Employment policy and unemployment problems in Georgia

Methods: The study of the labor market is based on the analysis of the data of the National Department of Statistics of Georgia and studies conducted by international organizations. In the research process, the methods of scientific abstraction were used – when defining the labor market and the essence of the concepts «unemployment» and «employment»; comparative analysis – when comparing the employment situation of the population of Georgia and some other countries; statistics – when determining the dynamics of the main indicators of the labor market. Results. The current state of the labor market in Georgia was analyzed and the dynamics of its main indicators for the period 2017–2023 were determined. The main problems in the field of employment of the Georgian economy were identified, which include incomplete use of labor resources, differentiation of population incomes, imbalance between demand and supply of professions. The analysis of the labor market in Georgia revealed that the majority of jobs in the national economy are created in industries that do not use modern technologies and, therefore, do not require highly qualified specialists; employees with a high level of qualification cannot find a job in their specialty for a long time, as a result of which they lose their qualifications or are forced to work in low-skilled jobs; the level of education received and real knowledge often turn out to be incompatible with each other. The components of state policy in the sphere of employment regulation are considered. A comparative analysis of this policy was carried out in such countries as: Georgia, Latvia, Estonia, Hungary, Austria. Prospects for increasing the effectiveness of employment policy in Georgia are outlined. Novelty. As a result of the study of the employment policy, it was found that its tools have different effects on solving the problem of unemployment with regard to the short-term and longterm periods. Job search assistance programs have been shown to have the same results in both the short and long term, while vocational training programs have been shown to perform much better in the medium and long term. Practical value. The results obtained during the research can be useful in the formation of employment policy at both the regional and state levels of the functioning of the national economy.