Purpose: The social and economic stability and development of any region in many respects depend on the effective realization of social policy in the field of social and labor relations. In this regard, the special importance is gained by legal aspects of regulation in the field of social and labor relations at the level of the territorial subject of the Russian Federation. The legislation of the Republic of Kalmykia is given as an example. Methods: The research is based on the following scientific methods: historical, system analysis, comparative and legal. Results: The issue of the division of powers between the Federation and its subjects in the field of social and labor relations has been analyzed, the importance of the basic law (Constitution) of a territorial subject of the Russian Federation as a source of labor law has been underlined, the competence of the subjects of the Russian Federation has been identified, issues of regional legislation in this area have been examined. Discussion: Legal regulation of social and labor relations in subjects of the Russian Federation applies only to a number of certain issues within the framework of federal legislation. These are, first of all, those issues which are not under the jurisdiction of federal authorities and haven’t been regulated by them. It appears that the powers of the subjects of the Russian Federation are more focused on the regulation of the so-called other issues directly connected with the labor relations, but again only on certain issues mentioned above. In this regard, the division of powers in the field of social and labour relations between levels of public authorities (federal, regional and local government) requires further improvement.