimum wage is catching up with the PM. Almost a year late

Another factor that stimulates and will continue to stimulate the nominal growth of wages is the increase in the minimum wage. Recall that since mid-2017 it has grown to 7.8 thousand rubles, which, of course, is negligible. According to the law, it should not be lower than the subsistence minimum, which is also underestimated to the point of impossibility, but still amounts to 10.3 thousand rubles.

That is, the direct indication of the law is ignored. Before the elections, they decided to recall this in the Kremlin. For example, in May, Prime Minister Dmitry Medvedev recalled this, and in September, President Vladimir Putin, at one of his joint meetings with the government, gave instructions to develop an appropriate bill.

And just a few days ago, this law has already been adopted. So, from January 2018, the minimum wage will be at least 85% of living wage. True, for the second quarter of 2017. By 2019, it will reach 100% of the subsistence minimum. True, for the second quarter of 2018. And so on. When the minimum wage and PM will really be equalized, the document does not specify.

All this is very doubtfully reminiscent of the fight against working poverty. Recall, according to government analysts, about 12 million people, or every 6th Russian, have problems with wages that are not enough to provide for themselves and their families. The HSE is much more pessimistic. They argue that if wages are calculated taking into account that they also need to support children, then every fourth worker is below the poverty line. Equalizing the minimum wage and the PM will certainly help change the statistics formally, but in practice, little will change for the better.

3. Personnel shortage: no one to work or no place to work?

Throughout 2017, recruiters noted a steady increase in the number of vacancies. Initially, this was explained by the fact that, they say, the economy is coming out of the crisis, business is increasing the pace of production and, consequently, the need for labor is growing. However, not everything is so clear. The fact is that an increase in the number of vacancies is often associated with a decrease in the economically active population.

For example, in the first half of 2017, the number of people employed in the economy decreased by 450,000 people compared to 2016, according to the RANEPA. First of all, the decline is associated with demographic reasons. This means that the population of Russia is aging, due to which the economic activity of the population is decreasing. Simply put, the market is entering a phase of staff shortages: this supposedly should put job seekers in an advantageous position, help raise salaries, and so on.

But not everything is so clear. For example, according to Rosstat, there are no serious fluctuations at all. The number of vacancies remains the same, employment in 2017 increased by only 1 p.p., while the number of jobs, on the contrary, decreased by 2.4%. That is, given this, it is not possible to talk about a personnel shortage. Of course, this does not mean that the number of vacancies cannot grow, but this is definitely not caused by a demographic hole, but by structural problems in the labor market, including:

- the backwardness of education, which does not give the economy specialists required level;
- the level of salaries, which employers themselves are reluctant to raise;
- unwillingness of young people to work in traditional industries for low wages.
It turns out that there are jobs and workers. But because of the different views on the labor market, they do not converge.

4. Labor rights of workers continue to be violated

Employers as a whole continue to feel like masters of the labor market. Let's omit the objective conditions that they dictate - now they are much more likely to violate even the conditions stipulated labor law. According to the HSE, almost half of all workers in the Russian labor market experience violations of their labor rights.

Most often, private enterprises act as violators: 54% of them do not bother to pay sick leave and vacation pay, 52% pay gray or black wages, and 34% refuse to formalize their employees. What can we say about other basic rights, such as working hours, work and rest, timely payment of salaries, and so on.

Against this background, the number of those who consider conflicts between employers and employees is one of the main troubles leading to the situation in the economy that we have today is growing. Such today are 22% of the total number of working respondents. Despite active work labor inspections, the scale of violation of labor rights will continue to grow in 2018, which is associated with increased tax pressure on businesses and their continued withdrawal into the shadow sector.

Separately, it is worth dwelling on salary debts. As you know, today they amount to only 3.5 billion rubles, but they concern 60,000 people. That is, almost 60 thousand families do not have a livelihood, waiting for Rostrud to help them solve their debt problem. So, there is no need to wait for the elimination of this problem. Moreover, the government has developed a draft law that will make it possible to pay wage arrears of bankrupt enterprises at the expense of regional budgets. So we are waiting for the mass bankruptcy of troubled enterprises.

