Russia cuts workforce even at defense industry plants – CCD

The Russian corporation Research and Production Corporation UralVagonZavod OJSC has announced a 10% workforce reduction and plans by February 2026 to scale down its metallurgical and railcar assembly production, as well as its administrative staff and certain auxiliary services.

According to Ukrinform, the Center for Countering Disinformation under the National Security and Defense Council of Ukraine reported this on Facebook.

Earlier, UralVagonZavod had already reduced the work week to four days in several departments.

This enterprise is part of Russia’s military-industrial complex and produces T-90 tanks and other military equipment for the Russian army. The layoffs at UralVagonZavod are yet another signal that the house of cards of Russia’s war economy is beginning to collapse.

“After nearly four years of excessive strain and artificial overload, the defense industry can no longer sustain such a pace. Even enterprises that were Kremlin priorities due to their role in the war are now forced to cut costs and reduce personnel,” the Center noted.

As Ukrinform reported, major Russian state-owned corporations, Gazprom, Rosneft, and Russian Railways (RZD), are mired in debts exceeding 12 trillion rubles, a record high in the country’s history.

Photo: Center for Countering Disinformation