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2024/02/08 17:05:51

Unemployment in Russia

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Main article: Labor market in Russia

Unemployment in Moscow

Main article: Unemployment in Moscow

2024: Unemployment in Russia is much lower than in the United States and its allies - 2.4%

The unemployment rate in Russia fell in June 2024 to a historic low of 2.4% and lower than in the United States and its allies.

In June 2024, unemployment in Russia again fell to a record low

Demand for labor has reached a historical peak and continues to grow with a heterogeneous picture by industry.

Opportunities to expand labor supply are limited by negative demographic trends.

Despite the fact that the level of participation in the labor force in 2023 reached its maximum in most age cohorts, especially significant changes occurred in the age groups affected by the pension reform (a strong increase in participation in the labor force of people over 55 years old) - this could only compensate for the decline in the working-age population.

2023

Unemployment in Russia fell to the lowest level since 1992 - 3.2%

The unemployment rate in 2023 showed the lowest on record - since 1992 - at 3.2%. This was announced in February 2024 by the general director of the All-Russian Research Institute of Labor Dmitry Platygin.

According to him, the number of people employed in the Russian Federation by the end of 2023 reached 74.2 million people, which was a record result since 2005. In 2023, there were 2.1 million more working people in Russia than a year earlier. All this, coupled with record low unemployment rates, speaks of the applicant's stable labor market, Platygin said.

The unemployment rate in 2023 showed the lowest value on record

Earlier, Rosstat presented a report on the socio-economic situation in Russia for 2023, according to which the average annual value for unemployment was 3.2%. The unemployment rate in Russia in December 2023 increased to 3% against 2.9% a month earlier, according to data from the department.

Dmitry Platygin says that a slight increase in the monthly unemployment rate in December is a kind of seasonality associated with the traditional slowdown in hiring at the end of the year and the expiration of annual projects and contracts.

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In December, compared with November, the need of employers for employees decreases, this was observed in previous years. Hiring new workers is often delayed at the beginning of the year. At the same time, in the past [2023], the demand for workers remained at a high level in the autumn months, putting pressure down on the unemployment rate, "said the head of the All-Russian Research Institute of Labor.
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According to Rostrud, by the end of December 2023, 0.5 million non-employed citizens were registered in the employment service bodies, of which 0.4 million people had the status of unemployed, including 0.3 million people received unemployment benefits.

Rosstat, when studying employment and unemployment, uses the methodology of the International Labor Organization, according to which those who at the time of the study simultaneously needed work are unemployed, were looking for it and were ready to start it. The number of labor in Russia aged 15 years and older, according to Rosstat, in December 2023 amounted to 76.5 million people.[1]

Down to a record 3.6%

Unemployment in Russia in January 2023 updated the historical minimum and amounted to 3.6%.

2022

The lowest unemployment in Russia - in the Yamalo-Nenets Autonomous Okrug and Kamchatka, the highest - in Ingushetia

At the end of February 2023, RIA Novosti published the results of an annual study of the unemployment rate in the regions of Russia. The lowest unemployment in Russia is in the Yamalo-Nenets Autonomous Okrug and Kamchatka, the highest is in Ingushetia.

By the end of 2022, the unemployment rate in the Russian Federation amounted to 3.7%. Unemployment decreased in 76 regions of the Russian Federation, increased in six and did not change in three.

Table of the unemployment rate by regions of the Russian Federation

In 49 regions, unemployment was below the all-Russian level. Higher than the country as a whole, the unemployment rate was in 36 regions, of which in six unemployment exceeded 10%. The most difficult employment situation was again recorded in Ingushetia, where the unemployment rate was 28.4%, experts say.

The study notes some positive trend for youth unemployment. In December 2022, out of 2.78 million unemployed (according to the ILO methodology) aged 15 and over, 19.1% were young people under the age of 25, that is, a little more than 530 thousand people. In December 2021, there were almost 670 thousand in this category.