5. We won’t save for retirement - we’ll work longer

Despite the prevailing position, we believe that pensions cannot be considered separately from the labor market, since current workers are future pensioners. And the question of the future of the pension system should excite them like no one else. So, throughout the year, one of the most controversial issues was the topic of raising the retirement age. The second after it in terms of importance and inconsistency was the new accumulative system of "Individual Pension Capital". With the help of these two tools, the supporters of these ideas proposed to reform the pension system, laying the foundation for a happy pension for future pensioners already today. The topics acquired such a resonance that only the lazy did not give them an assessment, and the society itself split into two camps: opponents and supporters of the reform.

However, neither one nor the other question eventually acquired a logical conclusion. With an increase in the retirement age, everything is clear: in order not to provoke the public, this issue was postponed until the end of the presidential campaign. But with the storage system, everything is not so simple. Developed at the end of 2016, it should have been launched in 2018. But due to contradictions between the authors and the Ministry of Labor (which insists on refusing to auto-subscribe all workers to the system), consideration of the reform was postponed until at least the end of 2018. At the same time, the previously frozen funded system received another moratorium.

How do you remember the labor market in 2017?

The slowdown in economic growth in Russia and the crisis continues to affect the domestic labor market. In 2016, the business nevertheless adapted to economic realities and the companies did not carry out significant staff cuts in the outgoing year. These are the conclusions of Superjob analysts who studied the trends in the labor market this year and the expected trends in 2017.

Significant reductions in the number of personnel were carried out by only 3% Russian companies. At the same time, the annual increase in the number of vacancies this year amounted to 47%.

The recruitment process has completely switched to online services. Thus, employers look for potential employees through various social media and specialized applications.

Moreover, at the end of 2016, the audience of mobile only employers, who use only smartphones and tablets to search for new employees and manage communications with them, has finally taken shape, the report says.

Instead of laying off staff in 2016, employers preferred to save on tuition or travel costs, replacing this with product discounts.

Thus, “compensation packages have become less likely to include the possibility of training at the expense of the company (46% today, 51% in 2014), the provision of company transport (23 and 19%), payment for sports clubs (12 and 5%), travel in public transport ( 12 and 6%)".

The most successful this year were rare and highly qualified specialists. In 2016, salaries for specialists with work experience from 1 to 3 years grew at a faster pace.

“Oracle developer (+21%) — 100-120 thousand rubles, foreign exchange specialists (+20%) — 55-70 thousand rubles, chief designer (+19%) — 100-150 thousand rubles. As well as software testing department heads (+18%), international law lawyers (+18%), Internet project managers (+17%), Java programmers (+14%), tax law lawyers (+13%), PHP programmers (+12%) and systems analysts (+11%),” the study says.

According to Superjob, 2017 will be the last year we can see an overall increase in the number of real jobs. Starting in 2018, offers for low-skilled employees will begin to decrease by 5% each year, while real unemployment will grow at the same pace.

Thus, given the current trends, the overall level of real unemployment in Russia by 2022 may increase several times, up to 20-25%.

At the same time, the demand for highly qualified specialists will only grow.

In the near future, the demand for contact and call center employees will decrease due to the expansion of automation of this type of activity. Employees of accounting departments and banks, who deal exclusively with document management, will also face lack of demand.

knowledge foreign language now it is also difficult to surprise: such a requirement will be relevant only in positions that require the level of a native speaker.

The increase in demand in 2017 will affect IT developers, engineers in various fields, bank managers and international lawyers. The growth in demand for highly qualified employees, coupled with an increase in their wages, is rather a temporary phenomenon, the RANEPA believes.

“These are fluctuations. This means that in the previous stages of the crisis, and we know that this was the case, medium- and high-paid employees suffered more, both in terms of salary and release. Now a gap has formed, employers are trying to fill it, ”explained the director of the Institute social analysis and forecasting RANEPA Tatyana Maleva.

But, according to her, this only partly explains the growth in demand for IT developers and Big Data analysts. “The second reason for the demand for such employees is that the demand for Big Data is growing, this can be seen from different areas activities. But we have very few such developers,” said Maleva.

