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Russian Free Press

BBC: Mobilization in Russia hit business

October 19, 2022
in Daily News
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Mobilization in Russia has hit businesses, companies are losing employees, work processes are slowed down, sometimes closed, the BBC Russian Service writes , citing representatives of small and medium-sized businesses.

“There is a panic among the employees: many of them are under 35 years old, and, of course, someone received a summons, someone is afraid to receive it, someone left, quit and now asks to be hired under a contract without registration in the state. Because of the panic in the teams, there is discord - people's heads are a little not directed towards work, ”Dmitry Levitsky, founder of the Hurma group of companies, told the publication.

Eduard Utkin, CEO of the Russian Jewelers Guild Association, told the BBC that the jewelry industry is experiencing a loss of employees and a sharp decline in sales. According to him, the mobilization has especially affected small manufacturing enterprises, where only one person works in each area with a narrow specialization - casting, polishing, vulcanization.

“If even one person is taken away, the entire production cycle stops. It's like removing one gear from a clock: there seems to be a lot left, but the whole mechanism is no longer working. Replacing such a person is a problem, and production stops completely, ”says Utkin.

Sending men to war or leaving Russia affects demand for goods and services. Restaurateur Dmitry Levitsky estimated a drop in revenue in the banquet sector by 20%. Reservations for halls for celebrations that were planned before the announcement of mobilization are often cancelled.

The TopGun barbershop chain has lost 10% of its employees and almost half of its customers, says business founder Alexei Lokontsev. He estimates the loss of revenue for the month at about 20%.

According to the National Fitness Society, the mobilization affected 5 to 10% of the industry's employees.

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