Development of Human Capital and Transformation of Employment Forms: Mutual Influence and Interdependence
Journal Title: Демографія та соціальна економіка - Year 2014, Vol 21, Issue
Abstract
In a highly competitive and globalization economy human capital is not the only determinant of competitiveness, but also the dominant form of social wealth, the basis of intellectual and social capital as a condition for not only economic but also civilizational progress in general. Direct relationship between human resources and transformation of forms of employment manifests in the realization of human capital in the labor market through some form of employment, and these forms are as complex and varied as human capital is unique. Feedback is shown in that the transformation of forms of employment provides additional opportunities and raises new challenges for human capital accumulation, resulting in its development. The principal provisions for the use of the features of human capital in modern conditions are as follows: first, the development of human capital depends on investment. The main investor is the employee who invests their time and energy to build their human capital and decide on the appropriateness and intensity of acquiring new knowledge, experience, self-development in a particular area. Thus, the higher the professional and intellectual level of the employee, their ability to produce innovation, the higher the level of competitiveness. This is one of the factors that determines the appearance of innovative forms of human capital. Second, the dominant sector of human capital use in today’s economy is the service sector. This is the area of the economy that in its specificity requires considerable investments and has significant potential for increasing intellectual capital, especially human. Active development of ICT necessitates first of all the sector of innovative forms of human capital. The third, characteristic of modern economies is the transformation of the structure of the human capital, namely the decrease in the proportion of specific human capital. This increases the mobility of workers and leads to the demand for temporary employment. The main factors that determine the demand for temporary employees of companies include: reducing costs, seasonal fluctuations in demand, the possibility of replacement staff, rapid adaptation of enterprises to economic cycles, lack of commitment to job security. Fourth, the active development of information and computer technologies is moving some jobs out of the office, which leads to the emergence of new forms of employment and intensification of innovative forms of human capital. Innovative forms of human capital require innovative forms of its use, because the situation in today’s labor market is characterized by two related trends: first, changes in the content of labor demand caused among workers in non-standard employment as a form of giving more freedom of creativity and capacity for self-realization. On the other hand, modern enterprises are actively seeking opportunities for flexibility and mobility, and therefore interested in the use of flexible forms of employment, especially remote and temporary.
Authors and Affiliations
Olena Grishnova, N. A. Azmuk
Keywords
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- EP ID EP287177
- DOI 10.15407/dse2014.01.085
- Views 54
- Downloads 0
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