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FNPR Newsletter. October 12, 2023

12.10.2023

192

12 October, 2023

Dear colleagues,

After a break, we are sending you another letter with information on the socio-economic situation in Russia, the state of the military conflict in Ukraine, international events, as well as the position of Russian trade unions on the above and other issues.

The latest data from official statistics, domestic and international independent expert institutions show that by September 2023, the economy of the Russian Federation in terms of the GDP returned to the level of late 2021. Despite an all-time high external pressure and unprecedented economic sanctions, their number already exceeding 14,000, it keeps developing successfully.

All sectors of the national economy are growing, with the domestic market being filled with necessary products, and the foreign trade reconfigured.

The GDP growth is expected to be approximately 2.5% by the end of 2023, which is twice as high as the forecasts at the beginning of the year. Some industries recorded significant growth in production. For instance, the production of vehicles increased by 66.7%, of computers, electronics and optical products by 42.6%, of furniture by 34.2%, and of electrical equipment by 29.5%. The manufacturing of certain types of defenсe industry products increased by 2 to 10 times.

The budget deficit, which grew in the first half of the year, began to decline in July and August. Incomes are gradually normalizing, including in the oil and gas sector. Agricultural products took second place in terms of budget revenues. Investment activity in fixed assets is growing: by the end of the year, investment growth will exceed 12%.

As we reported earlier, the withdrawal of foreign companies from the Russian market did not cause significant damage to either the product markets where they were present, or the labour market, or the economy as a whole. They are being replaced by Russian producers of goods and services, as well as foreign partners from friendly countries. The process of import substitution is continuing in sensitive industries, most notably in the field of critical information infrastructure and industrial software.

Social indicators in early autumn have not inspired concern. Record-low unemployment fell to 3% in August, and this when the industry as a whole faces an acute shortage of skilled workers and engineers. The number of self-employed has reached 8 million, while continuing to increase by 3% every month. Despite a slight increase in inflation in August (5.03% in annual terms), the growth of average monthly wages this year remains at 10.5%. Arrears in wages and social benefits are of a singular nature; there are no major social and labor conflicts in the economy.

The stable state of economic life is also reflected in public opinion. Thus, according to the results of a September survey by the Public Opinion Foundation, the work of President Putin is assessed positively by 76% of respondents, and the same number of people trust him. The work of the government is assessed positively by 52% of respondents.

The All-Russian Public Opinion Research Centre, an independent sociological service, conducted its own survey at the end of August, while recording the level of trust in Vladimir Putin at 77%. The above data from independent sources indicate a high level of support for the current leadership of the country.

Speaking about the situation in the conflict zone between Russia and Ukraine, the situation in the combat area has remained virtually unchanged over the past six months. Despite the widely publicized offensive by the Kiev regime, the Ukrainian armed forces failed to achieve any significant success. During the battles, while using significant number of foreign equipment and weapons over the past 6 months, the Ukrainian army suffered heavy, irreparable losses, which, according to Western sources, amounted to more than 70 thousand people.

The main military-economic sponsors of the Ukrainian regime - the USA, UK and the EU countries - have collectively invested about US$120 billion in the confrontation with Russia over the course of 18 months, effectively turning Ukraine bankrupt. External financing of the Ukrainian budget in 2023 will amount to 58% of total government spending; and this is only part of the assistance, excluding humanitarian aid and Lend-Lease supplies.

Being destroyed on the battlefield is not only Western military equipment. Not only Ukrainian military personnel, but also military advisers, instructors and mercenaries from many countries of the world die every day in the hundreds. There is long no doubt that the main goal of this proxy war is not the defence of the “territorial integrity” of the Ukrainian regime, which came to power as a result of the 2014 coup, but the weakening of the Russian Federation, the depletion of its military and economic potential, which has been repeatedly and openly stated by the highest officials of the "collective West".

A striking example of indifference to the fate of the citizens of Ukraine and its future is the supply to the Kiev regime of depleted uranium shells, previously used by the united coalition forces in Iraq and Serbia. The consequences of their use for the civilian population turned out to be terrible not only in terms of an increase in the number of oncological diseases: due to radioactive contamination, vast territories were removed from agricultural turnover for decades and are simply dangerous for human habitation.

Supplies from the United States and NATO countries of dangerous cluster munitions, prohibited by the 2008 International Convention, are continuing. Seeing the failure of the “counter-offensive”, the Kiev regime is applying new tactics, while sending subversive reconnaissance units into the territory of the Russian Federation and committing terrorist acts, primarily targeting civilians, independent journalists and social movement activists.

