Paul Goble
Staunton, April 5 – To put the best
face on things, Moscow counts as unemployed only those who register with the
authorities as such and who have no jobs at all, ignoring the increasing number
of workers who have seen their hours and thus their incomes slashed as the
economy has deteriorated, Yaroslav Yakimov says.
The Siberian economist says that
real unemployment, which counts both those laid off and those who have seen
their hours cut back significantly, is far higher than the two percent that
Moscow likes to claim and is now rising rapidly in many of the federal subjects
of Russia (sibmix.com/?doc=20656).
(For background on this growth and
even more figures than Yakimov provides, see windowoneurasia2.blogspot.com/2026/02/russias-hidden-unemployed-now-coming.html,
windowoneurasia2.blogspot.com/2026/01/hidden-unemployment-in-russia.html
and windowoneurasia2.blogspot.com/2025/11/hidden-unemployment-in-russia-up-150.html.)
The Siberian economist notes that the
regions “suffering the most from this ‘hidden unemployment’” are not the
agrarian and often non-Russian ones as was the case earlier (On that, see windowoneurasia2.blogspot.com/2020/10/real-unemployment-may-now-be-40-percent.html.)
but rather the industrialized and predominantly ethnic Russian ones.
Among the sectors where such hidden
unemployment is now most common and growing are manufacturing, construction,
and the hospitality industry. In the last, a third of the employees – 33.9
percent – “have been shifted to art-time work,” and in manufacturing, the
figure is 27 percent – 1.7 million people – and in construction – 22.7 percent
or 271,000.
According to Yakimov, “Enterprises
that boosted production in 2023–2024 thanks to import substitution are now
facing a decline in demand. Laying off staff means losing skilled
personnel—talent that is virtually impossible to replace later on” while “shifting
employees to part-time schedulesoffers a way to preserve this ‘professional
core’ until better times return.”
“Given the simultaneous slump
affecting the vast majority of industries,” the analyst says, “employees have
nowhere else to turn. This is, of course, a troubling trend; strictly speaking,
for an individual worker, the distinction between being laid off and being
placed on part-time status is tenuous at best.”
And this trend has led to “a rapid
surge in demand for side gigs and supplementary work—a trend that has grown by
10–11% nationwide over the past year, and by as much as a third in certain
regions,” including Yaroslavl, Mari El and Astrakhan, to name just the leaders
in this development.
As a result, the economist
continues, “the very concept of a "primary job" is becoming diluted.
We are shifting toward a "portfolio employment" model, wherein an
individual's income is derived from two or three distinct sources. This shift
is partly a forced measure and partly a paradigm change” as young people choose
this option.
But the change for most is not voluntary. Most
reflect “a structural realignment” in the economy with “human resources are
being reallocated in favor of the military-industrial complex—at the expense of
virtually every other sector. Civilian industries simply cannot compete with
the wage levels offered by the defense sector.
The former are thus “losing
skilled workers and are being forced to scale back production. Official
unemployment figures will likely remain ‘low,’” Yakimov says; “but this will be
solely because individuals are formally classified as employed—even if they are
working only half-time or scraping by on sporadic odd jobs.”