If they lose their jobs, what will they live on? » she said

Russia’s Motor City Braces For Widespread Layoffs

canada goose uk black friday Russia will experience the first massive layoffs in its own auto industry meltdown when popular carmaker AvtoVAZ lays off 25,000 employees more than canada goose outlet new york city a quarter of its staff in mid December. canada goose uk black friday

canadian goose jacket AvtoVAZ management has canada goose outlet store near me yet to announce which workers will be let go, saying only that the first cut will be those who are at or near pension age: 55 for women, 60 for men. canadian goose jacket

canada goose clearance The announcement came despite efforts to protect the company from bankruptcy. This summer, Russia’s canada goose outlet edmonton government, which indirectly owns 25 percent of AvtoVAZ, provided $1 billion in canada goose outlet new york emergency support to avoid what Prime Minister Vladimir Putin described as « the General Motors scenario. » canada goose clearance

A Failing Business Model

Canada Goose Parka The Russian city canada goose outlet london of Togliatti is home to the AvtoVAZ plant that produces the Lada, one of the most popular cars in Russia. The city canada goose discount uk was built canada goose outlet online reviews in the late 1960s around the company. Today, 1 of every canada goose outlet toronto 7 residents in Togliatti works for AvtoVAZ. Canada Goose Parka

canada goose clearance sale Metalworker Vladimir Potamashnev, 38, now only earns the equivalent of $250 a month, canada goose factory outlet vancouver which he says is not enough to feed and clothe his family. canada goose clearance sale

canada goose coats He blames Putin for focusing on oil and canada goose outlet location gas at the expense of Russian industry. canada goose coats

« I once believed in Putin and [President Dmitry] Medvedev, but no longer, » Potamashnev says. « We sit on oil and gas, and they think that’s just fine. »

canada goose black friday sale The overall global economic crisis laid bare long standing problems at the plant, which produces outdated models that cannot compete canada goose outlet store uk with foreign imports. canada goose black friday sale

Canada Goose Jackets Togliatti salesman Alexander Koblov says the plant needs to improve quality. Canada Goose Jackets

Canada Goose Coats On Sale « All too canada goose outlet legit often the doors don’t close correctly arconserve , » Koblov says. « And the plastic is poor. And, of course, we need new designs. » Canada Goose Coats On Sale

uk canada goose Sergei Tselikov, a leading industry analyst, says Putin approved new management of AvtoVAZ four years ago, but he says the company has failed to come up with a long term strategy to save the plant and the city. uk canada goose

cheap canada goose uk « Management is not from canada goose outlet website legit the automobile industry, and there continues to be a huge turnover at the top, » Tselikov says. « They are lurching month to month with no real plans for the future. » cheap canada goose uk

On Friday, Putin demanded that Renault and Nissan, the company’s two largest foreign shareholders, help modernize the plant. He has threatened to review their status if they do not comply.

A Citywide Ripple Effect

buy canada goose jacket cheap Piotr Zolotariov, head of Togliatti’s canada goose outlet in montreal local independent trade union, says that he expects the situation will get worse. buy canada goose jacket cheap

« The local government doesn’t have taxes to repair roads or fix lights, » Zolotariov says.

« There canada goose outlet england are problems with the water supply. The infrastructure is wearing out. We see much more crime more drugs than canada goose parka outlet ever before. The best and the brightest who could save the city are fleeing. »

canada goose uk outlet Tselikov estimates that for every job lost at the plant, another will be lost in related businesses, bringing the total new unemployed to as many as 70,000. canada goose uk outlet

Officials hope public service jobs can cover some of those numbers but most people do not see how the city can cope with this unprecedented crisis.

« Everyone is already feeling the effect of the pay cuts, and now everyone is wondering if they will even have a job, » says Victoria Melnikov linked here , who works at a clothing store. My parents work at AvtoVAZ. If they lose their jobs, what will they live on? » she said.

« No one knows what is going on. »

Anatoly Ivanov, a Togliatti city council member, says the situation canada goose outlet official is potentially explosive.

canada goose store « Will there be strikes? Will there be violence? Will workers close the canada goose outlet kokemuksia main highways like they did in Pikalyovo last summer? » Ivanov asks. « It’s very possible it could reach that point, and the security services are poised to stop this. » canada goose store

canada goose Nikolai Chubenko moved to Togliatti to build the plant in 1968. Today, at 60, he canada goose parka outlet uk has no idea canada goose outlet uk how he and his family will survive if he is among those cut canada goose.

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