Published in Scientific Papers. Series "Management, Economic Engineering in Agriculture and rural development", Vol. 25 ISSUE 3
Written by Ana SIMONOVSKA, Dragan GJOSHEVSKI, Riste ELENOV, Ivana JANESKA STAMENKOVSKA

Agricultural labour dynamics in transition economies, particularly in the Balkans, have undergone significant shifts due to structural changes, migration trends, and evolving labour market conditions. Understanding how smallholders allocate their labour is crucial, as they form the backbone of agricultural production but face increasing challenges in sustaining their livelihoods. This study examines farm labour dynamics in the largest agriculture region in North Macedonia, the Pelagonia Region, exploring how smallholders allocate their labour amid broader labour market shifts and migration trends. Employing a synthesis approach, this study explores the interaction between agricultural households, migration patterns, and structural changes in the labour market. Findings reveal a reliance on family labour, with seasonal hiring filling gaps, though constraints on flexibility and productivity persist. Labour shortages, an aging workforce, and limited farm succession planning pose challenges to long-term sustainability. Slow structural transformation, low innovation uptake, and restricted diversification hinder adaptation to economic shifts. The policy recommendation framework focuses on three key areas: enhancing access to agricultural training, fostering modernisation through innovation, and increasing youth engagement to ensure a stable workforce. The study provides a contextualised analysis that can inform similar regions, demonstrating the applicability of established labour theories in agricultural contexts.

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