AvtoVAZ to cut workers’ wages by 20%

29 January 2016 (09:27)

UrBC, Moscow, January 29, 2016. The Russian car manufacturer AvtoVAZ is going to cut its workers’ wages by 20%, Kommersant reports.

‘The pay will go down by 20% starting from February 15. Also, some 5,000 employees have already been switched to social work,’ President Bo Andersson said.

It is explained the decision was taken since AvtoVAZ switches to a four-day week on February 15.

The company’s BOD decided in November 2015 that production optimization and job cuts through natural decline were necessary. AvtoVAZ also warned that a shortened week or switching some workers to social work were possible. Still, the factory management still intends to control nearly a quarter of the market and make operational profit.

Other materials on the topic::