Directions of agrarian staff’s stimulation in countries – members of the EU and Ukraine

UNC 331.101.3

O.Bakulina, T.Zynchuk.

The integration prospect of Ukraine into European space includes the application of techniques, mechanisms, factors which assist the formation of socially-oriented system of agricultural development. The aim of the given article is to analyze the directions of the staff state stimulation in agricultural enterprises of EU member-countries and Ukraine.
The development of integration processes of the European level is the present day peculiarity of progressive shift and opportunities for agricultural regeneration. An extremely important step is the adaptation of Ukrainian agrarian sector to the European standards and to the EU common agricultural policy.
The state support experience, the stimulation of farms’ staff interests and needs, and the concern in farm management efficiency are very important for EU integration prospect of agrarian sector. Consequently, EU state regulation functions include technical progress management in agriculture through the system of scientific or educational institutions, professional training system, qualification advance, consultative assistance to farmers, technical and commercial service on the basis of government procurement, state wholesale market and credit.
Agrarian state support is the main condition for the development of agricultural production and rural areas; it is an important incentive for population to be involved in agriculture.
State agrarian financing of Ukraine covers programs and measures that assist agricultural development, preferred tax treatment, interest rate part-compensation for the use of commercial credits and has motivating effect on market participants. One of the state stimulation factors of agricultural development and staff motivation is state subsidy for agricultural producers. State support for agrarian sector covers almost 75 % of agricultural output sold at the domestic market of EU member-countries. State regulation of agricultural lands and the development of long-term lease have a significant effect on rural labor resources and staff stimulation of market participants in EU. Thus, 90 % of lease agreements in EU member-countries can be concluded for a period of 9-10 years or more. The system of agrarian mortgage and of credit guarantee development based on the operation of specialized institutions for farm crediting, cooperative and land banks and other financial institutions has a significant stimulating effect on farm staff in EU. It is necessary to note that the spheres of health care, education, culture and services help to create favorable conditions for the formation and reproduction of rural population and labour potential. Government should create jobs, provide job security in the process of enterprise privatization and restructuring, support entrepreneurship and self-employment, increase labour market flexibility, train and retrain workers who are not able to operate modern equipment. Conclusion. The main direction of the staff state stimulation in agricultural enterprises of EU member-countries and Ukraine has been considered in our research. They include business initiative support for rural population; subsidies and grants for agricultural producers; the development of long-term lease, land mortgage, credit securing’ financial support subject to basing conditions’ investments to human capital.

government stimulation, government support, farm staff, staff’s motivation, state support of agricultural sector. (more…)