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Poroshenko on labor force shortage: "We have two options - either Soviet-style iron curtain or increase in salaries within country"

Poroshenko on labor force shortage: "We have two options - either Soviet-style iron curtain or increase in salaries within country"
1 of November 2018 г.
Ukraine's President Petro Poroshenko says Ukraine has managed to bring the economy out of crisis and achieve sustainable recovery of economic growth.

"The steps to improve the investment climate should be accompanied by the continuation of the policy of legalizing employment and increasing wages, which in turn will give an opportunity to raise pensions," the presidential press office quoted Poroshenko as saying at a meeting with representatives of domestic and foreign business on Oct. 31, Censor.NET reports.

The head of state added that about 4.5 million people receive the minimum wage in Ukraine now. He also stressed that, on the one hand, there should be an increase in the minimum wage, and on the other hand, real salaries must be reported.

The president said that at regular meetings with the business environment, employers more and more often complain about the shortage of labor force.

"I emphasize that we have two ways - either the iron curtain of the Soviet Union model or the increase of salaries within the country," the president said.

He added that the labor market in Ukraine should be competitive not with Central Asia, but with the EU.

According to the president quoting the official data of the Border Service, the difference between the number of people who left Ukraine and the difference between the returning Ukrainians for the whole 2017 is a bit more than 200 thousand.

"Therefore, the figures, which we were frightened with, that we have one, two, three million people a year who leave the country are just not true. [However], the trend is increasing. In 2018 - there are 10-15 percent more," Poroshenko added.

He stressed that Ukraine became part of the European labor market and therefore nobody can protect Ukrainian employers from competition in this market.

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