Assessment of the efficiency of social and labour relationship management in Ukraine

Abstract

Introduction. World experience shows that social and labour relations always serve as an indicator of the effectiveness of social and economic reforms in any country. In addition, social and labour relations can be determined as an important factor in labour productivity, quality of life and personal development. There are needs for progressive changes in the state of social and labour relations, the search for opportunities for their modernization without social and economic losses and destruction at every stage of society's development.

Purpose. The article aims to evaluate the effectiveness of management of social and labour relations in Ukraine in order to deepen the practical principles for ensuring progressive qualitative changes in the development of social and labour relations in entrepreneurial activity to increase the efficiency of such relations adequately according to the task of modernizing the economy.

Method (methodology). The following methods have been used in the research: graphical and analytical method (to illustrate the investigated processes), qualimetric method (to improve the evaluation system of social and labour relations) and economic and mathematical method (to assess the state of industrial relations in the article).

Results. The state and local authorities’ investment in the development of human capital is evidence of regulation of social and labour relations. Decrease of the share of spending on education, health, moral and physical development is a testament of a reduction in the regulation of the sphere of social and labour relations from the state corresponding to the decentralization reform. At the same time, a significant share of social security and welfare (25-28%) leads many employees to question the importance of employment in the formal sector and the role of labour as the main source of income for working people. The social responsibility of the state and business should provide the creation of productive jobs secured by competitive wages and favourable working conditions. The number of enterprises where strikes took place has grown up. This fact is an evidence of the formation of environment for the social dialogue. The results of the study showed that a widespread combination of social and labour relations in the form of a combination of «restrained authoritarian paternalism» with elements of social partnership exists in Ukraine.