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POSITIVE ELEMENTS AND THREATS OF THE IMPACT OF DIGITALIZATION ON THE LABOR SPHERE
 
27.10.2023 16:40
Автор: Iryna Yuriiivna Kotliarova, third (educational and scientific) level of higher education, Volodymyr Dahl East Ukrainian National University
[Секція 3. Цивільне та сімейне право. Цивільне процесуальне право. Комерційне право. Житлове право. Зобов’язальне право. Міжнародне приватне право. Трудове право та право соціального забезпечення]


In the current context, the priority areas of society's development are not only digitalization, but also ensuring that the economy and society are more adaptable to innovation. The digital economy is changing and modernizing the content of labor relations from within, including through information influence, technology development, automation and the growing degree of robotization of production, the emergence of machine learning algorithms, etc. However, labor legislation that emerged in the period of industrial society is not ready to fully regulate the changes taking place in the economy, business processes, labor and social spheres as a result of digital transformation.

Currently, research on the impact of digitization on all aspects of public life is being updated, particularly in relation to labor regulation. We observe both positive elements, such as the primacy of intellectual work, the emergence of modern forms of work organization and labor relations, flexibility in regulation, the development of electronic self-employment, and negative aspects, including the persistence of labor legislation from Soviet times, the accessibility of employee data, and interference in their personal space.

Deputy Minister of Economy for Digital Development, Digital Transformation, and Digitization, Igor Dyadyura, emphasized the necessity of transitioning to a risk-oriented approach based on digitization during the All-Ukrainian Forum "Ukraine 30. Labor Resources" [1]. He stated, "Labor relations are regulated in all civilized countries worldwide. However, the current labor legislation in Ukraine requires updating and liberalization. Digitization allows a qualitative and efficient deregulation of labor relations, eliminating excessive bureaucracy and reducing the burden on businesses" [2].

Digital transformation is a task of the state that is gradually being carried out, including in the regulation of labor relations. Among the recent positive developments, the impact of digitization on the recording of employees' work activities can be highlighted through the introduction of electronic employment records [3].

The transition from paper employment records to considering modern trends in labor activity tracking is a positive shift, benefiting for both employees (reducing the risk of losing employment records, saving employees' time, and providing quick access to data) and employers (simplifying record-keeping rules compared to paper records, streamlining procedures, and reducing processing time for payment inquiries). In accordance with these changes, employee labor activity is electronically recorded in the register of insured persons of the State Register of Mandatory State Social Insurance in a legislative manner. Additionally, another positive aspect is resource saving. According to the EasyBusiness organization, the elimination of paper employment records will allow employers to save approximately 500 million hryvnias annually [4].

At the same time, given the positive trends and benefits of digitalization's impact on labor relations, we should consider the challenges faced by employees as a result of the digital revolution. 

Firstly, contemporary labor legislation has evolved over an extended period in a different historical context, necessitating rapid conceptual changes in the legal regulation of the rights and obligations of labor relations' subjects in the digital environment. This must take into account the imperative of ensuring the protection of workers in the new working conditions.

In our opinion, the COVID-19 pandemic of 2020-2021 and the full-scale invasion of Russia in 2022, which led to a mass transition of workers to remote work, have had an impact on Ukrainian labor legislation and accelerated the movement towards normatization and stability in the regulation of remote work. Specifically, by Law of Ukraine № 540-IX dated March 30, 2020, amendments were made to a range of legislative acts in Ukraine, including the Labor Code of Ukraine, to standardize issues related to remote work. Moreover, Cabinet of Ministers Resolution № 440 dated April 12, 2022, "On Some Matters of Organizing the Work of Civil Servants and Employees of State Authorities During the Period of Martial Law," and Law of Ukraine № 2136-IX dated July 19, 2020, "On the Organization of Labor Relations During Martial Law," provide for the possibility of working remotely.

Among the advantages of this form of work organization, we can highlight quick access to employment, addressing the employment issue for people with disabilities, women, and youth, temporal and spatial flexibility, regulatory flexibility, etc.

At the same time, it is necessary to pay attention to the rather rapid development of polarization in society, which leads to inequality between employees, creates social and economic differences associated with significant differences in working conditions, wages, safety, etc., which in turn can have serious social consequences, such as increased social inequality, conflicts among working groups and loss of trust in the labor system.

The widespread use of digital technologies also raises concerns about the negative impact of computer technology on human health, which requires a clear regulation of the work schedule and a balance between working hours and rest time when working remotely.

Another aspect that we mentioned earlier is the excessive influence of the employer, the burden on the employee due to non-compliance with working hours, constant correspondence, assigning tasks via email, i.e., the constant involvement of the employee in work, etc.

In view of the above-mentioned, when improving labor legislation and formulating labor policy, it is necessary to take into account the balance in ensuring working conditions for all employees and employers. We also believe it is necessary to clearly define and enshrine the digital labor rights of employees and their guarantees, in particular, the right to disconnect from work. This right is fairly new to the Ukrainian legal framework, but it is exercised by employees in European countries. The right to disconnect refers to the employee's right to be able to get away from work and refrain from work-related electronic communications, such as emails or other messages, outside of working hours, according to the European Dictionary of Industrial Relations [5]. It is in this aspect that the employee's right to take time away from work and refrain from work-related electronic communications outside of working hours should be enshrined in our labor legislation, which will help to maintain the necessary balance between work and personal time and to create a safe, healthy and digitally-adapted work environment.

References:

1. Tsyfrovizatsiia trudovykh vidnosyn maie zmenshyty biurokratychne navantazhennia na biznes i zakhystyty yoho vid neobgruntovanykh perevirok ta shtrafiv URL: https://www.ukrinform.ua/rubric-economy/3284576-cifrovizacia-trudovih-vidnosin-zmensit-navantazenna-na-biznes-minekonomiki.html (data zvernennia: 26.09.2023).

2. Publikatsiia Minekonomiky Ukrainy, 21.07.2021r. URL: https://www.kmu.gov.ua /news/same-cifrovizaciya-dozvolyaye-zabezpechiti-shvidku-yakisnu-ta-efektivnu-deregulyaciyu-trudovih-vidnosin-igor-dyadyura (data zvernennia: 26.09.2023).

3. Pro vnesennia zmin do deiakykh zakonodavchykh aktiv Ukrainy shchodo obliku trudovoi diialnosti pratsivnyka v elektronnii formi: Zakon vid 05.02.2021 №1217-IX. URL: https://zakon.rada.gov.ua/laws/show/1217- 20#Text (data zvernennia  26.09.2023).

4. Kolomiichuk V. Trudova knyzhka: arkhaizm chy neobkhidnist. Yurydychna hazeta online URL: https://yur-gazeta.com/publications/practice/trudove-pravo/trudova-knizhka-arhayizm -chi-neobhidnist.html (data zvernennia  26.09.2023).

5. Eurofound (2021), Right to disconnect, European Industrial Relations Dictionary, Dublin URL:  https://www.eurofound.europa.eu/en/european-industrial-relations-dictionary/right-disconnect  (data zvernennia  27.09.2023).

_________________

Науковий керівник: Арсентьєва Олена Сергіївна, кандидат юридичних наук, професор, Східноукраїнський національний університет імені Володимира Даля



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