ADMINISTRATIVE AND LEGAL MEASURES TO PREVENT INFORMAL EMPLOYMENT IN UKRAINE

Abstract

Off-the-books employment is an social and economic problem, resulting in the outflow of part of the working population from the formal sector of the economy to the informal sector, for which reason the issue of overcoming social and economic prerequisitesand consequences of this negative development and preventing the formalization of the labour market updates. But presently, the state has chosen a predominantly “punitive” way of reducing off-the-books employment. Despite the fact that the government is carrying out quite active efforts to formalize employment in Ukraine, the whole system of public authorities in the country authorized to apply administrative and legal measures aimed to exposing the facts of off-the-books employment; at the municipal level appropriate employment formalization programs are being developed and implemented; awareness-raising activities are being conducted among the population, etc., a favorable result has not yet been achieved. Taking into account all the above, the author in the articlehighlights the rationality of combining administrative and legal measures to prevent informal employment while improving the welfare of the population and improving the functioning of socio-economic institutions. In order to understand the prerequisites for the spread of informal employment and special aspects of the choice of methods of their elimination, the article also highlights the signs of informal relations between employee and employer, as well as clarifies the meaning of the related concepts, that are used in a line with the concept “off-the-books employment” and characterize relations between employee and employer, that didn’t acquire appropriate, established by law form. In conclusion, the author emphasizes the importance of forming partnerships between the state and citizens, in which the state respects and guarantees the right of citizens to a decent standard of living, and citizens show respect for the law and perform their duties to the state.