CHANGES OF LABOUR MARKET DURING THE RECESSION: IN CASE OF LITHUANIAN

Abstract

The science problem stated that to increase employment and to decrease unemployment is social and economic necessity in every country. The Lithuania integration to ES had direct influence to structure of Lithuania labour market, reduced level of unemployment, but macroeconomic indexes reversed market structure.

The unexpected vicissitude of negative economic processes signify period of recession. The main indexes of labour market help to indicate employment figures and unemployment problems. The object of work is Lithuanian labour market. So it was analysis of processes in Lithuanian labour market and factors which have influence to market structure. The purpose of work is to make research of Lithuanian labour market in recession period. The results of labour market research showed that the level of unemployment is related with economic processes, so government policy and decisions have to be diverting to reduction of unemployment damages and help the unemployed.

A sudden increase in unemployment signified slowdown of salary especially in the constructional and financial agency sectors, slumping of demand and growing number of registered unemployed. Small and medium sizes companies confronted with financial difficulties. These companies try to reduce activity outlay, so employers downsize, minimize salaries. The main decision of government is organizing of vocational training, to provide the right qualifications for the job.