Alexander Shokhin, president of the Russian Union of Industrialists and Entrepreneurs (RSPP), said demand is falling both inside Russia and abroad, and that businesses which had counted on an economic recovery see no grounds for one yet. His remarks were reported by Interfax.

"When such forecasts for 2027 are not very optimistic, there is no economic sense in keeping [employees], and only the social one remains," Shokhin said.

The business ombudsman expects the cuts to push up unemployment. According to Rosstat, the federal statistics service, the jobless rate stood at 2.2% in September. Shokhin proposed granting deferrals and installment plans, including on tax payments, to enterprises whose operations determine employment in an entire city.

He does not expect the key rate to be cut from the current 14% until at least February 2027. In his assessment, with a high rate, high taxes and weakening budget support, economic growth could stall next year and GDP could contract. The Central Bank's baseline scenario still projects GDP growth of 1–2% in 2027.

Mounting economic problems are forcing businesses to cut personnel costs. As The Moscow Times reported, 40% of companies surveyed by the RSPP in July intend to do so — their share nearly doubled over three months. More than a quarter (28.1%) are considering staff cuts, and one in five (20%) plans to lower salaries or trim benefit packages.

Large-scale layoffs are already under way. Russian Railways (RZD) plans to cut 15% of its central staff this year — about 6,000 people. Novye Oblachnye Tekhnologii, the developer of a Russian analogue of Microsoft Office, has dismissed almost 80% of its employees. The Magnitogorsk Iron and Steel Works is cutting 10% of its managers, and Severstal owner Alexei Mordashov has not ruled out staff "optimization." Cuts are also under way at major banks, including Sber and VTB.

Many companies facing falling demand are sending employees on unpaid leave or moving them to part-time work — the path 17.5% of RSPP-surveyed enterprises intend to take. The main tool of optimization, however, is described as cutting hiring.

Novaya-Europe found more than 200 cases of social spending being cut since the start of 2026 — the most since 2022. Health care and education have received at least 1.05 trillion rubles less from the budget over that period. More than 800 cuts in the social sector have been recorded since 2021, more than a quarter of them in 2026.