The paper illuminates major changes which have taken place on Russian labor market during the period of reforms. The author puts an accent on such characteristics of labour market as institutions, employment, wages and compensation. The trends revealed by the researcher testify a cut in employment and an increase in its regional disparities during the reforms. Adapting labour market to structural changes took place because of an enlargement of non-traditional employment, a reduction of the share of wages and compensation in an aggregate income structure, and a growth of wages and compensation differentiation among industries, regions, and specific enterprises. Even though recent reformrelated institutional transformation has come to liberating labour relations, it has not essentially influenced the activity of a majority of Russian enterprises, yet.