The average employment rate of Ukrainian refugees aged 20-64 in European countries in mid-2025 was 57%, including self-employment and informal work, which is 22 percentage points (pp) lower than the comparable figure for citizens of the host country, according to a UNHCR survey on the integration of Ukrainian refugees into the labor market.
“The results vary significantly: countries bordering Ukraine tend to have the highest employment rates, while Western and Northern European countries show significantly lower rates, even when differences in refugee profiles are taken into account,” the document, which is based on data from 6,817 respondents, notes.
According to the publication, 3% of those aged 20-64 (or 5% of those in work) are self-employed or entrepreneurs.
It is noted that proficiency in the local language is one of the strongest predictors of employment, and a longer stay in the host country is also associated with improved access to the labor market.
According to the data, Estonia and Hungary lead in terms of employment, with 72% and 71% respectively, followed by the United Kingdom (69%), Poland (68%), Bulgaria (67%), the Czech Republic (66%), and the Netherlands (64%).
Spain (61%), Italy (58%), Lithuania (57%), France (53%), Romania (50%), Moldova, Ireland, and Belgium (46% each) are close to the average.
According to the survey, the employment rates of Ukrainian refugees are significantly lower in Sweden (43%), Finland (40%), Denmark and Germany (39% each), Norway (37%), and Switzerland (29%).
“However, the problem of underemployment remains widespread. Nearly 60% of working refugees report that they are working below their skill level, and they are almost twice as likely as citizens of the country to hold low-skilled jobs,” the UNHCR document states.
According to the document, more than a third of refugees with higher education work in low-skilled professions, compared to 7% of citizens of the host country. According to the researchers, this mismatch between skills is likely to be the main reason for the 40% median wage gap between refugees and host countries.
It is also noted that, unlike employment rates, underemployment does not improve significantly over time when language, sector continuity, education, and labor market barriers are taken into account, indicating the presence of structural barriers that require targeted intervention.
According to UNHCR, reducing gaps in employment and productivity will lead to significant macroeconomic benefits: if average national targets are achieved, this could increase annual GDP growth by up to 0.7 percentage points in some countries, especially those with large refugee populations and significant productivity gaps.
Among other findings of the study, adults aged 50-64 are about 10 percentage points less likely to be employed than those who are younger. Men are 7 percentage points more likely to be employed than women. Having a vocational diploma increases the probability of employment by about 5 percentage points compared to those with only a secondary education. However, higher degrees provide only limited additional benefits—about 10 percentage points overall—with little difference between bachelor’s and master’s degrees.
Living with young children under the age of 6 reduces the probability of employment by 11 percentage points, which is consistent with other studies that identify childcare constraints as a significant barrier.
At the same time, living alone increases the probability of employment by 8 percentage points.
Surprisingly, living with elderly people (65+) is associated with a 6 percentage point increase in the probability of employment, suggesting that most elderly people may not require intensive care from household members, but rather provide support with household chores.
In terms of language, respondents who report at least some knowledge of the local language are 13 percentage points more likely to be employed than those who do not know it at all or have only minimal knowledge. It is noteworthy that a higher level of language proficiency does not seem to provide additional advantages, which means that the types of jobs available to Ukrainian refugees (mostly low-skilled) may not require a high level of language proficiency.
Finally, the study notes that there is a clear link between the likelihood of finding employment and the time elapsed since arrival. Although there is no significant difference between arrivals in the last six months and those in the last year, the probability of employment increases by 10 percentage points relative to the baseline for those who arrived 1–2 years ago, by 14 percentage points for those who arrived 2–3 years ago, and by 20 percentage points for those who arrived more than three years ago.
According to updated UNHCR data, the number of Ukrainian refugees in Europe as of January 16, 2026, was estimated at 5.349 million (5.311 million as of December 11), and 5.898 million (5.860 million) worldwide.
In Ukraine itself, according to the latest UN data for the end of 2025, there were 3.7 million internally displaced persons (IDPs), compared to 3.340 million in July and 3.76 million in April.