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. Last Updated: 07/27/2016

Job Placement Failures In Urals Signal Trouble

A recent report from the employment service of the Penza region in the Urals could send an ominous signal for future efforts to re-employ Russia's jobless.


The employment service, according to Post-Factum, was able to find jobs for just one in four applicants.


During its 1. 5 years of existence, 35, 000 people applied to the agency's district and city services. The agency found work for 8, 300.


The situation was worse in the city than in the district. Only one in six city dwellers found another job.


The unemployment problem in the region has been growing.


In 1991, Post-Factum said, 411 enterprises submitted lists of 4, 200 people being discharged. But during the first 10 months of 1992, the number of enterprises saying they would lay off workers trebled to 1, 200, and the number of those who would lose their jobs quadrupled to 17, 000.


Post-Factum ended its news report with the statement, "The region's administration intends to take the employment situation under control".


The World Bank has provided Russia with a $70 million loan to help establish employment services.


Several other foreign countries are providing assistance for such agencies and job retraining programs.


Late last year, the International Labor Organization predicted Russia would suffer "drastic" unemployment this year as some factories began laying off workers to cut labor costs, and other enterprises simply closed their doors.


As of the end of October 1992, 982, 200 people registered at state unemployment offices, of which 442, 400 were categorized as jobless. Just over half, 266, 800 people, received unemployment benefits.


About 11 percent of the workforce was idled to part-time status by their enterprises.