- Russian President noted that so far "the growth rate of wages still lags somewhat behind the surge in prices"
According to TASS, Russia's state-owned news agency article published on November 8, 2022, Russian President Vladimir Putin pointed to a stable labor market situation, low unemployment and forecasted a slowdown in inflation, when speaking at a conference on supporting incomes of families with children on Tuesday.
"The current situation on the labor market is stable, and unemployment is at a minimal level of 3.9%," the head of state noted.
Putin stressed the importance of rising real wages amid declining inflation.
"As for salaries, in nominal terms, over the past eight months of this year, the country’s average monthly salary as a whole increased by 12.7%, but you and I understand that this means little to an ordinary citizen," Putin stated.
"It should be kept in mind that real wages adjusted for inflation are more important, but here the situation is objectively more complicated," the Russian leader stressed.
He noted that so far "the growth rate of wages still lags somewhat behind the surge in prices."
"We expect that as inflation declines - and this trend has been recorded over the past few months - the situation will change and should change for the better. It is important that the incomes of citizens, especially of families with children, grow at a rate higher than inflation," President Putin said.
The head of state spotlighted the fact that inflation in Russia is steadily declining.
"I would like to stress that we do have this trend towards inflation reduction, according to the opinion of all experts and the government. And experts believe it should approach about 5% or probably be slightly lower sometime in the first quarter of the next year," Putin emphasized.
He reiterated that people's wages should grow faster than prices.
President Putin recalled that since January 1, 2023, the cost of living in the country as a whole has been adjusted for inflation by 8.6%, and since June 1, the authorities have increased it by another 10% at a faster pace. Accordingly, all social payments, which are somehow tied to the minimum subsistence level, were adjusted, Putin explained.
The Russian leader also touched upon the need to create conditions for higher incomes of families with children.
"Of course, we need to create conditions for families so that they are able to raise their incomes. What do I mean? First of all,through the mastering a new profession by parents or their advanced training so that they can get a well-paid job in the future," the head of state said.
The head of state asked the involved agencies to report on what measures are already being taken, noting that "it is difficult for people to do this on their own," they need support from the state. Putin suggested discussing how support measures for families with children work in general, and what additional steps and solutions are needed.
The meeting was attended by Deputy Prime Minister Tatyana Golikova, Presidential Aide Maxim Oreshkin, Labor and Social Protection Minister Anton Kotyakov, Economic Development Minister Maxim Reshetnikov and Finance Minister Anton Siluanov.
