Russian shelling has reduced demand for workers in Ukraine — NBU

However, there is still a shortage of workers.

Russian shelling, which has become more frequent, negatively affects the labor market in Ukraine: in particular, demand for workers has declined. This was reported by Vladimir Lepushinsky, Deputy Governor of the National Bank, as cited by Interfax-Ukraine.

According to Lepushinsky, there is an overall deterioration in business activity. This is connected with enterprises facing destruction of production and warehouse capacities and logistics disruptions. As a result, they are more cautious about expanding staff and opening new vacancies.

The August business survey conducted regularly by the NBU shows that only construction enterprises expected an increase in the number of employees. At the same time industry, trade, and the services sector forecasted a reduction in staff.

At the same time, enterprises name a shortage of skilled personnel as one of the factors limiting their activities.

“The labor market well illustrates the overall state of the economy. Businesses have become more cautious in hiring due to heightened security risks, but the competition for available workers has not disappeared. For many enterprises, the production constraint is no longer so much the lack of demand for their products as the physical shortage of people who can produce them,” he stressed.

After each large-scale strike of the Russian Federation on the food infrastructure, Ukrainians begin to form assumptions that employees of the affected company face mass layoffs, and after analyzing some cases, Igor Krupka, head of the analytical department of the ANT’s network, concluded that direct layoffs—although they occur—are not an automatic reaction for every company. He wrote about this in an article for ZN.UA "Rocket strikes on logistics: the scale of losses and directions for their minimization".