According to data released on Wednesday by Russia’s statistics department, Rosstat, unemployment fell to 2.9% in October. This is the lowest level since the early 1990s.
Last month, approximately 2.2 million people aged 15 and over were categorised as unemployed, compared to a third-quarter average of 2.3 million. The number of Russians out of employment has reduced by 23% since last year.
The number of persons working reached 74.1 million, up from 74 million the previous month and 72.1 million in October 2022.
Since May 2022, the country’s unemployment rate has been below 4%.
According to the Bank of Russia, however, businesses continue to suffer from a shortage of workers, which is helping to maintain high rates of wage growth.
“To retain staff, enterprises are developing and expanding programs to motivate and stimulate employees,” the central bank wrote in a note.
According to Rosstat data, the average nominal monthly pay in the country in September was 70,900 rubles ($800), a 7.2% increase year on year. However, compared to prior months, real pay growth has slowed slightly, falling from 9.5% in August to 9.2% in July.
According to the Russian Research Institute of Labour, the current scenario is a “job seeker’s labour market.”
“This provision is favourable for the job applicants, since it gives them greater freedom of choice, and encourages employers to compete for workers through increasing wages and improving working conditions,” the institute wrote in an email to the news media. Experts have observed an upsurge in demand for pre-retirement personnel, young workers, individuals with disabilities, and other groups of candidates.
