Current trends in the interaction between the labour market and the education services market in Ukraine and worldwide

Abstract

This research is devoted to identifying current trends in the interaction between the labour market and the education services market in Ukraine and globally, as well as to developing strategies for improving the mechanisms governing their coordination, with the aim of ensuring that educational outcomes meet the needs of dynamic socio-economic development and uphold the protection of the population’s social interests. The methodological basis of the study consists of the fundamental principles of modern economic theory, as well as the scientific works of domestic and foreign scholars on ensuring the interaction between the labour market and the market for educational services. To address the objectives set out in the study, both general scientific and specialised research methods were employed, including: analysis and synthesis, deduction and induction, the method of generalisation and systems analysis, the abstract-logical method, and the method of systems generalisation. To assess the interaction between the labour market and the education services market, the dependence of the employment rate on the level of education, the proportion of young people not in education, employment or training (NEET), and the level of skills mismatch were analysed based on international and national statistical sources. The results of the study demonstrate a positive correlation between educational attainment and employment rates not only in Ukraine but also in European countries, as confirmed by OECD data for 2019–2024 and relevant statistical data from the State Statistics Service of Ukraine. It has been established that this trend is characteristic of both developed and developing countries, but its extent depends on the quality of educational programmes, the apprenticeship system and the involvement of employers in the training process. Furthermore, the identified trends have shown that educational attainment has a significant impact on the likelihood of employment in the formal or informal sector, and the predominance of informal employment among those with lower educational attainment is a manifestation of structural constraints in the formal labour market and the insufficient integration of the education system with the needs of the economy.
It has been established that measures aimed at forming a balanced skills structure of the workforce, ensuring that the level of vocational training meets the needs of the economy, and stimulating labour mobility are of strategic importance. The importance of institutions providing educational and vocational services is substantiated, as they contribute to enhancing citizens’ competencies, adapting to the demands of the modern labour market, and developing professional flexibility. The role of supporting the unemployed in their return to active employment is identified, in particular through vocational retraining, the development of job-search skills, career counselling and social integration. In the long term, the integration of educational, vocational and social measures will contribute not only to reducing unemployment but also to improving the effective use of the labour force and strengthening socio-economic stability.