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SCIENTIFIC AND THEORETICAL BASIS OF IMPROVING THE LABOR MARKET
OF UZBEKISTAN
Kurbanova Dinora Abdug'afforovna
Master's student of Karshi International University, specialty 70410102 - "Economics"
The effective implementation of market relations in our republic, employment of the population
and, thereby, socio-economic development, depends, first of all, on the effective use of existing
labor resources. Labor resources play an important role in the processes of liberalization of the
economy today, and their importance in socio-economic development can be seen at the micro,
meso and macro levels. The importance of labor resources at the micro level is determined by
their role in the activities of the enterprise (organization) and their participation in production.
As is known, labor resources are the main factor of production, and all resources that create it
are directly controlled by this factor. The role of labor resources in the economy of regions and
regions indicates its importance at the meso level. In any region of the country where labor
resources have a high indicator, production, industry, socio-economic infrastructure and
communications are developed there. The macro importance of labor resources is based on its
role in the country's overall economy and its recognition as the main wealth. It is through labor
that material and intangible wealth is created in the country. The subject (author and executor)
of this labor is directly a person, that is, labor resources. Therefore, the importance of labor
resources at all levels determines the scientific and economic relevance of its research.
In economic literature, there are still different views on the concept of "labor resources", and
their generalization and reaching a single conclusion remains a controversial issue. The
contribution of Eastern thought and teachings to the study and research of labor relations is
immeasurable. Because the first appearance of labor relations in written sources and in
everyday life can be directly linked to the monuments and works of thinkers of Eastern culture.
The teachings of Zoroastrianism, which is considered the oldest and was widespread in Asia,
especially Central Asia, before the advent of Islam, placed special emphasis on man and his
labor. The sacred book of this religion, the "Avesta", expressed the first interpretation of labor
relations in a unique way. Also, the thoughts of ancient China (the teachings of Confucius) and
India (the monuments of the "Laws of Manu" and "Arthashastra") also played a special role in
the formation of economic and labor ideas.
Labor and the human factor occupied a special place in the teachings and views of such great
representatives of Eastern thought as Abu Nasr Al-Farabi (the work “City of Virtuous People”),
Abu Rayhan Al-Biruni, Abu Ali Ibn Sina, Yusuf Khos Khajib (the work “Kutadgu Bilig”). The
contribution of Bahauddin Naqshbandi to the development of labor relations in the East is
immeasurable. In this regard, it is enough to cite only one of his instructive words: “Heart to
God, hands to work” (May your heart be in Allah, and your hands be in labor). This phrase
encourages people to work, strive, and search. The unique teachings of our great-grandfather
Amir Temur made a fundamental difference in the development of economic knowledge and
the special place of labor relations in it. The fact that the ideas put forward by the sages were
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tested in practical life ensured their scientific significance. His main scientific views were
expressed in the work "Temur's Regulations", which specifically addresses the issues of state
management, economic management, and labor organization.
Also, the just policies and economic views of the great thinker Alisher Navoi (the work
"Vakfiya") and the great statesman Zahiriddin Muhammad Babur (the works "Mubayin" and
"Baburnoma") paid special attention to labor and the human factor. They highly appreciate the
role of labor in the life of a person and society, and emphasize that labor is the main way to
increase wealth and live a full life.
Thus, the study of ancient Eastern teachings, including the work of our great scholars whose
names were mentioned above, indicates that the importance of the Eastern school of economic
ideas in the emergence and development of labor relations, concepts and views in scientific and
life practice is immeasurable. These ideas and views can be considered as the scientific basis
for the emergence of terms and concepts used in current economic literature.
As a result of the development of socio-economic relations, the meaning and content of
economic concepts such as "labor resources" and "labor force" are changing somewhat. These
concepts have become widely used not only in scientific and economic literature, but also in our
daily practice.
Labor force is considered in economics as a set of physical and mental abilities that a person
uses in the labor process. R.J. Ehrenberg and R.S. Smith considered that “the labor force
includes workers over the age of 16, employed, actively seeking work, and those who intend to
apply for employment services again after being dismissed.”
