Displaced Ukrainians in European Labor Markets: Leveraging Innovations for More Inclusive Integration

The war in Ukraine has led millions of displaced Ukrainians to seek protection in European countries since February 2022, and welcoming new arrivals has put enormous pressure on reception and integration systems. But with the right supports, displaced Ukrainians could also potentially help address some of Europe’s pervasive skill shortages. Many newcomers have a tertiary education, and the EU decision to activate the Temporary Protection Directive has provided swift access to clear residence and work rights.

Early evidence suggests that displaced Ukrainians’ labor market entry is progressing well, with many working-age adults finding jobs. However, challenges such as language barriers, difficulties getting foreign credentials recognized, and trouble securing child care have limited some Ukrainians’ ability to enter the labor market and find a job commensurate with their skills. A desire among many to return to Ukraine, as circumstances allow, is also shaping their decisions about finding work and participating in integration and training programs.

This report explores how displaced Ukrainians are faring in European labor markets, including what is known about their early labor market outcomes and the barriers they face when seeking work. It also examines how governments can work together with civil society and employers to help new arrivals find quality jobs and, in doing so, help European societies benefit from their skills.