Russian economic meltdown as workers face 80% cut to wages and grain harvests collapse | World | News
Russian workers in one of Moscow’s largest international airports are reported to be faced with 80% deduction in their wages. As the economic crisis in Russia intensifies. In addition, since many companies are forced to pass in four days, approximately 800,000 employees will decrease weekly working hours. In working weeks to reduce costs.
Russian enterprises faced difficult economic conditions of high inflation and interest rates. This has created the cost of making the most needed capital for serving previous bank loans and investing in the most needed for many companies. With an desperate offer to save money, businesses around the country reduce a strict wage deduction program and working hours.
It was reported that Moscow will pay only 20% of their salaries to employees at Domodedovo Airport.
In the decision, 200 workers resigned to protest immediately. Salary deductions are linked to the transition of the airport to state ownership and subsequent administration changes.
Domodedovo officials insisted that the airport “fully fulfills its obligations to labor force, airlines and common companies”. The airport faced potential bankruptcy, the debt reached 70 billion rubles (£ 642 million) and passengers.
In 2025, only interest payments will be dazzling 8 billion rubles (£ 73 million). Andrey Ivanov, the new CEO of the airport, said to journalists: “Debt, passenger traffic and income decrease, increasing losses and costs, or not to increase operational productivity.”
Meanwhile, several major Russian companies are in the process of implementing discounts that will affect hundreds of thousands of workers during the working week.
Chelyabinsk Electro-Metalurgical Plant Kamaz and Gas planned to switch to a four-day working week. Russian railways, Avtovaz and Ulyanovsk Automobile Factory (UAZ) said they would try to cut the workers’ watches.
In one of the largest wheat -growing regions of Russia, grain harvest fell slightly above 24% annually. The Rostov region collected 8.2 million tons with a big blow to Russia’s agricultural sector with a decrease of 10.8 million from last year.
“We have a very difficult situation with agriculture this year. Unfortunately, we have experienced a significant decrease in gross harvesting in a row.”
