FEATURES OF THE FUNCTIONING OF THE MODERN LABOR MARKET IN THE CONTEXT OF EMERGING NEW-LEVEL ECONOMIES

Abstract

The article presents a comprehensive and in-depth exploration of the functioning and ongoing transformation of the modern labor market in the context of rapidly evolving new-level economies, shaped by the accelerating processes of digitalization, automation, artificial intelligence, and the global green transition. It emphasizes how these interconnected transformative trends are fundamentally redefining employment structures and the very nature of work, contributing to the emergence of entirely new labor forms, hybrid professions, shifting workplace dynamics, and an increasingly polarized demand for high-level skills. The study identifies and analyzes a set of critical structural challenges faced by today’s labor market, including growing technological unemployment, the replacement of routine-based job roles, and the rapid obsolescence of traditional occupational profiles. It also underlines the intensifying demand for digital fluency, soft skills, adaptability, and interdisciplinary competencies. Particular attention is paid to labor supply – demand mismatches, pressures on existing educational systems, and the risk of social exclusion among vulnerable populations. The article investigates modern employment policy instruments and institutional responses aimed at mitigating these risks and fostering inclusive, resilient labor markets. These include comprehensive strategies for professional retraining and upskilling, state-supported entrepreneurship development, modernization of social protection mechanisms, and the expansion of social dialogue at various levels. Additionally, the research highlights the growing importance of investing in lifelong learning ecosystems and integrated human capital strategies as key enablers of sustainable labor force adaptation. Future research directions are outlined within the broader context of the digital economy and knowledge-based development, focusing on innovation-driven employment, inclusive growth, green skills, and evidence-based policymaking. The findings offer valuable insights for academics, policy practitioners, and institutional stakeholders striving to formulate effective and forward-looking employment strategies capable of responding to the multidimensional complexities of socio-economic transformation in an increasingly digital and ecologically conscious world.