1. Duty Station of the Consultancy: Remote work/home-based
2. Duration of Consultancy: February-March 2022
3. Nature of the consultancy: To conduct an assessment of the impact the COVID-19 pandemic has had on the labour market in multiple crises-affected communities in Ukraine – opportunities and challenges for strengthening employment and income generating outcomes in micro-, small- and medium-sized enterprises (MSMEs).

Project Context and Scope:

COVID 19 has exacerbated the situation in multiple-crises affected communities in Ukraine and has had an uneven effect on employment and income, leaving the most vulnerable at risk of being even less able to cover their essentials needs than before this pandemic. IOM’s SME Boost project (funded by the KfW Development Bank on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ)) aims to efficiently and effectively strengthen employment outcomes for the most vulnerable to mitigate the impact of COVID 19 in terms of job and income retention and creation.

The COVID-19 outbreak has had a major impact on the global economy and puts emerging economies, such as Ukraine, in a particularly precarious situation. The pandemic hit Ukraine’s already fragile economy that has been destabilized by seven years of military conflict, posing acute socio-economic challenges, and further exacerbating pre-existing disparities in the country as a result of transition and the financial crisis. These multiple crises combined have had a significant negative effect on economic activity including a loss of income, spike in unemployment rates, weaker employment for the jobs available, and a decrease in the quality of life among many other socio-economic outcomes. The burden of these crises has weighed most sharply on vulnerable and marginalized groups and communities, including populations of concern to IOM, notably: internally displaced persons (IDPs) and conflict-affected communities in the East of the country, victims of trafficking, returning migrants, and foreigners in Ukraine.

Un- and underemployment and reduced income stemming from COVID-19 may put especially those individuals who were already experiencing difficulty achieving basic sustence levels of income on the brink of survival, exacerbating poverty  and vulnerability nationwide with potential long-lasting negative effects. Many people earning sustenance, or below sustenance levels of wages, are experiencing the devastating effects in terms of resilience (ability to absorb future shocks) and early recovery since lost income to cover the basics compels the most vulnerable to erode their assets, minimum savings, or resorting to borrowing, which  reduces their ability to cope during at the current time let alone invest in activities that could boost their future production and achieve higher levels of income. Below sustence levels of income and employment prevents asset maintenance and growth that are critical for meeting basic needs but also achieving higher levels of productivity, income, and as a consequence, higher levels of resilience and socio-economic outcomes.

IOM’s project “SME Boost:  Economic Integration of Internally Displaced People and Business Recovery” funded by the KfW Development Bank on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ), aims to respond to the employment needs of the most vulnerable within this context. “SME boost” aims to improve socio-economic outcomes for the most vulnerable by sustaining jobs and businesses severely impacted by COVID-19 and thereby contribute to a more inclusive economic recovery in the country.  The project focuses on generating and strengthening employment and creating new opportunities for the micro-, small- and medium-sized enterprises (MSMEs) in key sectors of the economy, linked activities, or enterprise activities that show potential for improved competitiveness in local, regional and wider markets. The project will provide stimulus packages and technical expertise to selected MSMEs (including social enterprises and rural cooperatives), especially targeting those who have potential but are unlikely to have access to finance or lack the capacity and resources to invest themselves and improve the amount of value their labour can produce. It is more precisely these activities that are held back from achieving their greater potential in terms of employment and income due to their inability to self-finance their way out of these multiple crises and thus, could most benefit from assist while improving the impact IOM can achieve for the most vulnerable.

Within the context of Ukraine, the SME boost project therefore aims to support more and better jobs especially for those suffering the most from multiple crises. While job creation is needed to absorb unemployed and forecast unemployed as enterprises continue to close due to multiple crises, the quality of jobs is also a critical issue in Ukraine. Many of the employed are informally employed with low sustenance level salaries and high levels of insecurity, while those who are formally employed frequently lack decent wage levels that enable them to secure their basic needs and save for future shocks. Depressed income levels also reduce the potential to maintain, invest and cover the costs associated with shocks leaving those currently vulnerable at risk as well as exposing more MSMEs to resort to reducing employment and salaries to cope with the fragile economic situation.

To design and implement an intervention that best meets the labour market needs of the most vulnerable  given the situational context in the country and labour market conditions, IOM is commissioning this assessment involving a desk review of available data, assessments and analysis, interviews of the targeted sample of key informants, jobseekers, youth, employers, and consumers that shall serve to provide a picture of the regulatory environment, labour market and existing mismatch between employer needs and jobseeker skills that can be used to help identify and prioritize which MSMEs should be targeted and supported to mitigate the impact of COVID 19 and achieve the most impact, value for money. The assessment would also specifically help to identify activities that should be strategically supported by IOM (that would be excluded by the public or private sector) to improve specific outcomes in terms of generating improved income and employment opportunities for those who are vulnerable, underperforming, and located in multiple crises affected communities. While there have been many assessments since the beginning of hostilities in 2014, most have focused on directing assistance to the most severe conflict affected communities and people in the Eastern Conflict Area. This assessment, however, shall factor in the economic problems caused directly and indirectly by the pandemic and affecting the entire country and broaden the scope recognizing that other communities across Ukraine may be indirectly affected by the conflict or be experiencing similar socio-economic outcomes and in need of assistance. By gathering evidence, analysis and insights, this assessment will be used to design and implement IOM’s response to boost MSME performance.

