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Journal number 3 ∘ Irma Tkemaladze
Modern Labor Market in Georgia - Challenges and Solutions

In today's labor market, it is crucial to understand the relationship between education, work experience, and professional skills in order to ensure effective employment. This article aims to investigate the impact of measures aimed at improving these aspects on the employment landscape. By analyzing the correlation coefficient, specifically Pearson's coefficient, we can determine their influence on effective employment. Furthermore, we will identify factors that hinder career progression and create barriers for new entrants to the job market. Additionally, we will explore the prevalence of non-standard employment forms and their potential for growth. Extensive research on the current labor market situation has shed light on the factors that impede career advancement and create artificial barriers for newcomers. Moreover, we have identified the factors influencing secondary and incomplete employment. In this article, we will delve into the scale of non-standard employment in the labor market and investigate its future prospects.
Several working hypotheses were formulated and tested to gain a deeper understanding of the subject matter. The first hypothesis (H1) posits that "increasing work experience affects earnings growth." Through examination, we discovered that accumulated human capital from work experience does enhance employment opportunities but does not guarantee effective employment.
The second hypothesis (H2) explores the impact of measures aimed at improving professional skills on wage increases. The findings indicate that while such measures did lead to wage growth for a small portion of respondents, it is clear that education, at this stage, primarily serves as a signal to employers in the selection process rather than creating institutional connections between education and employment systems. This lack of connection ultimately devalues education and human capital, limiting the creation of innovative job opportunities.
The third hypothesis (H3), which has been confirmed through our research, explores the correlation between the length of work experience and the demand for social guarantees. This hypothesis specifically aims to assess the potential for the proliferation of non-standard forms of employment. It is paramount to acknowledge that the provision of social guarantees within the employment process holds significant importance for employees with substantial work experience. Consequently, our research has led us to a crucial conclusion: the historical memory of receiving diverse forms of assistance and the reliance on the state can pose as significant obstacles to the widespread adoption of non-standard employment arrangements, particularly those with more negative connotations, within the context of Georgia.
Our analysis of the factors influencing secondary and incomplete employment has yielded significant insights. We have determined that these forms of employment are often a result of negative economic events. Most individuals engage in such employment out of necessity, driven by low incomes, rather than by choice (H4 and H5). The majority of respondents expressed a willingness to abandon secondary and part-time employment if provided with stable working conditions and adequate remuneration.
Our research has highlighted the barriers faced by young individuals seeking to enter the labor market. Insufficient work experience, largely due to the ineffective functioning of internship programs, often hampers their ability to secure employment. Additionally, employers' ill-considered and unsubstantiated qualification requirements for vacant positions create artificial barriers for this segment of the labor force to adapt to the job market.
Based on the findings of this study, we have formulated several recommendations to improve the labor market situation. It is crucial to establish stronger connections between education and employment systems, fostering innovation and creating more opportunities for job seekers. Furthermore, internships should be redesigned to provide young individuals with practical experience and enhance their employability. Employers should also reassess their qualification requirements to ensure they accurately reflect the needs of the job and do not unnecessarily exclude qualified candidates.
In conclusion, by understanding the interplay between education, work experience, and professional skills, we can enhance employment effectiveness. By addressing the identified challenges and implementing the recommended improvements, we can create a more inclusive labor market that offers better opportunities for individuals to achieve meaningful and effective employment.

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Keywords: Labor market regulation, Macroeconomic policy, Effective employment, Overtime work, Human capital.
JEL Codes: J40, J41, J45, J49