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FNPR Newsletter. May 29, 2023

29.05.2023

235

29 May, 2023

Dear colleagues,

Over a year ago, Russia launched a special military operation in Ukraine. This event remains the most important one in the life of Russian society, all State and public institutions.

The economic situation in May 2023 remains generally stable. Last year's drop in GDP, according to the updated IMF estimates, was 2.1%. However, we expect the normalisation of economic life and the transition to growth in both production and service sectors as early as this year when the GDP is projected to grow by 1.2%.

As of the beginning of May, the unemployment rate stood at 3.5% while annual inflation slowed to 2.3%. A slight increase in real wages of workers in most sectors of the economy (+0.6%) and income growth of citizens (+0.1%) was recorded. The number of labour disputes and protests has fallen to historic lows over the past ten years.

It is not hard to see that Russia’s socio-economic and political systems have withstood unprecedented pressure from the collective West. The war of sanctions that is being waged against our country is running out of steam and is affecting primarily those who impose them.

In this newsletter, we'd like to inform you about the process of integration of new territories into the Russian Federation. As is known, on September 23-27 of last year referendums on voluntary accession to Russia were held in four former eastern regions of Ukraine. An overwhelming majority of the eligible population took part in it, between 87% and 99% of them having cast their votes for unification with Russia.

On September 30, relevant agreements were signed, and on October 4 and 5 federal constitutional laws on the new subjects of the Russian Federation were ratified and entered into force. These historical events have led to the fact that four new subjects of the Russian Federation with a total population of 6 million 229 thousand people living in 112 cities, 57 municipal districts and several thousand settlements in rural areas, have received protection as part of our state.

Integration processes have begun from the restoration of peaceful life in legal, economic and financial spheres, as well as the establishment of public administration system. First of all, the issues of acquisition of Russian citizenship by those wishing to obtain Russian passports were resolved. At the federal level, a process to bring local legislation in line with the new reality has been initiated. 26 new legislative acts have been adopted, 13 more are under consideration.

Measures were taken to regulate monetary circulation, and on January 1, 2023, the transition to settlements in Russian currency was completed.

The Russian government has adopted a regional recovery programme which provides funding from the federal budget in the amount of 374.2 billion roubles (more than $4.5 billion) until 2025. Last year, several hundred kilometres of roads and highways, 16 bridges, 4.6 thousand different objects, including 1,500 residential buildings, 780 social infrastructure facilities were restored. Construction and restoration works continue the main efforts being focused on heating, power, gas and water supply systems.

The most important sphere of activity is the establishment of lawful authorities, law enforcement and judicial systems. Intensive work has been taking place on the formation of social security, social and pension insurance systems, the formation of educational and health care institutions.

Trade unions of the new federal subjects are also being integrated into the national trade union movement. The trade union centres of the Donetsk and Lugansk People's Republics have voluntarily joined the FNPR by the decisions of their highest bodies; the process of harmonisation of the trade union regulatory framework is underway.

The transition period, during which the integration of the new constituent entities of the Russian Federation will take place, should be completed by the beginning of 2026.

Despite tense external situation, which undoubtedly affects the people's mood, their support for President Putin remains high. Thus, according to the poll of the «Public Opinion Foundation» (FOM), a non-governmental sociological service conducted on April 30, 80% of respondents believe that the President is doing his job well and 77% trust him. According to another major non-governmental sociological institute, the All-Russian Centre for the Study of Public Opinion (VTsIOM), trust in Vladimir Putin remains at 80.9%, while 79.7% of respondents approve the actions of the Russian armed forces.

As for the trade union life, the FNPR continues to actively work on the bills submitted to the lower house of the Russian parliament. The country's trade unions took part in the May Day events across the country under the slogan of strengthening and developing social partnership. 49 thousand union actions were held on that day, including the meetings of tripartite commissions to discuss pressing issues of economic development and labour relations among social partners

In June, the FNPR will take part in a trade union meeting under India's G20 presidency. We assume that the L20 events are the exclusive prerogative of the host country's trade unions, when the matters of representation and organisation fully rest with national Governments. The opinions of international organisations in the preparation of substantive part of events and final documents in order to make them comprehensive should be taken into account to the extent acceptable to the host country.

We adhere to the principles of the primacy of national sovereignty and non-interference in the internal affairs of other countries. We reject the practice of pinning labels on trade unions whether they are dependent or independent on the sole grounds of their cooperation with any parties.

It is counterproductive for international organisations to impose their participation, the more so to appropriate the role of event planners, authors and editors of international documents adopted on the basis of consensus. We deem it extremely important to maintain the consistency and continuity of the L20 process and believe that any pressure on the national trade union organisations of India, who organised the L20, is unacceptable, whoever it comes from.