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Yaroslavl Shipyard That Builds Defense Ministry Ships Freezes Workers' Pay

yarshipyard.ru

Workers at a Russian vessel producer under international sanctions for its ties to the country’s defense industry have not received pay for nearly two months, employees told local media.

Workers at the Yaroslavl Shipyard (YASZ) said that salary payments stopped in late September, leaving some workshops idle, and staff were placed on forced leave.

“They promised to pay everything they owed us on Oct. 23, but again, nothing,” one worker told the Komsomolskaya Pravda tabloid. “At meetings, they say the Defense Ministry hasn’t transferred the money for the order.”

The shipyard, which employs around 850 people, manufactures both civilian and military vessels, including landing ships, patrol boats, and other types of craft.

While management has repeatedly promised to resume payments, employees said the outlook remains uncertain, prompting some to consider changing jobs.

Complaints about unpaid wages have been ongoing since October. Several employees filed complaints with the local labor inspectorate, but said the responses cited blocked funds due to unpaid taxes.

Management told the local news website 76.ru at the time that the delays were linked to pending Defense Ministry financing.

“The information is constantly changing, but in general, we're told: Wait, everything will be fine soon. According to some rumors, [salaries] should be paid tomorrow, according to others — next Wednesday, according to others — December 1,” a shipyard employee said. “So far, there haven’t been mass layoffs. Most people are taking vacation, sick leave or filing for temporary work suspension.”

YASZ produces vessels weighing to 3,500 tons and measuring up to 72 meters in length and 15 meters in width, including fast landing, patrol and service boats made with aluminum-magnesium hulls as well as border patrol ships, according to Russian shipbuilding portal Korabel.ru.

The U.S. first sanctioned YASZ in March 2019 and tightened export restrictions on it in 2022 following Russia’s full-scale invasion of Ukraine.

The shipyard was later added to EU, Canadian, Swiss, Ukrainian and Japanese blacklists due to its defense industry links.

Elsewhere in Yaroslavl, the Vympel shipyard in Rybinsk, part of the United Shipbuilding Corporation (USC), has been cutting staff amid falling demand and financial difficulties.

USC also announced plans to lay off 70% of employees at the Khabarovsk Shipyard.

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