The share of the number of unemployed over the age of 50 in December 2022 in the total structure is 18.8%, or just over 520 thousand people. According to the study, the average age of the unemployed is 36.8 years, and it took 5.9 months to find a job on average last December. At the same time, the majority of the unemployed (29.2%) were looking for work from one to three months, and 16.3% of the unemployed were looking for work for a year or more. Experts note that in rural areas, employment is more difficult than in the city. In a state of stagnant unemployment (looking for work for more than a year) were 22.4% of rural unemployed, and urban only 13.3%.[2]

Falling unemployment to a record 3.7%

The number of unemployed in Russia in 2022 decreased by 445,000 people - by 13.8% compared to the results of 2021. Unemployment rose in 13 regions, including St. Petersburg, Leningrad Region and Altai. In the country as a whole, unemployment turned out to be a record low: 3.7%, Rosstat reported.

Average job search time of six months

Dynamics of the number of unemployed aged 15 years and older in terms of the duration of job search in the first half of 2022

Employment of men is significantly higher than that of women

Only 3 million unemployed at the beginning of the year

By the end of February 2022, before the start of the special operation of the Russian Federation in Ukraine, there were only 3 million unemployed in Russia, which is close to a record minimum.

Dynamics of unemployment in Russia by years for February 2022

2020

Regions with the largest increase in the number of unemployed in a pandemic

In January 2022, the Accounts Chamber (JV) named the regions of Russia with the largest increase in the number of unemployed in the COVID-19 coronavirus pandemic. The maximum increase in the number of unemployed was recorded in 2020 in St. Petersburg (+ 113%) and Moscow (+ 94%).

The number of unemployed in Tuva (+ 63.2), Tomsk (57.3%) and Novgorod (51.8%) regions increased more than 1.5 times. According to the absolute number of unemployed at the end of 2020, Dagestan retained the first place (201.5 thousand people). In second place was Moscow (193 thousand), in third - Krasnodar Territory (160 thousand).

The maximum increase in the number of unemployed was recorded in 2020 in St. Petersburg and Moscow

In terms of the absolute number of unemployed at the end of 2020, Dagestan retained the first place (201.5 thousand people), Moscow moved from fifth to second (193 thousand), and the Krasnodar Territory took third place (160 thousand), Izvestia writes with reference to the joint venture report.

In 23 regions, the growth in the number of unemployed was from 30 to 40%, in 38 - from 10 to 30%, and in 17 - less than 10%. Against the general background, the Altai Territory stands out, where the number of unemployed in 2020 even decreased (-1.4%) and the Smolensk region, in which their number has not changed.

Based on the study, the Accounts Chamber prepared a set of recommendations for the Cabinet of Ministers in the field of employment. So, by the end of the first half of 2022, it is proposed to determine "quantitative indicators (indicators) of the effectiveness of employment support measures established taking into account the impact of the pandemic and its consequences," to develop a plan for promoting employment for the entire period of maintaining coronavirus risks. In addition, experts suggest that the government consider taking into account international experience in terms of supporting employers who apply temporary unemployment models and short-term work schemes.[3]

4.4 million unemployed or 5.9% of the economically active population

As follows from the data of Rosstat, at the end of 2020, the number of unemployed in the Russian Federation amounted to 4.4 million people, which is almost 1 million more than a year ago, in December 2019. The unemployment rate, respectively, rose from 4.6% to 5.9% of the economically active population. The number of officially registered unemployed in December amounted to 2.77 million people, which is four times more than a year ago (691 thousand people).

Unemployment rate - 5.6%

Countries around the world in terms of unemployment in 2020

Average job search time in Russian regions

4.5 million unemployed or 6.1% of the workforce

The number of unemployed in May 2020 increased to 4.5 million Russians or 6.1% of the total labor force, which is the maximum since 2012, follows from the estimate of Rosstat. Since the beginning of the pandemic crisis, over 1 million Russians have become unemployed.

1.4 million registered unemployed: 2x growth per month amid COVID-19 epidemic

In May 2020, against the background of the COVID-19 epidemic, the number of unemployed citizens officially registered on the labor exchange amounted to 1.4 million people - twice as much as at the beginning of April. The real numbers of the number of unemployed can significantly exceed the mark of 1.4 million people, since not every citizen who has lost his job is registered. Thus, Interfax, citing the words of the President of the Confederation of Labor of Russia Boris Kravchenko, reports that when assessing according to the methodology of the International Labor Organization, which takes into account the number of not only registered unemployed, but also all actually unoccupied able-bodied citizens of the country, in the Russian Federation at the moment there may be about 8 million unemployed.

