Russian Companies Limit Hiring Amid Stability

The number of workers recommended for layoffs in Russia has reached 105,000 people. Staff reductions are impacting 13% of organizations in Russia, according to SuperJob data reported by Vedomosti. The layoffs are affecting state and local government officials, as well as the social sector including hospital and education workers. Reductions in budget organizations are driven by treasury deficits. Commercial sectors are facing staff optimization due to slowing economic growth, declining consumer demand, and high central bank interest rates increasing costs. High central bank interest rates are increasing costs and negatively impacting the labor market. Experts express concerns that the percentage of layoffs will continue to rise throughout the current year. Experts anticipate an increase in layoffs across Russia throughout 2026. Surveys indicate one in four companies already reduced staff during the previous year. Conversely, administrative and HR roles in both the private and public sectors face a decline in vacancies. Russian employers are increasingly opting for reduced work schedules rather than active layoffs. While production remains stable, companies are avoiding expanding staff and are instead managing with existing resources.