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GAZ Prepares Forced Vacations and Dismissals

GAZ Prepares Forced Vacations and Dismissals
22.12.2009

Workers of "Gorkovsky Autovaz" after New Year's holidays will be granted a fortnight vacations which will last till January, 24th. Holiday will be given to 30% of employees of GAZ. Besides, as Okhluchin noted, in the end of July-beginning of August, 2010 fortnight vacation will be granted to workers. He also added that from October, 2008 till December, 2009 a number of workers of GAZ was reduced from 48 thousand to 27 thousand people.

The work of Gorkovsky car factory more and more reminds last years of "Moskvich" with its concept of small-scale cars of premium class for state needs. Position of GAZ is not so catastrophic yet but sales volumes in 1,5 thousand cars Volga Siber (basically at the expense of the state order) for January - October do not raise optimism and there is an opinion that manufacture of these cars will be stopped in general. That is money is wasted.

- We somehow pay great attention to situations on Autovaz where it, probably, is the most scandalous but other car giants feel not better, - editor-in-chief of FORUM.msk Anatoly Baranov marks. - Working and trade-union movements at GAZ factory, as well as at other enterprises of oligarch Deripaska are in the greatest degree suppressed, it's "corporate style". The fact that there is no alternative trade union leads to that job cut of the personnel in almost 2 times for a year dropped out of a field of vision of mass-media. Now official trade union member of GAZ from Federation of Independent Trade-Unions of Russia talks about "paid leave", though he is talking now, of course, goes not about average piecework pay but about the tariff, that is in reallity in 2 and more times less. Well, it's easier somehow to get work in Nizhny Novgorod, than in Tolyatti which represents practically monocity.

Autoconcerns of Russia publish accounting data for the third quarter. Almost all of them continue to show multi-billion losses. "AutoVaz" remain the leader here: its dead loss made 19,7 billion rbl. Thus, Volga car factory increased its "minus" by 5,6 billion roubles for three month - following the results of the first half of the year "AutoVaz" showed the loss in 14,1 billion.

Dead loss of "IzhAuto", Ltd for 9 months of 2009 made 2,134 billion rbl. 

Dear loss of "KamAz" made 4,3 billion roubles.

Factory UAZ entering "Sollers", following the results of three quarters, shows the loss in 229 million.

"GAZ group", including GAZ car factory, didn't publish report on financial indicators of the factory. As to the general calculation of profits and group losses, according to the representative of press-service, it will be announced following the results of the year. According to the company report for the first half of the year, its loss from sales made 1,2 billion rbl. 

As of May, 2009 315,1 thousand people work at the enterprises of the Russian car industry. Year before, in May, 2008 the number of personnel at the same enterprises was by 22% more - 384,6 thousand people. There's no data about the second half of the year but it's expected to be even more impressing.

The fact that mass job cuts begin in Russia is already not subjected to doubt. Several large credit organizations declared about job cuts of their employees. It is not only question about brokers, financiers and bank employees. Now even those who are not connected with finance risk to lose job. Personnel reduction already takes place in a number of branches of industry, building, trade, financial sector and sphere of services. Job cuts were declared by the largest car manufacturers - KamAz and GAZ.

According to experts, in a number of companies reduction reached 30-40 and even more percent of personnel. Employees of the departments which do not bring direct profit - bookkeepers, IT experts, experts in marketing, HR-managers, advertisers - are being reduced. First of all, it concerns the lower link - here and there it's cut down by 80%. An average segment - by 20%. Top-managers suffered least: they were reduced by 5-10% - first of all, assistants.

According to Rostrud, in October 1073 Russian enterprises officially declared staff reduction plans which can dismiss 46 thousand people. Frequently dismissals are being masked under compelled indefinite leave without maintenance. Even more often employers refuse member of the staff employing people under time contracts or simply giving additional work to the remained.

- There is very big system question, - Anatoly Baranov considers. - Once when we trusted in "invisible hand of the market" the volume of industrial production in the country was sharply reduced, believing that the most part of manpower can be somehow placed in the non-productive sphere. It was placed - end-to-end. So, when Cherkizovsky market in Moscow is, let us assume, liquidated, a question appears how some tens thousand liberated people could be occupied - at that such situation happens in 10-million city! Well, now, after created rather intense situation on labour market, in connection with sharp reduction of real sector, world crisis comes and there is a necessity to reduce manufacture in approximately two times, even if temporary, for two-three years... Where should people go? The state doesn't have the answer, it suggests to create technopolis in Tolyatti, probably, on the basis of conveyor on AutoVaz become idles. It offers exotic decisions because there are no other. All cannot become GAI officers because there are no so many infringers. All cannot become gangsters because there will be nobody to plunder. All cannot become prostitutes because, I beg your pardon, not all can evoke desire. We have parasitic society in which "overwhelming minority" of the population is occupied in productive work and others are being distributed in this or that form. Now industrial sphere should be again cut down. While there is no place for it. There's certainly way out but it is behind frameworks of this state and demands sweeping changes in the society.

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