One of the founders of English political economy, A. Smith, introduced the term “economic
man” into the science. According to him, “economic man” strives to improve his life, pursuing
his own interests and goals. Therefore, a person in a market economy tries to choose a type of
activity, a sphere of activity, in which the value of the product produced is high and brings the
most profit. Only the “invisible hand”, that is, free competition, the laws of the market, unite
those who work for their own goals into an organized system. Therefore, “economic man”,
while pursuing his own interests, also works for the interests of society.
American economists K.R. McConnell and S.L. Brewer distinguished the quantity and quality
of labor resources as factors affecting economic growth. According to their theory, the quantity
of labor resources is determined by the number of people employed in the economy and their
share in the working-age population. As factors that reflect the quality of labor resources and
affect labor productivity, indicators of people's health, professional training, knowledge and
interest are given.
Labor force is a set of physical and mental abilities that a person uses in the labor process.
The term "labor force" is often used to mean three meanings:
as a set of physical and mental abilities that an organism, a living human being, possesses and
that he or she uses each time he or she creates some consumer value;
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as a synonym for the part of the population that is employed or looking for work - the
economically active population;
as workers in general or as workers of a particular enterprise.
However, at the same time, the words "labor resources" and "labor force" have different
variants, and their use requires conscious and appropriate explanations.
Thus, the concepts of "labor resources" and "labor force" are used differently in different
sources and in most cases are almost indistinguishable from each other.
The difference between the concepts of “labor resources” and “labor force” is as follows:
The concepts of “labor resources” and “labor force” have different meanings, and the process of
transforming labor resources into labor force goes through several stages.
At the initial stage, labor resources are a potential part of the labor force, which increases the
experience of working with labor tools and equipment.
At the second stage, labor resources are distributed to workplaces. Thus, physical and mental
abilities are spent in the labor process. Labor resources are transformed into labor force in this
process.
At the third stage, labor force spends time and creates material goods, and this goods acquire
consumer value.
When the labor force ceases to work, it again takes on the form of an economically inactive
population, but remains in the composition of labor resources.
Is there a similarity between the concepts of “labor resources” and “labor force”?
Yes, there is. The similarity between the concepts of labor resources and labor force is that
people belonging to both categories have the ability to work in order to participate in social
production.
When was the concept of “labor resources” introduced into science?
The concept of “labor resources” was first introduced into science in 1922 by the Russian
scientist S. Strumilin. He interpreted this concept from the point of view of the system of
centrally planned economy, according to which labor resources were considered as a set of
passive labor force that was planned.
It is natural that the question arises of who is included in labor resources?
Labor resources include the able-bodied population of working age and persons employed at an
age younger than and older than the able-bodied age.
Now let's understand the able-bodied population of working age.
The working-age population in Uzbekistan includes:
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Men aged 16 to 60;
Women aged 16 to 55.
However, not all of the population in this age group are considered to be able-bodied.
Therefore, the able-bodied population of working age is determined by excluding the number of
disabled people of groups I and II of this age, as well as persons of working age receiving
pensions on preferential terms.
Unemployed - persons officially registered as unemployed in accordance with the legislation, as
well as temporarily unemployed persons of working age who do not have a paid job or gainful
occupation, are independently looking for work and are ready to take up such work if offered.
Economically inactive population - these are persons who are employed and are not considered
unemployed. They include pupils and students who are studying separately from production;
unemployed women raising children; housewives and persons who are voluntarily not
employed, as well as unemployed persons who receive income from movable and immovable
property.
What factors most affect the effective use of labor resources?
The following factors affect the use of labor resources:
1. Geographical and natural factors. The regions of our republic have different natural and
geographical features, which means that regional labor markets are highly sensitive to natural
conditions. For example, the high level of unemployment in the Aral Sea region is due to the
environmental situation. In addition, the high share of the agricultural sector in the economy
leads to a high dependence of employment in the republic on seasonal and climatic factors.
