[Russia] Remote working law risks IT worker exodus

[Russia] Remote working law risks IT worker exodus
06 Jan 2023

Russia’s already damaged IT sector risks losing more workers in the new year as the result of planned legislation on remote working which authorities are using to try to bring back some of the tens of thousands who have gone abroad, Zawya reports.

IT workers - with a profession suited to flexibility - numbered highly among the many Russians who fled after Moscow sent its army into Ukraine on Feb. 24 and the hundreds of thousands who followed when a military call-up began in September.

The government estimates that 100,000 IT specialists currently work for Russian companies overseas.

Now, legislation that could ban remote working for some professions is being considered.

Russian lawmakers, reportedly fearing that more of the nation’s IT professionals could end up working in NATO countries and inadvertently sharing sensitive security information, have proposed banning some IT specialists from leaving Russia.

However, the Digital Ministry said in December that a total ban could make Russian IT firms less effective and therefore less competitive, "In the end, whoever can attract the most talented staff, including those from abroad, will win."

'Negotiating with terrorists'

Many disillusioned young Russians have reportedly gone to countries such as Latvia, Georgia or Armenia where the Russian language is widely spoken but several have made a more significant leap - to Argentina.

IT specialist Roman Tulnov (36) said he did not intend to return to Russia under any circumstances.

"I had wanted to leave for some time. On Feb. 24, everything became clear. I understood that there was no more life in Russia," he said and credited mobilisation in particular for the opportunity to work six times zones away and still keep his job.

"Before mobilisation, no one thought about giving the go-ahead for people to move to who-knows-where."

Vyacheslav Volodin - the powerful chairman of Russia's lower house of parliament or State Duma - has reportedly said he wants to see higher taxation for workers who have moved abroad.

Product designer Yulia (26) estimated that a quarter of her team would rather quit than be forced to return to Russia.

"Such a non-alternative choice is a bit like negotiating with terrorists: 'Come back or we'll make your job impossible, and for your company and employees'," she said.

There is also a risk that some expatriate Russians could be put off paying tax altogether. Personal income tax of 13 per cent is deducted automatically from employees who are resident, however, those who work for Russian-based companies from abroad are left to their own devices.

Professional online poker player Sasha (37) also lives in Argentina. He said he had now stopped paying Russian taxes.

"When you pay taxes you support the state and its military expansion," he said. "I'm not paying and don't plan to." 


Source: Zawya

(Quotes via original reporting)

Russia’s already damaged IT sector risks losing more workers in the new year as the result of planned legislation on remote working which authorities are using to try to bring back some of the tens of thousands who have gone abroad, Zawya reports.

IT workers - with a profession suited to flexibility - numbered highly among the many Russians who fled after Moscow sent its army into Ukraine on Feb. 24 and the hundreds of thousands who followed when a military call-up began in September.

The government estimates that 100,000 IT specialists currently work for Russian companies overseas.

Now, legislation that could ban remote working for some professions is being considered.

Russian lawmakers, reportedly fearing that more of the nation’s IT professionals could end up working in NATO countries and inadvertently sharing sensitive security information, have proposed banning some IT specialists from leaving Russia.

However, the Digital Ministry said in December that a total ban could make Russian IT firms less effective and therefore less competitive, "In the end, whoever can attract the most talented staff, including those from abroad, will win."

'Negotiating with terrorists'

Many disillusioned young Russians have reportedly gone to countries such as Latvia, Georgia or Armenia where the Russian language is widely spoken but several have made a more significant leap - to Argentina.

IT specialist Roman Tulnov (36) said he did not intend to return to Russia under any circumstances.

"I had wanted to leave for some time. On Feb. 24, everything became clear. I understood that there was no more life in Russia," he said and credited mobilisation in particular for the opportunity to work six times zones away and still keep his job.

"Before mobilisation, no one thought about giving the go-ahead for people to move to who-knows-where."

Vyacheslav Volodin - the powerful chairman of Russia's lower house of parliament or State Duma - has reportedly said he wants to see higher taxation for workers who have moved abroad.

Product designer Yulia (26) estimated that a quarter of her team would rather quit than be forced to return to Russia.

"Such a non-alternative choice is a bit like negotiating with terrorists: 'Come back or we'll make your job impossible, and for your company and employees'," she said.

There is also a risk that some expatriate Russians could be put off paying tax altogether. Personal income tax of 13 per cent is deducted automatically from employees who are resident, however, those who work for Russian-based companies from abroad are left to their own devices.

Professional online poker player Sasha (37) also lives in Argentina. He said he had now stopped paying Russian taxes.

"When you pay taxes you support the state and its military expansion," he said. "I'm not paying and don't plan to." 


Source: Zawya

(Quotes via original reporting)

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