LOCAL ECONOMIC DEVELOPMENT PLAN FOR TBILISI ... - LED

More careful observation of the trends on the local labor market is also carried out in the
districts of Tbilisi. Its results show that every year there are less registered vacancies and,
at the same time, there are fewer job seekers. It results from the fact that people find jobs
outside the labor market institutions operating in Tbilisi. The districts where workers are
most looked for are Saburtalo-Vake oraz Didube-Chuhureti, while the district where the
number of job seekers is the highest (several times more than in other parts of the city) is
Isani-Samgori. It is worth mentioning that it is the district with the largest share of people
in productive age.
Key conclusions for the demography part:
1. Positive demographic trends – since the middle of 1990s the number of residents
has been systematically growing and over 65% of each district’s population are
people in productive age.
2. The metropolitan area of the City of Tbilisi (cities of Gardabani, Mccheta, Rustavi
and rayons of Gardabani and Mccheta) is surrounded by towns with high potential
of population in productive age. The educational structure of Tbilisi is dominated by
people in their productive age educated on the secondary and higher level.
3. The ethnic structure of the city is getting less diversified with the growing share of
people of Georgian origin.
4. The number of the employed decreases while there are more and more
unemployed people.
5. The level of women’s salaries is lower than the salary level in individual sectors. A
significant rise in pay has been observed in few sectors (constructions, hotels
restaurants, trade).
6. The share of non-registered („grey zone”) businesses in the city’s economy
exceeds 33%.
7. The number of schools falls, which is the effect of the decreasing number of
children in primary schools. It signals the change in current demographic trends in
the city and the decrease in local population in the future.
8. There are too many teachers employed in the system of education.
9. The number of state and private university students is growing, especially at the
faculties teaching engineering and construction, which partly results from the
recent growth of manufacturing and construction industries in Tbilisi.
10. Official statistics concerning staff turnover show that there are more people
seeking jobs than the labor market can provide. The sectors where demand is the
highest include commerce and constructions.
11. Number of the unemployed officially registered in job centers is much lower than
the total actual number of the unemployed, which mainly was as a result of
insufficient interest of the unemployed citizens in receiving official unemployed
status. It also shows that job centers do not play an important role on the labour
market and do not offer desired services to the workforce and entrepreneurs. In
the future they should take much more initiative in serving individuals that are
looking for job or new qualifications as well as entrepreneurs looking for qualified
workers. It is important to remember that job centers are key players in the
development of workforce programs.