The changing situation in the economy sets new rules of the game in the labor market. The revival of construction will lead to an increase in the need for specialists in this field. Until 2020, the demand for the builders themselves, specialists in the field of trade, services and real estate transactions will increase. This was reported to Izvestia in the press service of the Ministry of Labor. The number of people employed in manufacturing, on the contrary, will decrease due to automation. As they add in HR companies, a high demand for personnel will also be presented by the real sector, Agriculture, information Technology, research and development work (R&D). A third of all employees will have to improve their skills, primarily through soft skills (flexible skills), which are especially lacking in technical professions .

Russian market labor in the future 2-3 years will undergo changes. Some of them will reflect global trends, while others will be a response to domestic Russian challenges.

According to the estimates of the Ministry of Labor, which Izvestia got acquainted with, until 2020 the trend towards a decrease in the number of workers in manufacturing industries will continue, which will lead to a decrease in the proportion of people employed in this form economic activity from 14.2% in 2016 to 14% in 2020. At the same time, the share of those employed in operations with real estate, rent and provision of services will increase (from 9.9 to 10.1%). The share of those employed in construction will increase (from 8.6% to 8.8%) and in trade (from 18.9% to 19.2%). According to an Izvestia source familiar with the operational statistics of employment services, the latest data on the labor market already indicate an increase in companies' demand for construction professions. This demand is somewhat ahead of the forecasts of the Ministry of Labor.

According to the Director of the Center market research NRU HSE Georgy Ostapkovich, the decline in the number of people employed in the manufacturing industry is a rather long-term trend. However, the expert urged "not to exaggerate."

Much of this is due to advances in technology. Automation and robotization of production is underway, new machines are replacing old machines, where only one operator is enough. Russia, together with the whole world, is entering the fourth industrial revolution, and this, among other things, affects employment, the expert explained.

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According to the Gaidar Institute, the shortage of workers in industry to ensure the current output has dropped to its lowest level since 2010. Now only 20% of enterprises are experiencing a shortage of staff. However, skilled workers in Russian industry have been considered the most scarce resource since the end of last year. Even lack working capital is mentioned less frequently by enterprises as a risk factor.

The expected positive dynamics in construction is associated with the recovery of the sector. Since 2015, development has experienced crisis phenomena: the freezing of projects, the reduction of investments and orders. Now the situation is recovering in sync with the recovery of the economy. Housing construction is experiencing a particular rise thanks to a record fall in mortgage rates.

According to the forecast of Tatyana Smirnova, Head of the Kelly Services Recruitment Center, in the coming years, traditionally, the maximum demand will be for specialists-level employees.

Speaking from the point of view of the industry, most likely it will be the real sector, agriculture, information technology, R&D. If we talk about the level - there will be a demand for candidates with skills project management, she noted.

At the same time, the approach to personnel is changing, HR experts point out. If earlier employers showed demand for mono-professions with an appropriate set of parameters - for example, a mathematician "should be able to count", now the labor market is becoming more syncretic. A mathematician should already be able to work in a team and solve problems in a non-standard way. And this is more of a “humanitarian” set of skills. Thus, the boundaries between technical and humanitarian specialties will become more and more blurred.

As stated in the report of the World Economic Forum (WEF), the global labor market in the coming years will demand specialists in business and financial operations, management, and computers. At the same time, more and more office workers, lawyers, specialists in the field of art and design, as well as industry will be released.

In a dynamically changing world economy, states will have to realize that the main asset is not oil or gas, or even corporations like Apple or Google. The person is important as a unit of progress, Georgy Ostapkovich pointed out. Therefore, increasing investment in human capital is vital to the success of the economy. Exactly individual people and their intellectual product create the main added value in the economy.

Brief review of the report of the Center for Labor Research (CET) and the Labor Market Research Laboratory (LIRT) of the National Research University Higher School of Economics: "The Russian Labor Market: Trends, Institutions, Structural Changes".

• Low unemployment

Over the past two decades, Russia has developed a labor market model that differs markedly from the model that is typical for most developed countries. Her key feature is that the adaptation of the labor market to fluctuations in the economic situation occurs mainly due to changes in the price of labor, and not due to changes in employment and unemployment (everywhere, as a rule, the opposite is true). This model ensures high and stable employment and low unemployment with significant wage fluctuations.

