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Ukraine is looking for workers while millions of women remain outside the labor market

5 min read

Daria, a newly graduated construction engineer, practices during a bus-driving training course in Kremenets, Ternopil Oblast, Ukraine, on July 23, 2024. (Narciso Contreras / Anadolu / Getty Images)

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Ilona Sologoub

Scientific Editor of Vox Ukraine

In the fifth year of resistance to Russia's full-scale aggression, labor shortage has become the main challenge for Ukrainian businesses.

Mobilization on the one hand and emigration on the other have reduced the labor force by millions. It's not difficult to imagine the consequences: labor shortages increase salaries and, therefore, producers' costs. They also limit firms' production capacity and their ability to export. At the macroeconomic level, a shortage of workers leads to slower economic growth and higher inflation. These would be worrisome developments for any country hoping for sustainable growth.

At the same time, according to Info Sapiens, the unemployment rate in March 2026 was 15%, while about 30% of people aged 18–65 were economically inactive. The inactivity rate is much higher among women (35.7%) than among men (22.6%).

Due to current labor shortages and forecasted recovery needs of about 5 million additional workers, it would be unwise to waste this potential. Thus, it is important to understand what Ukrainian women want to do and what demands they have to potential employers.

Bringing more women into the workforce means not only higher GDP growth but also higher labor productivity and, where women rise into leadership, greater innovation.

Yet none of this will happen unless we address the infrastructure that determines whether women can pursue careers in the first place.

Without sufficient childcare, with kindergartens in short supply, and under the burden of social expectations, Ukraine will struggle to unlock the full potential of its women. We know that one-third of Ukrainian women who are not employed cite household and caregiving responsibilities as the reason.

The good news is that 73% of surveyed non-working women want to find a job, with more than half hoping to do so within a year and nearly 30% within two years. For the economy, this means about 3–3.5 million potential workers capable of producing a significant macroeconomic effect. Going back to Ukraine's recovery needs, they cover the majority of the workforce required.

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Should the argument require further proof, there are plenty more numbers to back up the economic case for bringing more women into the labor market. If all women who are willing to do so found jobs within the specified timeframes, in the first year, GDP growth in Ukraine would be 8.3 percentage points higher than current estimates suggest.

In the second year, it would be 3.9 percentage points higher. Of course, these numbers are estimates based on assessments of Ukraine's total population and the number of employed people (the State Statistics Service has not published these data since 2022). However, this does not change the main conclusion: the additional growth would be substantial. And if businesses increase investment in response to a larger labor supply, the effect could be even higher.

Now, the question is: where would Ukrainian women work? For one in three women, retail is the most attractive sector, while 11% say they would enjoy working in education, and the same percentage would like to join a social assistance institution; law enforcement and the defense industry seem the least interesting to women (less than 1% said they would like to work there).

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Hanna Neelova teaches her first-grade students in one of the many classrooms built in underground metro to protect students from Russian missiles in Kharkiv, Ukraine, on Sept. 4, 2023. (Heidi Levine for The Washington Post via Getty Images)

How will this impact employment in different sectors? We can say that if all women are able to find jobs in their preferred industries, employment in personal services could nearly triple, and in the hotel and restaurant sector, IT, and media, it can increase twofold. Figure 1 shows the output increase by sector in response to an increase in employment. The greater the labor contribution to output in a given sector, the larger the increase will be. For example, in retail, a 5% increase in employment would raise output by 2.7%, while in construction the increase would be 0.5%.

Finally, what are Ukrainian women looking for in a job? Perhaps surprisingly, salary is not at the top of the list.

Wage expectations are relatively modest, with two-thirds saying they would accept a monthly salary of up to Hr 30,000 (about $675). Instead, women place just as much value on the conditions surrounding the job. A commute of less than an hour and a friendly work environment rank among the most important factors, with 40% describing the latter as essential and another 56% as desirable. For mothers, access to kindergartens and childcare can be the deciding factor.

Women are also ready to make some effort to find a job, with the absolute majority saying they would like to undergo training, while 37% are ready to move to another place for employment.

Therefore, both employers and the government should make some effort to bring more women into the labor market. There are many good incentives that both can create.

Employers could offer prospective employees flexible working hours, transportation to and from work, or dormitory accommodation. Central and local authorities could provide training, improve care infrastructure, and implement communication campaigns against discrimination and stereotypes about "traditionally female" and "traditionally male" occupations.

With the collective effort of both potential female employees and employers, and with the support of government institutions, Ukraine can achieve higher economic growth and faster recovery instead of wasting its human capital.

Editor's note: The opinions expressed in the op-ed section are those of the authors and do not purport to reflect the views of the Kyiv Independent.

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Ilona Sologoub

Ilona Sologoub is a Scientific Editor of Vox Ukraine, an independent Ukrainian analytical platform.