Georgia has Second Highest Unemployment Rate out of Post-Soviet States

Georgia has Second Highest Unemployment Rate out of Post-Soviet States

Georgia has Second Highest Unemployment Rate out of Post-Soviet States

The FINANCIAL -- The unemployment rate in Georgia has shrunk from 14.6% to 12.4% in 2015. Meanwhile though, following behind Armenia with 19.1%, the country has the second highest unemployment rate out of all post-Soviet states. As of July of the current year, the average monthly wage of Georgian employees has dropped from USD 422 to USD 380. This has placed Georgia 7th by volume of wage out of 15 post-Soviet republics. With EUR 1,010, Estonia is the leader in the list of countries with the most highly-paid workers.

The FINANCIAL has compared the data of the unemployment and wage rates of all post-Soviet states. The statistical data is provided by Trading Economics, providing information for 196 countries including historical data for more than 300,000 economic indicators, exchange rates, stock market indexes, government bond yields and commodity prices. The data of trading economics is based on official sources.

The record lowest rate of jobless citizens has been shown in Belarus. The rate measured 0.5%. It is followed by: Kyrgyzstan - 2.3%; Tajikistan - 2.4%; Azerbaijan and Kazakhstan - 5%; Russia - 5.4%; Estonia - 6.2%; Lithuania - 8.2%; Moldova - 8.5%; Ukraine - 10%; Latvia - 10.2%; Turkmenistan - 10.6%; Uzbekistan - 10.7%; Georgia - 12.4%; and Armenia - 19.1%.

The number of employed persons in Georgia has increased from 250,200 to 535,000 as of July 2015. There are 246,000 unemployed persons, up from 291,820 of 2014. According to Georgian PM Irakli Gharibashvili, 50% of the Georgian population, or 800-900,000 (out of a total 3.7 million), lives in poverty.

The Baltic States, which were the first to leave the Soviet Union and the only countries out of the Union that joined the EU and NATO (while the remaining 12 formed the CIS and CSTO) have the highest monthly wages for employees. The lowest paid staff have been shown to be in Tajikistan. The monthly salary of Tajiks is 7 times less than that of Estonians.

With USD 1,106 (EUR 1,009.62) Estonia is the leader in terms of highest monthly salaries. It is followed by: Lithuania - USD 767 (EUR 700); Kazakhstan - USD 668; Latvia - USD 659 (EUR 601); Russia - USD 625; Turkmenistan - USD 584; Azerbaijan - USD 433; Belarus - USD 420; Georgia - USD 380; Armenia - USD 363; Uzbekistan - USD 312.5; Moldova - USD 238; Kyrgyzstan - USD 200; Ukraine - USD 183; and Tajikistan - USD 138.

Since the second half of 2014, all post-Soviet countries, excluding the EU member Baltic States, were suffering from devaluation of their national currencies due to the Russia-Ukraine crisis. In addition, there were countries, including Georgia, where the monthly wage of employees has decreased this year. Devaluation of the Georgian Lari contributed to a solvency reduction of 10%. As a result of this, the average monthly salary of Georgians as of July 2015 has shrunk from USD 422 (2014) to USD 380 (July 2015).

In addition to Georgia, Armenia, Kyrgyzstan, Tajikistan, Belarus, Estonia and Lithuania were countries that have seen a drop in monthly wages this year, in comparison with the previous one.

Employees of Latvia, Moldova, Azerbaijan, Kazakhstan and even Russia, suffering from EU and U.S. stated sanctions, and Ukraine, involved in military conflict, have seen an increase in salary incomes recently.

After the dramatic devaluation of the national currency, The FINANCIAL asked the leading Georgian companies whether they have increased the salaries of their workforces. The companies were reluctant to provide any official statement on this, but they did admit off the record however that their employees have not had their wages increased.

In March 2015, Iliauni Business Review (IBR) studied the announcements of the most popular two employment-related web-portals in Georgia (www.jobs.ge and www.HR.com.ge) in accordance with professions, companies and regions. A total of 2,251 vacancies were reviewed. In addition, IBR listed the top 30 employers on the basis of the information delivered by the companies.

The research stated the vacancies which were in-demand out of the countries, from Ukraine, Germany, South Africa and Qatar in particular. In addition, the research released the figures of the highest paying vacancies.

The research studied 2,251 vacancies, covering the period from 1 November to 1 March. The top three most in-demand positions were as follows: Sales Manager - 235 units; accountant - 105 units; and distributor - 98 units.

The companies which are most intensively seeking a labour force were as follows: in first place - Bank Constanta (76 units); second place - Supermarket Smart (57 units); and third place - Silknet (41 units).

The top 10 included: Georgian Technical University, Justice House/Ministry, Sakaeronavigacia, IPM Terminal Poti, Nikora, Europe House and KSB Bank. According to the regions, those with the highest number of vacancies are: Tbilisi - 78 %; Imereti - 5%; Adjara - 5 %; Samegrelo - 3%; Kakheti - 3%; Kvemo Kartli - 2%; Guria - 2%; Samtske-Javakheti - 1%; and Shida Kartli - 1%.

The top employer companies were as follows: 1. Georgian Railway - 13,500 units; 2. Bank of Georgia - 8.000 units; 3. Energo-Pro Georgia - 5,500 units; 4. Wissol Group - 4,500 units; 5. Liberty Bank - 4,500 units. Big companies such as Silknet, TBC Bank, Telasi, Rustavi Azoti, Sokar, Goodwill and etc. were listed as well.

Bank of Georgia, one of the leading Georgian banks, also regularly publishes new vacancies on its private career webpage: jobs.bog.ge. Currently there are 21 job positions offered by the Bank: Junior Sales Manager (Zugdidi); Sales Consultant; Credit Expert (Zestafoni); Senior Credit Expert (Zestafoni); Security Administrator/Watchman (Batumi, Zestaponi, Tkibuli, Zugdidi, Poti, Marneuli); PHP Developer; Junior Sales Manager; Expert-Estimator (Batumi, Zugdidi); SOLO Lounge Manager; Security Administrator; SOLO Banker (Batumi); Junior SOLO Banker (Batumi); Express Teller-Operator (Batumi, Kobuleti, Shuakhevi, Rustavi, Bolnisi, Marneuli, Khashuri, Zestaponi, Abasha, Chkhorotsku); Quantitative Developer (Tbilisi); Sales Consultant; Express Teller-Operator (Tbilisi); Leading Corporate Banker (Tbilisi); SOLO Banker (Tbilisi); Corporate Banker (Tbilisi); Junior SOLO Banker (Tbilisi); and Sector Head (Tbilisi).