2019: Unemployment 4.5%

In January 2020, Rosstat published data on employment and unemployment for 2019. With the exception of seasonality, the unemployment rate remained near historical lows, 4.5% (see graph on the right).

Such a low level, at first glance, may seem to be an indicator of the absence of problems in the labor market, and, possibly, in the consumer segment.

However, according to Raiffeisen Bank, high employment is accompanied by low salaries, which as a result gives significant savings in the remuneration of companies. So, in real terms, the expenses of all companies (including the shadow sector) on labor remuneration only in 2019 approached the level of 2013 (see the graph on the left), after the failure of 2014. we can say that taking into account these ups and downs, the level of labor costs fluctuated around about one value for 8 years (~ 32.5 trillion rubles/year). If PHY is considered in dollars (excluding inflation), then the fall turned out to be much more significant, and now it is at the level that was first reached back in 2007 (~ $540 billion/year).

One way or another, there is a clear lack of sustainable growth in total labor costs (in real terms), in which it makes no sense to reduce the number of personnel. The latter is, in the opinion of bank analysts, a factor in the improvement in unemployment figures. In addition, an increase in the number of people working part-time and/or on unpaid leave can also maintain its low level.

The likely continuation of the current situation in the future (the absence of an increase in labor costs with low unemployment) actually reduces the informativeness of the latter. The bank's specialists believe that a more adequate indicator of the state of the labor market/consumer segment may be the dynamics of wages/consumer spending.

2018: Regions of Russia by unemployment rate

In Moscow, only 1.2% are unemployed, and in Ingushetia 26.5%.

2017: The number of unemployed in Russia has decreased

According to the Ministry of Labor of Russia, the lowest indicator was noted in Sevastopol (0.2%), St. Petersburg (0.3%) and Moscow (0.4%), as well as in Crimea (0.4%).

According to state RANEPA Alexander Shcherbakov, professor at the Department of Labor and Social Policy of the Institute of Service and Management, a good level of employment is explained by the economic development of these regions, the construction of new facilities. He also noted that unemployment Russia is mainly associated with a lack of qualified workers. According to the Ministry of Labor, the total number of unemployed fell from 83,4010 people in 2016 to 70,8620 people in the current year. The national unemployment rate is 5%, comparable to the figures USA and Western. Europe

Among the districts with the highest unemployment rate, Ingushetia (10.3%), Chechnya (9.2%) and Tuva (3.3%). But these regions are also actively engaged in the employment of the unemployed population. Yaroslav Nilov, Chairman of the State Duma Committee on Labor, Social Policy and Veterans Affairs, notes that not all regions can provide up-to-date information on the number of unoccupied citizens. This is due, among other things, to the unofficial employment of Russian residents.

2014: Unemployment in Russia compared to other countries

Unemployment rate (in% of the economically active population)[4]

 

2011

2012

2013

2014

December
2014

Russia

6,5

5,5

5,5

5,2

5,3

Germany

5,8

5,4

5,2

5,0

4,8

Italy

8,4

10,7

12,2

12,7

12,9

Canada

7,5

7,3

7,1

6,9

6,7

Great Britain

8,1

7,9

7,6

...

5,71)

USA

9,0

8,1

7,4

6,2

5,6

France

9,2

9,8

10,3

10,2

10,3

Japan

4,6

4,4

4,0

3,6

3,4

1) November 2014.

2012: Youth looking for a job 5-6 months

After graduation, most young specialists in Russia experience difficulties with employment. Employers are extremely reluctant to hire yesterday's graduates without professional experience, which simply does not yet exist. And he has nowhere to take it - because they don't take it anywhere. According to research, the Higher School of Economics (HSE), the period of time during which postgraduate youth have their first job, on average, is 5-6 months, in 17.6% of cases - more than 6 months.

