November 23, 2024

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Mayor says Western immigration could cost 200,000 jobs in Moscow

Mayor says Western immigration could cost 200,000 jobs in Moscow

The city’s mayor, Sergei Sobyanin, said in a blog Monday that 200,000 people are at risk of losing their jobs. He added that the authorities had allocated 3.36 billion rubles ($41 million) to support them.

Dozens of Western companies have left Russia or suspended their operations in the country after President Vladimir Putin ordered it Invasion of Ukraine In late February. Companies were sold off, offices closed, and everything produced from beer to cars Stop.
Dozens of them are among them McDonald’s (MCD) – Which It employs 62,000 people In the country – promised to continue to pay workers, at least for a limited time.

The Swedish Ingka Group, which owns the IKEA retailer, has 15,000 employees in Russia. A company spokesperson told CNN Business last month that it guaranteed three months’ salary to its workers.

However, it is unclear how long the companies can maintain the support. Sobyanin said the Russian government is stepping in to help those workers left behind.

“The [support] The program is intended for employees of foreign companies who have temporarily suspended their activities or decided to leave Russia. ”

According to the mayor, the aid plan includes training, employment in temporary and public works, and incentives for institutions and companies To hire workers whose companies have left.

Western sanctions have crippled Russia’s economy and pushed the country to On the verge of a first default on foreign debt for more than a century. Inflation is rising and economists expect a deep recession.
Not reaching nearly half foreign exchange reserves Credit rating agency Moody’s said on Friday that Russia had attempted to pay in rubles, rather than the dollars stipulated in the contracts, on bonds maturing in early April, now frozen under sanctions. Russia He has until May 4 to The agency said he is fulfilling his obligations or could be considered in default. Standard & Poor’s has already called on Russia to “selective default” on those bonds.
US Treasury Secretary Janet Yellen last week Troubled governments and companies that maintained its relations with Russia.

“Let me now say a few words to those countries that are currently sitting on the fence, perhaps seeing an opportunity to gain by preserving their relationship with Russia and filling the void left by others. Such short-sighted motives,” she said in a statement. Speech at the Atlantic Council.

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