Adverse weather conditions have a negative impact on the production of agricultural products,
causing a sharp decrease in yields. This situation, in turn, leads to the fact that enterprises of the
industrial, including processing, food and light industries, do not operate at full capacity, and
there are vacancies and reductions in workers. The high level of seasonal unemployment in
rural areas of our republic is also closely related to seasonal and climatic conditions. Therefore,
those working in agriculture are unemployed in the off-season or are forced to engage in
uncertain, temporary and one-time work.
2. Available raw material resources. Raw material resources determine the specifics of the
sectors of the regional economy. For example, in Navoi, Tashkent, Bukhara and Fergana
regions, which are rich in natural raw material resources, industrial and manufacturing sectors
are well developed, and a significant part of the workforce of these regions is employed in these
sectors.
3. Demographic factors. In this case, demographic factors cause natural movement of the
workforce and natural changes in the structure of employment. The mortality rate of the
population, including the workforce, has a negligible effect on employment. If this indicator is
high, then it leads to a qualitative and quantitative reduction in the structure of the country's
workforce. At the same time, the increase in diseases, especially occupational diseases and
injuries, can also lead to employed citizens losing their jobs and leaving the workforce.
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Also, within the demographic process, the birth rate has a significant impact on employment.
Because, as a result of the birth of a child, women temporarily leave the labor force and join the
economically inactive population. In Uzbekistan, women are on maternity leave until their child
reaches the age of 2 or 3. Thus, in this case, women can return to the economically active
population only after at least 2 years. Therefore, the high birth rate in the country is one of the
main factors affecting women's employment. Today, an average of more than 700 thousand
babies are born in the republic per year, which, in turn, limits the activity of such a large
number of women in the labor market for a certain period of time.
One of the demographic factors that affects the effective use of labor resources and causes its
level to change is labor migration. Labor migration is the movement of the labor force from one
region to another in order to find a job that brings income. The main motive for this type of
migration is the movement of citizens in search of high wages and favorable working
conditions. Labor migration has the following effects on the employment of the country's
population: there is a redistribution of the labor force between regions and sectors; the
unemployed are provided with work; the income of workers increases and the standard of living
improves; workers acquire new professions and skills, and their work experience increases.
4. Education system. The impact of this factor on the use of labor resources can be seen in the
following:
a high level of literacy of the population, including youth, creates a market for qualified labor;
leads to the emergence of competition in the labor market;
improves the qualitative structure of labor supply;
an increase in the number of young people studying separately from production leads to an
increase in the share of economically inactive population in the composition of labor resources;
ensures optimal satisfaction of the demand for qualified personnel in the relevant areas of the
economy.
5. Wages. The policy of steadily increasing wages and social transfer payments creates
favorable conditions for eliminating employment problems, increasing well-being, and
restoring the labor force.
The transition of our country's economy to market relations, as well as solving a number of
socio-economic tasks, requires the effective use of labor resources. This is closely related to the
interests, lifestyle, development and prospects of individuals.
The ways to effectively use labor resources in Uzbekistan include:
strengthening the legislative framework, improving regulatory and legal documents and
implementing them in practice;
improving the wage system and achieving an increase in its real amount;
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encouraging non-traditional forms of employment - such as homemaking, domestic work,
family business, service provision and livestock farming, and encouraging self-employment;
increasing the participation of the private sector in the employment of the unemployed and
supporting the activities of private recruitment agencies in this matter;
redistribution of labor resources across regions and sectors and special attention to labor
migration in providing employment to excess labor force, etc.
Today, when the processes of liberalization and modernization of the economy are being
rapidly implemented, the role and importance of labor resources in ensuring socio-economic
development in our country is increasing. Effective use of labor resources in the country creates
the basis for increasing the well-being of the population and economic growth.
Because the people, who are the highest wealth of society, have a powerful potential. The
manifestation of this potential serves as a very powerful factor in the development and progress
of our society.
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