Workforce participation has reached 61.5%, while unemployment remains at a historic low of 2.2%, Deputy Prime Minister Tatyana Golikova has said

Russia's labor market remains strong, with unemployment holding at a historic low and workforce participation reaching a record high, Deputy Prime Minister Tatyana Golikova said during a session at the St. Petersburg International Economic Forum (SPIEF).

Speaking on Friday at a panel titled 'Labour Market 2.0: AI, Skills Transformation and New Professions', Golikova said the share of Russians working had climbed to a record 61.5%, while the unemployment rate remains at just 2.2%.

The deputy PM warned, however, of significant structural challenges facing the sector despite the strong headline figures.

Golikova also noted that Russia ranks only 37th globally in labor productivity despite being among the world leaders in training skilled vocational workers. She added that the adoption of generative artificial intelligence (AI) and robotic systems could raise labor productivity by 21% by 2032.

The deputy minister argued that AI should be seen as a means of improving efficiency rather than replacing people. She said equipping workers with the skills needed to use emerging technologies has become a major priority.

"AI is, first and foremost, a tool for increasing productivity. That is why developing a workforce with the necessary competencies is becoming a key priority, particularly for our higher education system," she said.

Golikova said AI is reshaping the tasks people perform rather than eliminating entire professions. She added that labor demand could fall by around 10% if roughly 30% of the technology's potential is realized. The shift could have the greatest impact on the retail, logistics, and warehousing sectors, the deputy PM said.

The 29th annual SPIEF, often referred to as the 'Russian Davos', is taking place from June 3 to 6, welcoming around 20,000 businesspeople, politicians, and public figures from more than 100 nations.

(RT.com)