Russia’s Energy Giant Cuts 40% of Staff Amid War’s Economic Fallout
Facing its first annual loss in 24 years, due largely to Western sanctions stemming from the war in Ukraine, Gazprom is considering a significant restructuring. A board member’s proposal suggests a 40% reduction in its St. Petersburg headquarters staff, decreasing the headcount from 4,100 to 2,500. This measure, aiming to align Gazprom’s management-to-employee ratio with Rosatom’s, is driven by a need to reduce management costs, currently at approximately $486.5 million annually. The savings would potentially fund performance bonuses for retained employees, and increased reliance on automation and digitalization.
John Q. Hosedrinker