Recent data from Russian labor statistics show that the jobless rate in the fourth quarter of last year stood at 3.7 percent. The Yamalo-Nenets Autonomous Okrug and Kamchatka Region reported the lowest rates, while Ingushetia registered the highest. Across the period, unemployment declined in 76 regions of the Russian Federation and rose in six others. The broader view from experts suggested that, despite expectations for a tougher labor market in 2022 due to reduced activity by foreign businesses, the anticipated deterioration did not materialize. The overall trend pointed to a sustained improvement in employment, culminating in a historically low rate by year’s end. (Source: DEA News)
Meanwhile, the government announced changes to wage policy. President Vladimir Putin indicated that wages would rise, with the minimum wage set to be indexed by an additional 10 percent. The Prime Minister later confirmed a broader 18.5 percent increase in the minimum wage, bringing the level to 19,242 rubles. The plan was to begin these adjustments from January 1, 2024, aligning with Mr. Putin’s stated goals during the parliamentary address the day prior. (Source: DEA News)
In the latter half of January, the president gave a formal directive to raise the minimum wage by more than the inflation rate recorded for 2023. Rosstat had previously reported that inflation in 2022 reached 11.94 percent, marking a higher pace than 2021’s 8.39 percent, 2020’s 4.9 percent, and 2019’s 3.0 percent. These inflation figures provided the context for the wage discussions and the policy choice to push the minimum wage upward to help households keep up with living costs. (Source: DEA News)