Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Russia's Lukoil seeks Uzbek workers to tackle labour shortage

Published 05/04/2024, 11:42
Updated 05/04/2024, 11:51
© Reuters. FILE PHOTO: A general view of Russian oil firm LUKOIL headquarters in central Moscow June 28, 2007. REUTERS/Sergei Karpukhin  (RUSSIA)/File Photo
NG
-

MOSCOW (Reuters) - Russian oil producer Lukoil has signed a deal with Uzbekistan to hire workers from the Central Asian state on temporary contracts, in a sign of how labour shortages are forcing Russian firms to recruit staff from abroad.

The deal, announced by Uzbekistan's ministry of poverty alleviation and employment, comes as Central Asians living in Russia face heightened suspicion and hostility after a mass shooting at a Moscow concert hall last month in which at least 144 people were killed.

Ten suspects who have so far been formally placed in pre-trial custody come from the region, mostly from Tajikistan.

Uzbekistan's ministry of poverty alleviation and employment said it had signed a "road map and an agreement on the organised employment of citizens of Uzbekistan to perform temporary labour activities" for Lukoil in Russia.

Applicants should speak Russian, have relevant qualifications and meet "other medical and labour requirements". It did not say how many Uzbek workers might be sent.

Lukoil, Russia's no.2 oil producer, owns a vast network of retail fuel stations, as well as production assets in Western Siberia and elsewhere. It is also engaged in natural gas production in Uzbekistan.

The company did not immediately respond to a request for comment.

Russia's labour shortages have been aggravated by military recruitment for the war in Ukraine and the fact that hundreds of thousands of people have left the country since it started in February 2022. The jobless rate fell to a record low of 2.8% in February.

The working-age population has particularly been decreasing in Russia's Arctic and far east regions, where much of its oil and gas production is concentrated.

© Reuters. The logo of Lukoil is on display at a petrol station in Saint Petersburg, Russia May 25, 2022. REUTERS/Anton Vaganov/ File photo

Russia's workforce includes several million immigrants from Muslim countries of Central Asia which used to be part of the Soviet Union.

Last week, however, Tajikistan said there had been a surge in the numbers of migrant workers returning home, some saying they were afraid amid signs of a backlash following the concert shooting. Kyrgyzstan, another Central Asian state, urged its citizens last week to put off unnecessary travel to Russia.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.