THE SYSTEM OF LEGAL INCENTIVES FOR EMPLOYING YOUNG SPECIALISTS: A FACTOR IN ENSURING LABOR MARKET STABILITY
Jumayev Akmal G‘ulom o‘g‘li
Student of the Public Security University of the Republic of Uzbekistan
The legal foundation of youth policy in Uzbekistan and the analysis of constitutional reforms demonstrate significant progress in strengthening the protection of youth rights. The new edition of the Constitution of the Republic of Uzbekistan, adopted by referendum on April 30, 2023, has elevated the system of youth rights protection to a qualitatively new level. Unlike the previous version, the new Constitution explicitly enshrines youth rights in a separate article.
Analysis of Article 79 of the Constitution — the “Charter of Youth Rights”:
This article imposes an obligation on the state to ensure the protection of the personal, political, economic, and social rights of young people, as well as to create conditions for their active participation in the life of society and the state. From a legal perspective, Article 79 elevates the issue of youth employment from a mere social measure to the level of a constitutional obligation of the state.
Labor guarantees:
Article 42 of the Constitution guarantees every individual the right to work, to freely choose a profession, and to work under fair labor conditions. For young specialists, the realization of this right is ensured through a “system of legal incentives” facilitating their transition from education to the labor market. Constitutional reforms legally confirm the transformation of the state’s role from a “passive observer” to an “active facilitator” in youth-related issues. This serves as a higher legal basis for establishing quotas and tax preferences for youth in subordinate legislation.
Socio-legal necessity of ensuring youth employment under demographic growth:
Uzbekistan is currently considered one of the youngest countries in the world, with nearly 60% of its population consisting of young people. This demographic situation implies that more than 600,000 new entrants join the labor market annually.
The “first job” problem:
Although graduates of higher and secondary specialized education institutions possess theoretical knowledge, they often lack practical experience, making them less competitive in the labor market. Legal mechanisms (such as preferential probation conditions) are essential to bridge this gap and protect young people from discrimination.
Labor market stability:
Youth unemployment is not only an economic loss but also a social risk (including increased migration and crime). Therefore, a system of incentives for employing young specialists serves as a key tool for maintaining the balance between supply and demand in the labor market.
Elimination of legal conflicts:
In practice, contradictions arise between employers’ demand for experienced workers and legal obligations to hire graduates. Before analyzing the system of incentives, it is necessary to clarify the legal meaning of the term “young specialist.”
Legal status of “young specialist” and “graduate” in national legislation:
The term “young specialist” has a specific legal status closely related to, but distinct from, the concept of a “graduate.”
- “Graduate” refers to an individual who has completed higher, secondary specialized, or vocational education programs. According to the Law “On State Youth Policy,” youth are defined as individuals aged 14 to 30.
- “Young specialist” is a narrower legal concept, typically referring to a person who, within three years after graduation, enters employment for the first time. In some cases, this period may vary depending on the sector or program.
Connection with incentives:
The status of a “young specialist” provides certain legal benefits, such as employment without a probation period and assistance in job placement. While “graduate” indicates completion of education, “young specialist” reflects entry into professional activity and eligibility for legal protection.
Distinguishing between these two concepts is important for both employers and young individuals. Employers must comply with legally established benefits when hiring young specialists, ensuring fairness and transparency in the employment process.
International Labour Organization (ILO) standards and their transformation into national law:
As a member of the International Labour Organization (ILO), Uzbekistan has ratified several conventions and recommendations aimed at promoting youth employment. These standards serve as an important legal guideline for improving national legislation.
In ILO documents, “youth employment” implies not only job creation but also ensuring decent work conditions, protection of rights, and opportunities for professional growth. The ILO generally defines youth as individuals aged 15 to 24, although this range may extend to 30 in national contexts.
Key aspects include:
- Conventions and Recommendations: Ratified ILO conventions (e.g., on employment promotion) form an integral part of national legislation and may have direct applicability.
- Best practices: International experiences, such as Germany’s dual education system and Japan’s lifetime employment principles, serve as models for shaping Uzbekistan’s youth employment policy.
ILO standards ensure protection against forced labor, prohibition of discrimination, and the right to fair wages, reinforcing the concept of “young specialist” within both national and international legal frameworks.
Thus, the legal determination of the term “young specialist” is based on both national and international legal norms. It refers not merely to age but to a qualified individual entering the labor market who requires special legal protection. This concept forms the basis for applying all benefits and guarantees aimed at youth employment.
Incentives for employers:
Ensuring youth employment requires not only providing benefits to young people but also incentivizing employers. This helps maintain labor market balance and facilitates youth employment.
Tax incentives are among the most effective tools. Legal frameworks should allow reductions in social tax rates for enterprises hiring young employees. Relevant provisions of the Tax Code of Uzbekistan (such as those related to personal income tax and social tax) may include mechanisms for granting such benefits.
Currently, these incentives may take the following forms:
- Social tax benefits: Partial reimbursement or reduced rates of social tax for companies employing young specialists under certain conditions.
- Income tax benefits: In some cases, enterprises implementing youth employment projects may receive tax preferences.
These measures compensate employers’ additional costs and make hiring young specialists economically beneficial, especially for small and medium-sized businesses.
Conclusion:
Youth employment today is not merely an economic issue but a crucial legal element of Uzbekistan’s national security and constitutional stability. Therefore, studying the system of legal incentives for young specialists is of great theoretical and practical importance. Economic-legal mechanisms such as tax incentives, subsidies, and mentorship systems accelerate the integration of young specialists into the labor market. This system serves as an essential legal instrument for implementing state youth policy and encourages employers to invest in young human capital.