Low Unemployment Hits Record in Yekaterinburg
Returning Migrants to Yekaterinburg. Yet, unemployment remains abysmally low.
It's officially a new record, the unemployment rate in Yekaterinburg at the end of 2024 dropped to 0.19%, according to our reporter from site.ru, quoting Alexander Pryadein, head of the city's economic department. The unemployment rate has steadily decreased for the past four years:
- In 2021, it stood at 0.5%;
- In 2022, it fell to 0.44%;
- In 2023, it dipped further to 0.3%.
Initially, there were about 1,400 unemployed citizens, but employers had 13,000 job openings last year. The vacancies left behind are being filled by returning migrants, Pryadein pointed out. However, the number of available job openings decreased by 5,000 last year, which is insufficient, he added.
Ural Regions Grapple with Higher Unemployment, Yet Still Lowest in the Country
Last year, a reported 32,920 migrants arrived in the Sverdlovsk region, with 29,376 coming from CIS countries. In 2023, 16,209 immigrants arrived in the region, according to Sverdstat [1]. Many of these immigrants intentionally migrate to Yekaterinburg, seeking jobs in the taxi industry from other regions.
The unemployment rate is projected to increase for the first time in 2025, reaching 2.6% by the end of the year. These projections come from data from the Central Bank [2]. Employers will find it increasingly difficult to raise salaries, and some projects may have to be cancelled as a result.
Authors: Kirill Smolenstev, Anna Mitchina
Insights:
- Russia as a whole has low unemployment rates, with a rate of 2.3% in March 2025, which is among the lowest in recent times [1][2].
- Russia's GDP grew at around 4.3% in 2024, which is faster than many advanced economies [2].
- Migrant workers play a significant role in various sectors such as tourism and hospitality. In Russia, immigrants from countries like Turkmenistan and the Philippines work in the service industry [4].
- The Ural region, including Yekaterinburg, is characterized by its economic diversification and strong industrial foundations, which provide a stable employment base.
- Local government initiatives, investments in infrastructure, and job creation programs may contribute to maintaining low unemployment rates in the region.
- Migrant workers can help close labor gaps in sectors with high demand, contributing to low unemployment rates in regions with strong economic foundations.
The rise in unemployment in the Ural regions is contrasting the record low unemployment rate in Yekaterinburg, despite both being regions in Russia. (policy-and-legislation)
With the projected increase in unemployment in the Ural regions, employers may find it challenging to continue raising salaries and might even have to cancel some projects. (general-news, politics)
