The article is devoted to conceptual determination of transaction costs on the labor market in the region. The aim of the article is to examine transaction costs in the labor market of the Republic of Crimea and isolate their basic classifications. According to the aim the following tasks were set: to develop theoretical approaches to the definition of «transaction costs in the labor market»; to select classification features of transaction costs in the labor market; to suggest possible options to reduce and minimize transaction costs in the region. Using the method of logical generalization content definition of «transaction costs in the labor market» is mentioned. As part of the study, the transaction costs in the labor market are considered as an aggregate of various resources, costs, losses arising i in the process of interaction between the labor market entities: unemployed, employees, employers and state, associated with the conclusion of services of employees buy-sell transactions. It was concluded that the transaction costs can be anticipated (unforeseen) and prospective (unforeseen). Using the methods of generalization and systematization classification features of transaction costs in the labor market were selected. They are: search and selection of required information and data; negotiation and interviewing; examination of professional quality of workforce; violation of rights and obligations of the labor market agents; professional development and training of workforce. Causes of transaction costs are identified: asymmetry of information between agents of the labor market; mismatching of the interests of employers, employees and the unemployed, who offer a variety of resources; lack of a clear coherence between employers and educational institutions; uncertainty in the social and labor sphere, which makes the labor market agents to protect their rights and obligations; additional financial maintenance of employment centers and their structures with the aim of more effective function. In conclusion, the options to reduce and minimize transaction costs in the labor market in the region were offered by authors of the article using the system analysis.