Factory demise symbolizes rot at core of Russian economy

[Rogue Valley]

Factory demise symbolizes rot at core of Russian economy

The central Russian city of Orsk is struggling after losing more than 50,000 jobs at 30 factories in the past two decades.

Financial Times
12/2/18

Evgeny Sidorov knew things were bad when the heating at the factory he worked at in central Russia was switched off in midwinter. The temperature was about minus 15C and many of the building’s windows were missing. Since then, things have only got worse at the Ormeto-YUMZ machinery factory in the city of Orsk. The facility has been closed since September, salaries for its 3,000 workers are in arrears and as its banks, lenders and management argue over its debt load, many think it may never start up again. “There are no materials, there is no money, there are no customers,” said Mr Sidorov. “There is nothing . . . They do not care about us.”*Away from Moscow’s Michelin-starred restaurants, Bentley showrooms and glistening granite pavements, Russia’s regional industrial belt is struggling. Expected gross domestic product growth of about 1.7 per cent this year would be far worse without strong oil and gas revenues, suggesting other sectors of the economy are stagnant or in retreat.*“Only people who deal in oil think that everything is all right in Russia,” said Vladimir Gudomarov, head of the Orsk branch of the Russian Communist party. “We are left here with the little that remains. The authorities are only interested in their own pockets . . . And they just look to oppress and suppress the public anger.”*

“The policies, the attitudes of people are set by those at the top. And they do not care,” said Mr Gudomarov, a former employee of the Orsk factory. “It feels as if the government has given up on investing for the future. They just care about surviving today.”*Such attitudes are a test for Mr Putin, whose popularity ratings have fallen sharply since he increased the country’s retirement age this autumn. A poll this month by the Levada Centre, Russia’s independent pollster, showed 61 per cent of Russians hold the president personally responsible for the country’s problems.*While strong diplomatic ties with countries such as China, India and Saudi Arabia have allowed the Kremlin to maintain global clout despite the sanctions, domestic anger over jobs and livelihoods is likely to be harder to mask.*“There is a feeling across the whole city of crisis. No money, no jobs, no hope,” said a person whose family has worked at the Orsk factory for generations. “It is a very dangerous situation for the authorities to have 3,000 angry people out on the streets.”

Once beyond the metro areas of Moscow and St. Petersburg, it becomes very apparent how the bulk of Russia remains poor and backward. For a nation blessed with abundant natural resources and spanning 11 time zones, this situation boils down to a government uninterested in governing for the betterment of all citizens, and endemic corruption that permeates nearly all Russian strata.

 

[Risky Thicket]

After the fall of the Soviet Union former KGB, organized crime and Russian government officials <---- redundant , systematically plundered the citizens of their respective nations' wealth and resources. Yes, indeed, citizens of the former Soviet Union were suddenly and finally free and that was pretty much the only change. They remained broke. Many became jobless. OK, so they didn't have to line up at the GUM store to buy an ill-fitting pair of shoes in whatever style that was close to a size that might fit. No matter, they didn't have any money anyway.

The resources were certainly there in the former Soviet nations. However there were little or no trade agreements between the former nations or with the world at large. There was little to no sales organizations or agreements. Manufacturing, transportation, standardization in all manner of commerce was damn near inexistent.

The former KGB/organized crime/government officials quickly found was to take control of natural resources and billions upon billions from the citizens. The climate was perfect for international business sharks to head toward the former Soviet Union to make some fast easy money. And so they did.

The criminal element/government players of the former Soviet Block needed to move mountains of money out of their nations. Grifters like Manafort, Flynn and Donald Trump couldn't wait to jump in and get their hands on the stolen loot. Russia needed money laundered to the West. Billions and billions.

Some say that Putin may be the richest man in the world. The citizens of the former Soviet Union remain poor.

 

[Rexedgar]

When do the people say “enough!?”

 

[Rogue Valley]

When do the people say “enough!?”

I think it is too late. Putin won't hesitate to employ lethal force to survive.

 

[Unitedwestand13]

I think it is too late. Putin won't hesitate to employ lethal force to survive.

Isn’t there anyone in Russia who could rival putin?

 

[UtahBill]

When do the people say “enough!?”

Let's say NOW....then what?

