Russian factory that builds warships has stopped paying workers’ salaries

A plant in Yaroslavl that produces warships for the Russian Defense Ministry has stopped paying its workers.
The management of the Yaroslavl Shipbuilding Plant , which is under international sanctions for its cooperation with the Russian defense industry, has not paid its workers for almost two months, The Moscow Times reports.
The workers themselves said this. “They promised to pay everything they have on October 23, but again nothing. At the meeting, they say that the Defense Ministry is not transferring money for orders,” one of them said. According to open data, the enterprise with a staff of 850 people produces ships for both civilian and military purposes, including landing ships, patrol ships and other ships.
According to the workers, salaries were stopped at the end of September, and because of this, “many shops are out of work,” and workers were sent to idle due to the employer’s fault. The management has promised several times to resume payments, but “the prospects are vague.” Some shipbuilders who were left without money are planning to change their place of work.
Complaints about the lack of payments began back in October. Several affected employees filed applications with the labor inspectorate, but they received “reply letters” stating that the money was “blocked by the tax office for non-payment of taxes.” At the time, management confirmed to Russian media that the delay in payments was due to the expectation of funding from the Ministry of Defense.
YaSZ was hit by US sanctions back in 2019. In March 2022, Washington tightened previously introduced export restrictions due to the Russian Federation’s full-scale invasion of Ukraine, after which the plant also fell under EU sanctions. The enterprise is on the “blacklists” of Canada, Switzerland, Ukraine, and Japan, as it is associated with the Russian military-industrial complex.
USM previously reported that the Russian shipbuilding industry is unable to implement the project for a new aircraft carrier.