Youth unemployment after the crisis in 2008 took an "honorable" place in a number of national problems in Russia. According to some estimates, 30% of young people under the age of 25 do not have an official job. There is no exact statistically accurate data on this topic in our country - young people are much less likely to register on the labor exchange than people of a different age, refusing the right to receive benefits. However, for young people who have not yet reached the demanded level of qualifications, hidden unemployment and lack of knowledge in time poses a more serious danger than officially registered. Forced to work part-time or a week, it is young people who risk first of all being outside the gates of enterprises.

"In order for a young specialist to become competitive in the labor market, the knowledge gained at the university, as a rule, is not enough for him. The future professional needs to "complete" his competencies in applied areas, gaining a variety of valuable experience. Alternative, in particular, temporary and design forms of employment become the optimal way to gain such experience. As studies show, our graduates want and can work simultaneously with various employers and on various projects on the most flexible schedule, while receiving, along with additional income and the necessary labor skills, all the rights provided for by law. But until recently, Russian employers did not have economically feasible mechanisms for temporary employment of young people. Now these forms of labor are gradually entering life, "says Ruslan Gainanov, director of the Moscow office of the TIM FORCE personnel company.

Today, experts pay attention to the global trend - the need for flexible forms of work. In developed countries, for example, a form of employment such as contract work is actively practiced: hiring workers carried out by a specialized firm (private employment agency) on a temporary basis to carry out certain works (projects) for other employers. In all countries where temporary staffing is legalized - temporary employment, there is a significant increase in the employment rate of the population, including youth, the age group, which traditionally has a high percentage of unemployment.

However, Russia cannot boast of high results in the employment of graduates in the absence of legislative regulation of temporary and contract forms of labor. The unions and lawmakers standing "guard of social guarantees" are stubbornly trying to ban labor innovations that do not fit into the Labor Code. But are temporary forms of employment so bad if the state receives additional taxes as a result of their implementation, employers - hidden labor resources, and citizens - new jobs, representatives of personnel agencies are perplexed.

Despite the regularly expressed concern of officials about the deplorable situation with the employment of young people, the case, as a rule, does not go beyond the declaration of intent "to provide graduates with comprehensive assistance in getting a job." "Back in 2009, the Ministry of Education and Science of Russia proposed to the executive authorities of 51 constituent entities of the Russian Federation to finalize their regional programs, including additional measures to organize internships for graduates. However, initially, only vocational education institutions appeared in these plans. In most regions, state programs to promote the employment of university graduates and young specialists have not yet been launched or are unsatisfactorily financed, "said Evgenia Yeliseyeva, chief specialist-expert of the Office of Supervision and Control over the Activities of Executive Authorities of the constituent entities of the Russian Federation of Rosobrnadzor.

There is an insignificant proportion of those graduates in the country who have a happy opportunity, barely having time to remove the university dust from their boots, give themselves to the "sinecure" or go to work in the "far abroad." Just 2.3% of former students decide to go into business by the time they graduate. The bulk of young specialists cannot afford forced idleness - a considerable number of young people are trying by any means to avoid the possibility of losing their earnings. As a study by the Higher School of Economics shows, more than 50% of young people employed in public sector enterprises work part-time, about 25% work part-time without an employment contract. In an effort to stabilize their financial situation, young people are often forced to work according to illegal schemes, refusing fair remuneration for work and social protection.

According to data from the Higher School of Economics, contract labor is a link between temporary and permanent youth employment: 95% of temporary workers in the future want to get a permanent job, 83% - at an enterprise where they work on a contract basis. "There are merchandisers, sales representatives, and executive assistants. There are accounting staff, IT employees. First of all, it is a very flexible form of employment, since 78% of all contractors are attracted for periods of peak production activity. Such a technology gives high efficiency and savings, since it significantly reduces the organization's staff costs, "said Ekaterina Gorokhova, head of the representative office of the Kelly Services human resources agency in Russia
.
"Temporary project work can help young people find a job and gain their first work experience. This is a kind of springboard in life, when you can simultaneously get a range of different works. The young specialist becomes necessary, he feels that many people are already interested in the growing qualification. And of all the unemployed who began working in contract employment agencies, 80% received another temporary or permanent job at the end of their first project, "said Tatyana Chetvernina, director of the Institute for Social Process Management at the Higher School of Economics, Vice-Rector. In her opinion, thanks to temporary employment, a young person can gain the necessary experience in different sectors and specialties, and the most successful employees have great opportunities to move to traditional employment in the state of the enterprise
.