• Sharp fluctuations in wages

In Russia, a significant share in the total compensation of workers is the variable part, the value of which is not fixed in advance in employment contracts. It includes bonuses and other incentive payments, which can vary widely depending on the economic situation of enterprises and management attitudes. Significant part binding monetary reward workers to the results of the enterprise means that their total earnings begin to depend on market fluctuations. When worsening economic conditions the activity of enterprises there is an almost automatic reduction in wages, while with their improvement, workers almost always begin to receive higher bonuses. The result is a highly procyclical movement in wages.

• The younger, the higher the income level

In the previous 15 years, Russia has seen an increase in both the employment levels of workers over 25 years of age and the number of employees, especially at the expense of the 26–35 and 51–65 age groups. Thus, demographic trends supported economic growth. However, according to demographic projections, the next 15 years will see a general decline in the number of employees, which will mainly occur at the expense of workers under the age of 35. A significant increase in the level of employment, even with an increase in the retirement age, is hardly possible. The consequence of such trends will be an increase in the earnings of workers at a young age relative to the elderly and, accordingly, an earlier (by age) peak of earnings. In addition, it becomes more actual problem maintaining the level of human capital among workers at older ages: existing levels participation in retraining are not able to maintain labor productivity as they age.

To counteract the trend towards an early decline in labor productivity, investment in dedicated human capital for persons over the age of 45 must be significant and continuous throughout the subsequent working life. If human capital is not renewed during the working life and loses its productive potential, then its productivity will decrease.

• White collars rule

The share of groups with high professional qualifications (managers, specialists of higher and intermediate levels of qualification) is approaching half, and the share of groups with low professional qualifications (agricultural workers, semi-skilled and unskilled workers) is no more than a quarter of the total number of employed. In terms of character labor activity 62% are white-collar and only 38% blue-collar. This shows that non-physical labor has become today the dominant type of economic activity of Russians.

• The level of human capital is falling

Professional retraining and retraining are important sources of replenishment of human capital. Countries close to the technological frontier spend heavily on this purpose and train up to half of all workers annually. In Russia, the share of employees involved in the process of retraining is about 13%, and in the private sector it is even lower. The expenses of enterprises for these purposes are about 0,3% from total costs for the labor force.

Training is highly selective: it is more focused on skilled workers employed in large enterprises, owners higher education and youth. Those most in need of retraining are out of reach. The low technological level of production, weak competition and high mobility of workers reduce incentives to invest in retraining. As a result, the overall level of human capital is below optimal.

An important source of replenishment and reproduction of human capital is additional vocational training - training and retraining of adults at the workplace, which can take place with or without interruption from work. It provides the supply of the necessary professional skills and is a factor in the growth of labor productivity. Studies in Russia conclude that additional vocational training increases an employee's salary by about 8%. This explains why this problem is the focus of labor market policies in many countries. If in European countries enterprises spend an average of 1.6% of the wage fund, and the leading countries spend more than 2%, then in Russia this indicator 5 times less and is 0.3%.

• Qualification breeds qualification

The higher the education and qualifications, the stronger the involvement in the processes of training and retraining. Among workers with complete secondary education, every twentieth takes part in additional training, and among workers with higher education - approximately every fifth. If every fourth specialist is retrained annually, then among the workers - only every twentieth. This confirms the well-known regularity that qualification gives rise to qualification.

• Investing in training the most trained

The maximum coverage is observed in the group of 25-29 years old, it is slightly lower in the thirties and then rapidly decreases. In senior age groups it is minimal. This profile may have several causes. Since the employer's benefit lies in appropriating the difference between the increase in labor productivity and the increase in the employee's wages after training, employers prefer to invest in the training of the most trained. First, employers, by investing in retraining, are counting on a longer period during which they can receive a return. Secondly, young people are more trainable, and besides, young cohorts have a higher level of general education which makes retraining easier.

• What skills and competencies are employees trained in?

According to the World Bank report, employers note a significant lack of social and behavioral skills among employees (the ability to work with people). In particular, there is an acute shortage of high-order cognitive skills that arise in the course of work. At the same time, the prevailing share of training for all categories of personnel falls precisely on the development of professional skills.

