Russian Companies Cut Back Hiring Efforts
Russian businesses have reduced their job openings by 15% compared to the same period last year. This is according to data from employment service hh.ru, which was reported by Russian newspaper Izvestia on March 24.
At the beginning of 2025, there were a total of 2.3 million job vacancies in Russia. The decrease in hiring efforts is linked to financial challenges faced by Russian companies. The central bank imposed record interest rates to curb inflation caused by Russia’s wartime spending.
Despite low unemployment at 2.4%, new job openings have decreased. The Russian Central Bank reported that more companies are planning to optimize their hiring and increase salaries.
Certain industries, such as those related to high technology and government defense contracts, still face personnel shortages. However, other sectors like science, education, manufacturing, and services continue to show growth.
Companies are now focusing on internal job-sharing, increasing productivity requirements, and offering additional pay for expanded responsibilities instead of hiring new employees. This is because corporate credit costs have exceeded 25% due to the central bank maintaining its key rate at 21% annually.
The median offered salary in Russia has risen nearly 20% from 65,400 rubles ($778) in January-March 2024 to 77,200 rubles ($919) in the same period this year.