Ukraine War News Today - Top Stories and Breaking Updates from Kyiv Post
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A new study warns that a significant mobilization of Russian soldiers could have detrimental effects on wages for civilians left behind. The KSE Institute's research indicates that call-ups of 500,000 troops could lead to a 0.1–0.2 percentage point increase in real wage growth, while mobilizing one million could result in a 0.6–1.2 percentage point rise.
However, the study suggests that the loss of contract payments would likely surpass the wage gains derived from labor scarcity. Russia's military industry has drastically reduced hiring, with weapons and aviation manufacturers cutting advertised positions by 37%, other military industries by 14%, and drone makers by 13%. Meanwhile, civilian vacancies have increased by 7%.
Additionally, 94% of military positions require no experience or qualifications, compared to 46% of civilian vacancies, indicating that the army primarily recruits from a low-skill segment of the labor market.
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