When considered in the context of qualification groups, it can be noted that the training of managers is versatile and is aimed, among other things, at the work of subordinates, as well as at developing the ability to solve emerging problems. Training of specialists is aimed at skill and problem solving.

• NEET - Not in Employment, Education or Training

Young people aged 15–24 who are not studying, working or participating in vocational training, received a special name in international statistics - NEET - Not in Employment, Education or Training. Representatives of this group are cut off from the sphere of education and the labor market, and the likelihood that they will experience difficulties in further employment and becoming full members of society is very high. In 1995–2015 the share of this group in Russia has decreased significantly, which, first of all, was the result of the active involvement of young people in education, which has been observed over the past twenty years.

The structure of the Russian NEET youth is consistently dominated by those whose connection with the labor market is the weakest - the economically inactive. The most significant factors for falling into this category are the discrepancy between the education received and the requirements of the labor market and its low level, as well as the shortage of jobs in rural areas. If the massization of higher education continues, then graduates of low-quality universities, whose knowledge is not used in the labor market, may become a significant part of the NEET youth. Thus, the measures social policy should be aimed at attracting NEET youth to professional development and retraining as part of active job search programs, and the creation of new jobs.

These features can be explained by the ongoing process of massization of higher education, in which graduates of low-quality universities do not have sufficient competencies and skills to compete for jobs and become unemployed. At the same time, some of these NEET youth (relatively more prosperous) may also be graduates with high salary expectations who cannot quickly find jobs that satisfy their needs.

• Regional labor markets

The Russian labor market is a system of regional markets, which are rather weakly interconnected and differ greatly in their “success”. Some labor markets are characterized by high employment, high vacancy rates and low unemployment and offer high level wages, while others cannot provide jobs for the majority of the population and do not allow them to have a decent level of wages.

The presence of "strong" and "weak" labor markets must be taken into account in the implementation of any policy pursued at the federal level, since the same measures can be good for some labor markets and be ineffective or even harmful for others. Large differences in employment, unemployment, or wages point to relatively inefficient distribution labor resources on the territory of the country, which could potentially be improved, and as a result, the general level of well-being of the population could increase. The persistence of these differences over time suggests that traditional market smoothing mechanisms (migration, capital flows, trade, technology diffusion) are not working well.

For example, Muscovites who want to find or change jobs are unlikely to search for jobs and be interested in vacancies in the Kirov region, and residents of the Republic of Dagestan will take into account the structure of labor demand in the Murmansk region when looking for work. Similar examples of practically non-overlapping local labor markets in Russian conditions an infinite number can be cited due to the high costs of moving and searching for information.

• Regions are clustered

It is possible to single out entire groups of regions that are leaders or outsiders simultaneously in many of the indicators under consideration. One group of leading regions where labor markets work relatively well are the conditionally “northern” regions: Chukotka Autonomous Okrug, Magadan Oblast, Yamalo-Nenets Autonomous Okrug, Khanty-Mansi Autonomous Okrug, Murmansk Oblast. Another group of leaders - conditionally central - European regions - includes Moscow and St. Petersburg, as well as the Moscow and Yaroslavl regions. Two groups can also be distinguished among outsider regions. The first is a group of southern republics - Dagestan, Ingushetia, Karachay-Cherkessia and Kabardino-Balkaria. The republics of Kalmykia, North Ossetia and Adygea are also close to this group. Another group of outsiders are the regions of Southern Siberia - the Republics of Tyva, the Trans-Baikal Territory, the Republic of Altai, Altai region, to which the Jewish Autonomous Okrug, the republics of Buryatia and Khakassia, as well as the Irkutsk region are close in a number of indicators.

It is easy to see that these groups form clusters of geographically close and, in many cases, bordering regions. This apparent spatial clustering indicates that the regions within each group have very similar structural and natural geographic characteristics.

Review source: Report of the Center for Labor Research (CET) and the Laboratory for Labor Market Research (LIRT) of the National Research University Higher School of Economics "Russian labor market: trends, institutions, structural changes" "Human Capital", Center for Strategic Research.

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