Russia’s War Economy Starves Crucial Oil Industry of Manpower
- Army, weapons-makers compete for labor with energy companies
- War has made long-term demographic issues even more acute
Russian officers march during the main military parade rehearsals in Moscow on May 5.
Photographer: Getty Images
Russia’s oil and gas industry has been crucial for bankrolling the invasion of Ukraine, giving the Kremlin the funds to keep fighting even as the conflict drags on through its third year. But the industry is facing a shortage of manpower as the full mobilization of Russia’s economy for war exacerbates a longstanding demographic crunch.
In a nation where Gazprom PJSC’s “Dreams Come True” slogan has long summed up the career aspirations of many citizens, high-paying energy companies now find themselves having to compete for workers against the Russian army and weapons manufacturers, according to analysts and recruiters working with the industry. The sign-up bonus alone for a soldier fighting in Ukraine may be equivalent to nearly a year’s salary for an average oil and gas field worker.