Job search duration and wage expectations of the unemployed

Unemployed people have different job opportunities. The article examines how job seekers form their wage expectations. The information base of the article was the data of a questionnaire survey of job seekers who applied for assistance to the Moscow State Employment Service, carried out in 2017. Two types of work remuneration settings of the unemployed were studied: first, the minimum wage offered by the employment service that they are ready to accept, and second, a decent wage. The wage expectations of the unemployed were studied in two ways. Firstly, the trajectory change over the duration of job search was examined. Secondly, the shifts were assessed with the account of the reproductive function of wage. It was found out that 2/3 of the respondents focused on the wages within the range from 1.5 to 3 of the official minimum wage, and as the search was dragging on, their expectations were concentrated in this range. The number of people looking for a well-paid job for more than a year decreased by 3 times in comparison with those who have just started job seeking. The contingent of the unemployed who agreed to low-paying jobs was characterized by a high mobility and changing qualitative composition. The factors affecting the changes in attitudes to wage were assessed. Low social benefits forced job-seekers to agree to unskilled labor or nonoccupational work, which led to depreciation of the wage expectations. Growing awareness of the situation on the labor market, controlled by the state employment service, also contributed to their correction. The unemployed, developing optimal job search strategies in the face of a shortage of vacancies with decent wages and rejections from employers, adjusted their expectations towards lower claims.