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 Liquidation of Roshen factory in Lipetsk launched, lay-offs underway

The employees of the Roshen confectionery factory in Russia's Lipetsk are being discharged.

Censor.NET reports citing Komsomolska Pravda.

In early 2017, the company's management announced the cessation of production "for economic and political reasons," while the official shutdown of the factory took place on April 24.

As reported, about 700 people are to lose their jobs. The first 85 employees will be sacked on Monday.

Read more: "This is owners' sovereign decision," - Peskov on Roshen's Lipetsk factory shutdown

"People have been dismissed and given documents. They will now register with an employment office. In fact, their lay-off terms are quite favorable, so they are not in a hurry to get a new job. In the first two months they will receive a so-called severance pay in the amount of their last salary. If they fail to find employment during this period, they will receive the same amount for the third month," said Viktor Kirey, the first deputy head of the Labor and Employment Department of the Lipetsk region of the Russian Federation.

Dismissals are to continue in the coming days.

As reported, the average salary at the factory amounted to 30,000-34,000 rubles ($485-550), while jobs offered by the Lipetsk Employment Center pay much less.

Read more: Roshen halts work of its confectionery factory in Lipetsk, Russia

Starting from 2013, the output at the Lipetsk confectionery factory has decreased threeforld. This happened due to a sharp decline in the production range after an unjustified ban by the Federal Service for Supervision of Consumer Rights Protection and Human Welfare (Rospotrebnadzor) in 2013 on imports of Roshen's Ukrainian products to the Russian Federation as well as a campaign to discredit the work of the factory in the Russian and Ukrainian media and the pressure put by local authorities in some regions on traders selling the factory products and decrease in the overall level of purchasing power of population.
 
 
 
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