The attacks of the Ukrainian regime on border settlements, city blocks and infrastructure facilities are intended to sow panic among the local population, to produce a media effect for reporting to Western sponsors; however, all these actions on Russian territory are not capable of affecting the goals and objectives of the Special military operation - to demilitarize and denazify Ukraine - which will undoubtedly be achieved.

Events in Ukraine cannot leave Russian trade unions indifferent. Many industrial and territorial trade union associations regularly provide humanitarian, material and technical assistance to military units, family members of military personnel, the wounded, residents of border areas and new regions that have become part of Russia in 2022.

By touching on the topic of the special military operation, citing facts and arguments, we intent to show that the global processes of transition to a multipolar world, which is emerging before our eyes, are not abstract invisible processes, and are not only the results of peace agreements, but a difficult everyday struggle, involving, if necessary, the use of force.

Without justifying its use, we are at the same time obliged to realise that the protection of the civilian population, the opposition to aggressive plans and intentions that threaten the national security of the state may be associated with the warfare.

Moving on to international topics, it should be noted that in the summer months, Russia hosted a number of international conferences, as well as took part in a number of major events abroad, giving rise to illustrate our understanding of the modern vector in international affairs, including trade unions, now referred to as the transition towards a multipolar world order.

In June, the St. Petersburg International Economic Forum was held for the 26th time. Its 33 venues hosted 17,000 participants from 150 official delegations representing 130 countries. The main theme of the Forum was “Sovereign Development as the Basis of a Just World. Joining Forces for Future Generations”; the vector of discussions was aimed at a unifying agenda. More detailed information can be found at: https://forumspb.com/en/about/?lang=en .

The Second Summit and the Economic and Humanitarian Forum Russia-Africa took place in St. Petersburg with the unifying theme “For Peace, Security and Development.” Delegations from 45 African countries took part in the Forum, 17 of which were headed by the Heads of State. Details can be found at the Forum website https://summ i tafrica.ru/en/.

Visiting Russia during the Forum was a representative delegation from the Organisation of African Trade Union Unity, headed by its Secretary General. Members of the delegation took part in the Forum, attended the address by President Putin of Russia, visited the Humanitarian University of Trade Unions and the headquarters of the regional association of trade unions. There was a detailed exchange of views on the current situation and a discussion of areas for further cooperation.

In August, BRICS Summit took place in South Africa, and in early September - the G20 summit in New Delhi.

In September, major international Eastern Economic Forum was held in Vladivostok, on the Pacific coast. Representative delegations from China, India, Myanmar, the Philippines, Laos and Mongolia, as well as other countries of the region took part in its activities. During the Forum, more than 100 sessions were held with the participation of more than 700 speakers.

These and other major international events show that there is no need to talk about any international isolation of the Russian Federation. At all platforms, our country continues to pursue the development of multilateral relations with foreign countries, contributes to the transition to a multipolar world order, while actively extending ties with countries in Africa, the Middle East, Southeast Asia, the Pacific region and South America.

Overcoming the clichés imposed in the past by Western countries, in recent years, Russia has been strengthening relations with Iran and North Korea, respecting the sovereignty and right of each state to its own identity, focusing primarily on economic cooperation.

A continuation of such policy in trade union activities was the participation of the FNPR delegation in the work of L20 in India. We firmly take a line towards participation in all trade union activities which are of benefit to all working members of trade unions.

In our opinion, disagreements that arose between Indian trade unions regarding the organisation and holding of L20, are an internal matter of the Indian trade union movement, and should not get in the way of the trade union cooperation at the international level. The principle of non-interference in internal affairs must prevail in all cases where a conflict of internal interests interferes with the effective work of international trade union organisations. The ITUC's refusal to participate in the L20 in India showed that not everyone was capable of developing approaches to overcoming crisis situations.

The alternative L20 held in September by the ITUC, once again showed that uncoordinated actions by trade unions at the international level weaken our influence on the world processes, and do not allow us to promote common positions that meet the interests of vast masses of workers.

Perhaps, the criticism of the G20 format expressed during that L20 meeting is appropriate; however, it cannot replace the need to use the tools of trade union influence on the decisions taken in this format. By limiting themselves to discussing current issues online, international trade union structures more like demonstrate weakness and uncertainty rather than strength and solidarity.

On the contrary, the most positive assessment deserves the successful joint holding by four national trade union centres of South Africa of the XII BRICS Trade Union Forum in Durban, which was held at a high organisational and substantive level with broad representation of trade unions of the BRICS countries.