 

[Rogue Valley]

Isn’t there anyone in Russia who could rival putin?

Former governor and political activist Alexei Nalvany is very popular in Russia, but the Putin regime always arrests him before an election and then the Putin courts rule that someone awaiting trial cannot run for office.

 

[noonereal]

Once beyond the metro areas of Moscow and St. Petersburg, it becomes very apparent how the bulk of Russia remains poor and backward. For a nation blessed with abundant natural resources and spanning 11 time zones, this situation boils down to a government uninterested in governing for the betterment of all citizens, and endemic corruption that permeates nearly all Russian strata.

Really? This is what it boils down to?

God Bless.

 

[Lord Tammerlain]

Isn’t there anyone in Russia who could rival putin?

Putin has developed a strong internal network, where anyone who wants to keep their wealth and power need to either stay out of politics or support Putin. If an oligarch tries to support an opponent or becomes one, and loses on his bet, he can expect to slowly lose his wealth and power. So far, everyone has lost when trying to bet against Putin.

 

[Litwin]

Factory demise symbolizes rot at core of Russian economy

The central Russian city of Orsk is struggling after losing more than 50,000 jobs at 30 factories in the past two decades.



Once beyond the metro areas of Moscow and St. Petersburg, it becomes very apparent how the bulk of Russia remains poor and backward. For a nation blessed with abundant natural resources and spanning 11 time zones, this situation boils down to a government uninterested in governing for the betterment of all citizens, and endemic corruption that permeates nearly all Russian strata.

whats funny here, that olgino & TV.ru dont show the reality of Muscovy

 

[Litwin]

After the fall of the Soviet Union former KGB, organized crime and Russian government officials <---- redundant , systematically plundered the citizens of their respective nations' wealth and resources. Yes, indeed, citizens of the former Soviet Union were suddenly and finally free and that was pretty much the only change. They remained broke. Many became jobless. OK, so they didn't have to line up at the GUM store to buy an ill-fitting pair of shoes in whatever style that was close to a size that might fit. No matter, they didn't have any money anyway.

The resources were certainly there in the former Soviet nations. However there were little or no trade agreements between the former nations or with the world at large. There was little to no sales organizations or agreements. Manufacturing, transportation, standardization in all manner of commerce was damn near inexistent.

The former KGB/organized crime/government officials quickly found was to take control of natural resources and billions upon billions from the citizens. The climate was perfect for international business sharks to head toward the former Soviet Union to make some fast easy money. And so they did.

The criminal element/government players of the former Soviet Block needed to move mountains of money out of their nations. Grifters like Manafort, Flynn and Donald Trump couldn't wait to jump in and get their hands on the stolen loot. Russia needed money laundered to the West. Billions and billions.

Some say that Putin may be the richest man in the world. The citizens of the former Soviet Union remain poor.

great post, "KGB/organized crime/government" i´d recommend you to use term ozero


"The dacha cooperative Ozero was founded on November 10, 1996[1] by Vladimir Smirnov (head), Vladimir Putin,[3] Vladimir Yakunin, Andrei Fursenko, Sergey Fursenko, Yury Kovalchuk, Viktor Myachin, and Nikolay Shamalov [ru].[4] The society united their dachas in Solovyovka, Priozersky District of Leningrad Oblast, on the eastern shore[a] of Lake Komsomolskoye on the Karelian Isthmus, near Saint Petersburg, Russia.[5][6]

Vladimir Putin returned from his KGB posting in Dresden in early 1990, prior to the formal establishment of the Ozero cooperative, and acquired property on the banks of Lake Komsomolskoye. His dacha burned down in 1996 but was rebuilt later that year.[3] Others bought more land around this area and built a number of villas close to each other to form a gated community.[7] A bank account linked to this cooperative association was opened, allowing money to be deposited and used by all account holders in accordance with the Russian law on cooperatives.[8]

By 2012 members of the Ozero cooperative had assumed top positions in Russian government and business and became very successful financially.[5][9][10] "

 

[Litwin]

by the way , OMSK

 

[Litwin]

Isn’t there anyone in Russia who could rival putin?

it´s only one solution for Muscovites

Revolution in Pictures | English Russia

 

[Litwin]

i see ozero point here, he plans to sell omsk to china anyway so why to bother with this dying city ?