DIGITAL EMPLOYMENT PLATFORM AS A NEW REALITY OF MODERN ECONOMY: CHALLENGES AND ADAPTATION STRATEGIES

  • N. Azmuk Institute of Industrial Economics NAS of Ukraine
Keywords: digital labour platforms, digital employment, employment through platforms

Abstract

Digital platforms are a new reality of today’s global economy and the major driving force of its development. Digital labour platforms are a fast-growing element of the global labour market; they ensure interaction between customers and service providers, concentrate digital labour capital, and are actually beyond the scope of monitoring and regulation exercised by national institutions. Digital labour platforms shift the drawbacks of national labour markets online and scale them. The purpose of the article is to study the features of the formation and development of digital labour platforms, identify social and economic risks of such employment and develop the ways to adapt state regulation. The essential aspects of employment services on digital platforms have been explored and positive and negative aspects of digital employment platforms have been identified. Emphasis is placed on the study of peculiarities of employment through digital platforms. It has been found out that digital platforms help to minimize workforce within companies, but at the same time, they increase the use of freelance work. Digital platforms have proved to promote non-standard employment, shift and scale the drawbacks of national labour markets into online space. A comparative analysis of the main characteristics of employment through digital platforms in terms of on-hire employment and self-employment has been made. It has been justified that the provision of services through digital platforms has mixed signs of employment and self-employment. It has been determined that the main risks of employment through digital platforms for Ukraine are scaling up shadow employment in online space, weakening the country’s labour potential and the lack of social protection. The ways to minimize risk and adapt national employment policy to the challenges of digitalization of the economy have been offered. It has been substantiated that the main measures for the national employment policy adaptation are: normative regulation of the terminology and criteria for such employment, development and implementation of tools for its monitoring and regulation, launch of a common health insurance system of those who are employed through digital platforms.

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Published
2019-12-24
How to Cite
Azmuk, N. (2019). DIGITAL EMPLOYMENT PLATFORM AS A NEW REALITY OF MODERN ECONOMY: CHALLENGES AND ADAPTATION STRATEGIES. Economic Scope, (152), 66-80. https://doi.org/10.32782/2224-6282/152-6
Section
PROBLEMS OF NATIONAL AND REGIONAL ECONOMY