Occupational Regulation in Russia

The past several years has witnessed a growing concern expressed by some economists and policymakers over the scope and strictness of occupational regulation — especially licensing. But so far studies of occupational regulation and its effects have focused on only a few countries, generally market economies such as the U.S. and the EU. Except for Poland and China, no studies have been done for transition economies. Russia is one such economy. This paper describes and analyzes the Russian system of occupational regulation. Our analysis shows that there are two major levels of regulation, namely certification and licensing. The former is done through educational certificates and the latter through laws that set mandatory requirements for entering an occupation. The paper also describes a unique institution, self-regulatory organizations (SROs), which are currently shifting the burden of regulation from government to the industry level. Finally, the paper identifies those licensed occupations in Russia and describes their various licensing requirements. It also draws comparisons between the Russian occupational regulatory system and that of the U.S