Russia’s Tight Labor Market Has Firms Turning to Teens, Retirees to Fill Openings

  • Russian unemployment rate fell to 2.3%, lower than in Japan
  • Country faces labor shortage, wage spiral amid war on Ukraine
For every unemployed Russian, there are five open job positions, according to auditing firm FinExpertiza.Photographer: Natalia Kolesnikova/AFP/Getty Images
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Russia’s rock-bottom unemployment rate should be the envy of any country, but it’s instead underscoring how the labor shortage fueled by the Kremlin’s 2022 invasion of Ukraine is making it more difficult for companies to operate.

The share of the labor force out of work in Russia, already at a record low, fellBloomberg Terminal to 2.3% in October, the Federal Statistics Service reported late Wednesday. That surpassed JapanBloomberg Terminal, which traditionally has enjoyed low unemployment, and all other Group of Seven countries.