Determinants of Employment in the Digital Economy: Evidence from EU Countries with Implications for Inclusive Labour Market and Sustainable Development

This study examines the impact of digitalisation, innovation activity, demographic factors, and macroeconomic variables on employment in European Union countries within the framework of sustainable development. The empirical analysis is based on Eurostat panel data for 2015–2023 and applies regression analysis to identify the key determinants of employment. The results indicate that digitalisation demonstrates the strongest positive statistical association with employment, confirming its important role in labour market transformation and inclusive economic development. Expenditures on research and development also show a positive effect, highlighting the significance of innovation activity for employment growth. At the same time, GDP per capita does not exhibit a statistically significant relationship with employment, while education expenditure demonstrates a negative short-term effect. The findings suggest that digitalisation and innovation contribute not only to employment growth but also to the expansion of labour market participation opportunities for diverse social groups. The study contributes to the analysis of SDG 8 (Decent Work and Economic Growth), SDG 9 (Industry, Innovation and Infrastructure), and SDG 10 (Reduced Inequalities) by identifying the structural factors associated with employment dynamics in the digital economy.

Authors

Institutions

Publication Details

Journal
Sustainability
Published
2026-05-22
DOI
https://doi.org/10.3390/su18115246
Primary Topic
Digital Economy and Work Transformation
Type
article
Field-Weighted Citation Impact
0.00
Controls
|||
ALL TIME
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
article

Determinants of Employment in the Digital Economy: Evidence from EU Countries with Implications for Inclusive Labour Market and Sustainable Development

Iryna Tsymbalіuk, Piotr Czarnecki, Olena Ivashko, Kamila Ćwik et al.
Sustainability
Digital Economy and Work Transformation
article

Determinants of Employment in the Digital Economy: Evidence from EU Countries with Implications for Inclusive Labour Market and Sustainable Development

Iryna Tsymbalіuk, Piotr Czarnecki, Olena Ivashko, Kamila Ćwik, Nataliia Pavlikha
article en

Abstract

This study examines the impact of digitalisation, innovation activity, demographic factors, and macroeconomic variables on employment in European Union countries within the framework of sustainable development. The empirical analysis is based on Eurostat panel data for 2015–2023 and applies regression analysis to identify the key determinants of employment. The results indicate that digitalisation demonstrates the strongest positive statistical association with employment, confirming its important role in labour market transformation and inclusive economic development. Expenditures on research and development also show a positive effect, highlighting the significance of innovation activity for employment growth. At the same time, GDP per capita does not exhibit a statistically significant relationship with employment, while education expenditure demonstrates a negative short-term effect. The findings suggest that digitalisation and innovation contribute not only to employment growth but also to the expansion of labour market participation opportunities for diverse social groups. The study contributes to the analysis of SDG 8 (Decent Work and Economic Growth), SDG 9 (Industry, Innovation and Infrastructure), and SDG 10 (Reduced Inequalities) by identifying the structural factors associated with employment dynamics in the digital economy.

SustainabilityVol. 18(11)
Lutsk National Technical University (UA), University of Economics and Innovation (PL), Lesya Ukrainka Volyn National University (UA), National-Louis University (PL)
Decent work and economic growth
Openalex Percentile: Top 4%
Digital Economy and Work Transformation
AI Navigator

Ask Laika to Summarize, Analyze, and Connect papers live on the map.

Summarize Papers & Methodologies

Extract key findings, datasets, and comparative methods across publications.

Benchmark Rankings & Visual Analytics

Rank top research institutions, authors, funders, topics, and journals by Field-Weighted Citation Impact (FWCI) and paper volume with instant charts.

Connect Distant Disciplines

Bridge topological clusters on the map to find hidden collaborative intersections.