Organizational Department / Unit to which the Consultant is contributing: Labour Migration and Human Development (LHD) / SME Boost project

Category B Consultants: Tangible and measurable outputs of the work assignmen

The consultant is expected to provide an evidence-based labour market assessment that analyses bottlenecks and opportunities in the formal economy nationwide, across sectors (examining as relevant dynamics and challenges posed by informal economy), that identifies those activities that need assistance to boost employment and income performance in MSMEs to achieve impact. It is envisioned that this assessment would address the following specific questions:

1. Economic priorities: Employment in which sectors was the most impacted by the COVID-19 pandemic and what are the sectors at-risk in a view of the long-term consequences of the crisis? Which sectors currently absorb labor and which are likely to create new jobs in the future? Where are the gaps likely the largest between current and potential performance in terms of employment and income?
2. Geographic priorities: Identify the regions of Ukraine where employment by MSMEs suffered the most during the pandemic.
3. Stakeholders and institutional framework: What are the key stakeholders on national, regional, and local levels for supporting and promoting employment? What are regulatory opportunities and constraints? What are the policies that stimulate or limit employment by MSMEs? How the situation can be improved?
4. Barriers and amplifiers: Factors that limit MSMEs’ growth potential and constrain their ability to retain employees or stimulate job creation and other positive social and economic returns. Factors that stimulate MSME development opportunities across sectors including the green economic opportunities
5. Demand for adaptation: What are the adaptations required by MSMEs to boost their competitiveness and promote their growth? Which skills and which training opportunities are required to support the adaptation?
6. Demand for investment: Among sectors most affected by the COVID-19 pandemic, identify specific needs for investments in the value chain that would amplify the opportunities and stimulate sustainable job creation and growth.
7. Identify barriers and opportunities for green investments and green jobs
8. Identify sectors and regions that have the best potential for securing the sustainable employment and/or other income-generating opportunities for the following categories:

• internally displaced persons
• women
• youth
• migrants (Ukrainian returning migrants as well as foreigners in Ukraine).
• rural population
• people affected by poverty
• people with disabilities

9. Synergies: map existing state and non-state programmes that support employment and development of the workforce in Ukraine.
10. Actionable recommendations for sustaining and stimulating employment by MSMEs affected by the pandemic.

The  Category B Consultant is hired to deliver a report on a three-instalment payment basis:

First deliverable – Desk review and analysis. Outline of the LMA report  - First instalment payment (25% of overall contract value) -  Deliverable by email by 15 February 2022

Second deliverable – First draft of the Report – Second instalment payment - Deliverable by email by 10 March 2022 (25% of overall contract value)

Final deliverable – Final Report ready for publication (see below for details on final deliverables) – Third and Final instalment payment (50% of overall contract value) - Deliverable by email by 25 March 2022

Final Deliverables

• Consultant’s report outlining findings of the assessment based on the abovementioned objectives of the assignment.
• Methodology and recommendations for supporting the identification of beneficiaries, target communities and prioritization of funding support, aligned with an approach that recognizes linked activities and supply chains.

Performance indicators for the evaluation of results

The consultancy will be evaluated against the following indicators, for which targets will be discussed with IOM:

• Quality of the desk analysis provided by the consultant
• Quality of questionnaire developed for the key informants interview
• Number and relevance of the the key informants interview

Education, Experience and/or skills required

Education:

Master’s degree in Economics, Political Science, International Relations, Migration, Development, Social Sciences, or a related field from an accredited academic institution with at least seven years of relevant professional experience;

Experience and skills:

• Proven experience in analysis, consulting and/or market research
• Strong knowledge of the local economic and political context, ability to inedependently identify and connect with relevant stakeholders
• Strong writing and analytical skills, ability to produce clear and well-written reports

 Travel required

Field travel to different parts of Ukraine may be required.

 Competencies

Values

• Inclusion and respect for diversity: respects and promotes individual and cultural differences; encourages diversity and inclusion wherever possible.
• Integrity and transparency: maintains high ethical standards and acts in a manner consistent with organizational principles/rules and standards of conduct.
• Professionalism: demonstrates ability to work in a composed, competent and committed manner and exercises careful judgment in meeting day-to-day challenges.

Core Competencies – behavioural indicators

• Teamwork: develops and promotes effective collaboration within and across units to achieve shared goals and optimize results.
• Delivering results: produces and delivers quality results in a service-oriented and timely manner; is action-oriented and committed to achieving agreed outcomes.
• Managing and sharing knowledge: continuously seeks to learn, share knowledge and innovate.
• Accountability: takes ownership for achieving the Organization’s priorities and assumes responsibility for own action and delegated work.
• Communication: encourages and contributes to clear and open communication; explains complex matters in an informative, inspiring and motivational way.

 How to apply:

Interested candidates are invited to submit their cover letters (detailed expression of interest) and CVs with names and contacts of three referees, listing references to previous similar studies conducted or relevant publication(s) to [email protected] with subject line “Labour Market Assessment (LMA) Consultant” by January 24, 2022 at the latest. Only shortlisted candidates will be contacted.

Private entrepreneurs (PE) cannot be considered as applicable for providing services under this consultancy.

 Posting period:

From 11.01.2022 to 24.01.2022