emergence of serious economic and social consequences of unemployment have led to the need for state intervention in the sphere of labor.Due to this, it became possible to alter the employment relationship, to spend their regulation and restrict the freedom of market forces.As an element, it creates a powerful state legal regulation of the labor market, by which regulates labor relations (working hours, the procedure of hiring and firing, granting days off, etc.) on an international and national level.
State regulation of the labor market in two forms - active (increasing employment, creating new jobs, as well as overcoming unemployment by retraining and training of workers) and passive (unemployment allowances).
State regulation of the labor market has set itself the following objectives:
· Full employment, which will prevent the development of cyclical unemployment without breaking the so-called usual level of unemployment, which is determined by the size of its structural and frictional forms.
· Creation of a labor market that is able to adapt to the various internal and external changes in the economy.
If we talk about the main direction, the recent government regulation of the labor market is doing, in order to achieve full employment.To do this, apply measures such as the organization of re-training and re-training of the unemployed, promote investment in the economy, the development of employment services, promote the development of small and family businesses, public works, international cooperation to address the problems of employment, consideration of matters related to international labor migration.
State regulation of the labor market concerns and support for those who lost their jobs.Such social protection is a passive form of policy.Persons who, for whatever reasons, can not get a job, the State guarantees free medical care and social support in the form of material assistance, unemployment benefits and other payments.
extent necessary to state, especially the legal regulation of the labor market?To understand this, after analyzing the pros and cons of a state policy.State regulation of the labor market leads to the fact that the conclusion of labor agreements is not in free form, and according to the law.Until recently, the employer, if not issued a formal labor agreement, could at its discretion to set wages and working conditions.By controlling such an act is limited by law on working conditions and minimum wage.Of course, such a circumstance is an advantage of state regulation.However, on the other hand, supporters of the regulation believe that this law leads to increased costs employers as a result of the latter can not be flexible.Thus provoked a rise in unemployment, which is particularly high in some areas.The reason of this is that the established high level of wages and working conditions of the workers themselves satisfied only remaining unprofitable for organizations and companies.As a result, the past will avoid hiring people who do not have a good "track record."Their This suggests that people who have not worked for a long time or do not have the necessary qualifications, remain unemployed.Thus, government regulation of the labor market should not be seen only on the positive side.
