Private Sector Employment in Russia: Scale, Composition and Performance

Economics of Transition, Vol. 7, Issue 2, 1999

Posted: 22 Oct 1999

See all articles by Vladimir Gimpelson

Vladimir Gimpelson

National Research University Higher School of Economics; IZA Institute of Labor Economics

Douglas Lippoldt

Groupe d'Economie Mondiale, Sciences Po, Paris; HSBC Global Research; OECD

Abstract

In Russia, as across Central and Eastern Europe, privatization and the establishment of new private firms have been viewed as key factors in labor market adjustment during the transition period. This paper considers the overall employment developments in the private sector in Russia and the extent to which the private sector employment performance is differentiated from that of other sectors in five Russian regions. The analysis is based on a fresh look at these issues using official statistics published by Goskomstat and drawing on microdata from the March 1996 Russian Labour Force Survey (LFS). A special questionnaire attached to the LFS in the study regions provides supplementary information.

The paper highlights shifts in the sectoral composition of employment, including growth in private sector employment. Compared to other forms of ownership, the analysis confirms a tendency for private sector ownership in the study regions to be associated with stronger employment performance with respect to hours worked and, in some cases, timely payment of wages. Private sector firms appear to have relatively flexible employment patterns, utilizing more fixed-term or part-time employment than other types of firms and experiencing greater labor turnover. Also, private sector employees tend to be somewhat younger and probably more adaptable people. However, there is significant variation across the study regions and substantial exceptions exist with respect to the above-mentioned tendencies. With respect to employment issues, the differentiation between sectors appears to be less pronounced than one might have expected.

JEL Classification: P23

Suggested Citation

Gimpelson, Vladimir and Lippoldt, Douglas C., Private Sector Employment in Russia: Scale, Composition and Performance. Economics of Transition, Vol. 7, Issue 2, 1999, Available at SSRN: https://ssrn.com/abstract=169515

Vladimir Gimpelson (Contact Author)

National Research University Higher School of Economics ( email )

Myasnitskaya street, 20
Moscow, Moscow 119017
Russia

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Douglas C. Lippoldt

Groupe d'Economie Mondiale, Sciences Po, Paris ( email )

28, rue des Saints-Pères
Paris, 75007
France

HSBC Global Research ( email )

Fourth Floor, 8 Canada Square
Canary Wharf, London, E14 5HQ
United Kingdom

HOME PAGE: http://https://www.research.hsbc.com/C/1/1/320/GB9fnkb

OECD ( email )

Paris
France

HOME PAGE: http://www.oecd.org

Here is the Coronavirus
related research on SSRN

Paper statistics

Abstract Views
1,010
PlumX Metrics