During a full assembly on January 18, Russia’s State Duma approved a new law expanding protections for workers when wages are not paid on time. The update was reported by RIA News, and it signals a stronger statutory framework to ensure timely compensation and clearer enforcement for employees facing delayed salaries.
Previously, the legal landscape left ambiguity about when interest on overdue wages began to accrue. In practice, calculations often started from the original payment due date, a practice that allowed some employers to postpone payments without incurring penalties under the Labor Code of the Russian Federation. Judicial rulings tended to focus on the unpaid gross wages themselves, with relatively little emphasis on any statutory interest that might be due to the worker.
The newly enacted law addresses this gap by establishing a concrete obligation on employers: if wages are not paid when due, the employer must compensate the worker, and the court must acknowledge the worker’s right to receive that compensation. This formalizes what had been an informal expectation in many cases and shifts some of the risk from the employee to the employer by mandating monetary relief for delays.
Concretely, the compensation amount is tied to the sum that was not paid on time. The calculation begins on the date the payment should have been made had the wages been accruing according to the statutory schedule and continues through to the actual date of payment, including that day. In essence, the law makes the delay costly for the payer and straightforward for the employee to quantify, reducing room for subjective interpretation by courts or payroll departments.
The bill itself originated from the Russian government as a legislative proposal, reflecting a policy objective to strengthen labor rights and to deter chronic late payments by organizations of different sizes. By clarifying the remedial framework, lawmakers aim to provide a predictable and enforceable remedy for workers facing late wages, and to encourage employers to uphold timely payroll practices.
Independent research from a leading university’s Higher Faculty of Economics has shown a notable shift in the incidence of wage delays across medium and large enterprises in Russia. Data indicate a decline from about 2.5 million workers affected in 2005 to roughly 10,000 in 2023, suggesting that compliance and enforcement efforts have had a measurable impact over nearly two decades. This trend likely reflects a combination of stricter enforcement, better administrative processes within firms, and a cultural shift toward more predictable payroll management.
Despite the positive directional trend, public inquiries from Russian workers about what steps to take when wages are delayed remain frequent. This pattern underscores a continuing demand for clear legal remedies, accessible guidance, and robust enforcement mechanisms that can translate formal protections into real-world outcomes. The evolving legal environment appears to be responding to those needs by offering a transparent pathway for workers to pursue compensation and by setting clear expectations for employers regarding timely wage payments.
From a broader perspective, the reform aligns with global labor standards that emphasize prompt wage delivery and fair compensation for delays. It also highlights the importance of administrative efficiency within payroll systems and the role of the judiciary in interpreting and enforcing statutory rights. As practice evolves, stakeholders—from workers and unions to employers and regulators—will likely monitor the law’s practical impact on wage discipline and on the speed with which compensation is disbursed after a delay. Attribution: RIA News