Russia’s top automaker AvtoVAZ has asked a regional prison service to help it plug a labor shortage with people sentenced to forced labor as it tries to meet increased production targets.
Russia’s unemployment rate dropped to a record low 3.3 percent in April, highlighting the labor shortage that is stifling economic growth.
A partial mobilization of troops in September saw hundreds of thousands of mostly young, working-age men called up to the army while others fled the country to avoid being drafted.
The Samara region’s branch of Russia’s federal prison service, FSIN, said it had met with AvtoVAZ, which wanted to increase the pace and volume of production by 28 percent from September, and by 40 percent from January.
AvtoVAZ declined to comment.
The Samara FSIN did not specify the level upon which AvtoVAZ’s production growth targets were based.
Factories across Russia collectively produced just 450,000 cars last year, the industry’s worst showing since the collapse of the Soviet Union.
“In this regard, and also taking into account the extremely tense situation on the labor market of Togliatti and the Samara region, the plant’s representative asked the (prison service’s) management for support and assistance in selecting staff for the enterprise from those sentenced to forced labor,” the prison service said.
AvtoVAZ has already faced component shortages this year.