The global financial crisis has affected the Russian labor market - employers are concerned about their costs more than ever. Obviously, cutting employees’ salaries and eliminating employment positions is the first thing that comes to mind. Basically, employees of financial companies, construction companies, metallurgists, car manufacturers, airline employees, realtors, real estate companies, state employees and service personnel have already entered the list of those suffering from the crisis. According to the Federal Labor & Employment Service (Rostrud), another wave of dismissals is coming. As expected, a major portion of dismissals shall fall in December 2008 and January 2009. By now, about 4,000 Russian companies have declared their intention to reduce personnel. As already mentioned, the main reason behind this is the necessity to cut company costs, including manpower costs.
