Financial Support for Employment in Agriculture in the European Union

Abstract

The article outlines the current approaches of the central and national state bodies of the European Union to financial support for employment in agriculture as a key sector for ensuring regional development, food security and social cohesion. The purpose of the study is to analyze and assess the effectiveness of the instruments of the Common Agricultural Policy and Cohesion Policy for 2021-2027, in particular the European Regional Development Fund, the European Social Fund+, the Just Transition Fund. The methodology is based on an examination of core regulatory legal acts, the views of European and Ukrainian scientists, and the practical aspects of employment formation. Logical and systematic methods are applied, supported by tabular and schematic presentation of the material.The study analyzed the main regulatory framework of the EU, in particular the Common Provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund, the European Agricultural Fund, and the Rural Development Fund. It also identified the principal budgetary instruments and the results of financial programs implementation in the context of supporting employment in vulnerable rural regions. Particular attention was paid to employment financing through various EU funds. The study identifies the main challenges, including difficulties in accessing funding, insufficient involvement of local authorities in programme development, administrative barriers, demographic risks, and structural distortions of the labor market. The results include proposed directions for improving budgetary policy for employment support: strengthening the role of local governments, simplifying procedures for accessing financial resources, and introducing performance assessments. The recommendations are well-justified and, with appropriate adaptation, can be used by central, national and local authorities in developing employment-support mechanisms in agriculture. The article also outlines prospects for further research on the impact of cohesion policy on employment in the context of the green transformation, digitalization, and the preservation of the labor potential in rural areas of the EU.