In a difficult employment situation, Generation Y in Russia is seriously helped out by remote work - freelancing. According to the portal Frilance.ru the share of working youth aged 20-25 years is 7%, freelancers - 20%. Many journalists, programmers, designers, translators and other specialists work and earn money without leaving their homes. According to Rosstat, the share of freelancers in the IT sector in Russia, including many young professionals, is 35% of the total labor market. To a large extent, this is facilitated by the availability of broadband Internet.

According to a SuperJob.ru survey conducted among 1800 economically active respondents under the age of 25 from all districts of the Russian Federation, 25% of young Russians would agree not to go to the office and work remotely. However, the real climate in this sector of Russian employment is still far from cloudless. Low prices for "bosses themselves" services caused by competition and inadequate assessment of the qualification level of freelancers, the obvious legal vulnerability of "free shooters," which, according to Freelance.ru, in about 18% of cases leads to deception - "throwing," underpayment to freelancers by unscrupulous employers.

However, for this "uncontrolled" employment sector today, effective solutions are offered: "The implementation of the SmartStaffing human resources service developed by our company takes place through a distributed intelligent Internet-b2b platform, with the help of which employers can quickly attract and redistribute among themselves the available competencies of young professionals on a one-time request or on a schedule for a period of several months to several weeks. Compliance with labor legislation is provided by a direct employer - the Service Operator, which draws up employment contracts with young employees, including freelancers, providing them with the opportunity to work freely and reliably with various employers and on various projects, "says Ruslan Gainanov from TEAM FORCE.

One way or another, labor market research confirms that effective and economically feasible mechanisms for temporary employment of young people will help significantly alleviate the difficulties that graduates of Russian higher educational institutions have to face today: long and often "non-core" employment after graduation, lack of the possibility of gaining professional experience and career planning.

2011: Gallup: Real unemployment among women 22%, among men - 19%

At the end of 2011, real unemployment among women in Russia was about 22 percent, and among men - 19 percent. Gallup cites such data from its own research. The Russian-language version of the rating of countries by the level of real unemployment can be viewed here.

At the same time, according to the data of the Russian employment services, official unemployment in 2011 amounted to 1.4 percent (14 times less than according to Gallup), and according to Rosstat estimates - 6.6 percent (almost three times less).

According to Gallup, Burkina Faso turned out to be the leader in unemployment in 2011, where 95 percent of men and 85 percent of women do not work. The lowest unemployment rate is observed in Singapore - 12 percent among men and 16 among women. In total, in 12 countries of the world, the unemployment rate is lower than in Russia. Among them are states such as Finland, the Netherlands, Denmark, Israel, Belgium, Slovakia and Sweden.

Most European states bypassed Russia in terms of unemployment. So, in France, 30 percent of men are completely unemployed, in Italy - 44 percent, in Ireland - 29 percent. In the United States, unemployment is 39 percent for men and 30 percent for women, in India - 50 and 43 percent, respectively, in China - 67 and 62 percent.

Gallup's research also estimates how much gender in different countries affects employment. In Russia, the indicators of female and male unemployment differ by only three percent. In comparison, unemployment among women is 23 percent higher in Saudi Arabia. In Ireland, by contrast, it is much harder for men to find work: unemployment among women is less than 15 per cent.

The data of the Russian employment services for unemployment are based on the number of citizens registered and officially registered as unemployed. Rosstat estimates unemployment according to the method of the International Labor Organization (ILO) - according to it, an economically active population falls into this category, which does not have a job, but is actively looking for it.

Gallup estimates the real unemployment rate through surveys. The organization polls citizens and finds out if they would like to increase the length of the working day. Gallup brings those who are ready to do this into the unemployed. Thus, unemployment is replenished by citizens who work part-time, but want to switch to full. In turn, those who work several hours a day, but do not want to change the schedule, are considered fully employed.

See also

Notes