War cost Ukraine 40% of its labor force

Ukraine has lost roughly 40% of its working-age population after Russia’s full-scale invasion in 2022, according to a report by the Social Policy Ministry on July 2.

Daria Marchak, First Deputy Minister of Social Policy, noted that about 1.7 million Ukrainians who were working before the war are now abroad—more than 10% of the country’s prewar economically active population.

Marchak added that Ukraine is undergoing a deep demographic crisis marked by rapid population aging. The share of people aged 65 and older increased from 12% in 1991 to 18% in 2021 and reached 22% in 2024.

“Faced with the challenges of a prolonged war, demographers forecast that Ukraine’s population could fall to 28.9 million by 2041 and to 25.2 million by 2051,” the official stated.

“These demographic shifts are reshaping the labor market. Seventy-four percent of employers report a shortage of workers, with an average staffing gap of about 15%.”

She added that the aging trend is expected to continue even though only 27% of people over 50 are currently employed. In addition, Marchak estimated that Ukraine will need to incorporate another 4 to 5 million people to revitalise its economy.

On May 9, a study by Work.ua found that in April the number of open vacancies on its job search portal surpassed 100,000 for the first time in five months. The study noted an unprecedented increase in openings for people without experience and for students. Forty-four percent of the vacancies are suitable for beginners, up from 39% a year ago. The report suggested that, to address the labor shortage, employers are lowering candidate requirements and investing more in training.

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