AVTOVAZ Implements Downtime Amid Parts Shortage and Wage Adjustments
AVTOVAZ’s trade union reported that the company adopted a downtime order from May 16 to May 20, 2022, due to a shortage of components needed for assembling new cars. The union communicated this news on its official VKontakte account, signaling a pause in production tied to supply chain gaps and the unavailability of essential parts.
During the downtime, employees who were not directly involved in urgent operations required to keep the facility running, the production of spare parts, or work on new projects received two thirds of their average wage for the period. This compensation approach reflects cost-saving measures tied to the temporary halt in production activity.
The challenges extend beyond the Tolyatti plant. Lada Izhevsk, another key manufacturing site where the Lada Vesta family is assembled, has also faced speculation about a potential stoppage through autumn. The AvtoVAZ press service has denied claims of a prolonged shutdown, but the situation remains under scrutiny as markets and suppliers adjust to the ongoing constraints.
Unconfirmed reports indicate that after the May holidays, car assembly did not resume at the AVTOVAZ plants in both Tolyatti and Izhevsk. Workers at factories and affiliated sites have redirected their efforts toward domestic tasks, spare parts production, and other public works programs. Independent sources note that employees are receiving two thirds of the average salary to cover household expenses during the pause.
- AVTOVAZ has proactively indexed salaries in advance and shifted to alternate components. The company is also exploring simplified configurations for several Lada models to expedite production when supply chains stabilize.
- Updates and briefings for staff and stakeholders continue to circulate through messaging channels used by the workforce.
[Citation: Official communications from AVTOVAZ and the company’s workforce representatives, corroborated by multiple industry observers.]