The situation in the Ukrainian labor market increases business costs and the price dynamics for goods and services.

According to the September review by the National Bank of Ukraine, the improvement of Ukraine’s energy situation in August contributed to an increase in demand for labor and the number of employees. It is noted that the number of vacancies in August continued to increase against the background of a revival in economic activity. The largest growth was recorded in the fields of protection and security (350%), telecommunications (45%), and health care (34%).

After the shock caused by difficulties in energy supply in the previous months, employment growth resumed in August. Demand for labor remains high, the National Bank added.

At the same time, the lack of workers leads to an increase in real wages. Businesses are forced to raise wages to retain and attract new workers. This, in turn, affects the overall level of business expenses and the price dynamics for goods and services.