Purpose: In modern conditions new forms of employment are being introduced. The purpose of scientific investigation is to reveal and analyze the theoretical, methodological and practical aspects of employment's innovative forms in the transformation of the labor market. Design/Methodology/Approach: The theoretical, methodological and practical aspects of innovative forms of employment in the labor market transformation are presented on the basis of theoretical analysis and synthesis, induction and deduction, and empirical research methods, such as measurement, observation and comparison. Findings: The investigation of the materials submitted by Eurofound has made it possible to reveal 9 key innovative forms of employment, which are widely implemented by the member states of the European Union and not only by them, namely: employee sharing, job sharing, interim management, casual work, ICT-based mobile work, voucher based work, portfolio work, crowd employment, collaborative employment. Originality/Value: The dynamics of employment in the member states of the European Union during 2014-2019 have been estimated. The interdependence between the rate of job vacancies by NACE activities (Job vacancy rate by NACE Rev.) and the share of temporary employees in such countries as Ireland, Luxembourg, Portugal and Croatia has been presented.