Russia faces labor crisis due to mass military recruitment

Russia is grappling with an unprecedented labor shortage, with a deficit of 2.6 million workers across key sectors such as manufacturing, trade, and transportation. This shortfall, reported by Izvestia and based on a study by the Higher School of Economics, underscores the mounting strain on the nation’s workforce amid ongoing military mobilization and demographic challenges.

The manufacturing sector faces the most significant gap, requiring approximately 391,000 workers, followed by trade with 347,000 and transportation with 219,000 vacancies. Companies are offering salaries up to 1.5 times the national average to attract employees, yet the demand remains unmet.

Several factors contribute to this labor crisis. The demographic decline from the 1990s and early 2000s has resulted in a reduced working-age population. Additionally, the ongoing conflict in Ukraine has led to increased military recruitment, drawing potential workers away from civilian jobs. Emigration and a decline in labor migration further exacerbate the situation.

In response, the Russian government is implementing measures to mitigate the shortage. These include encouraging the employment of underrepresented groups and considering policy changes to expand the labor pool. However, experts warn that without significant structural reforms, the labor deficit may continue to hinder economic growth and stability.

This labor shortage not only challenges Russia’s economic resilience but also raises concerns about the sustainability of its current workforce strategies amid ongoing geopolitical tensions.

Read more about Russia’s economic troubles here

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