A tide of discontent is sweeping across Russia’s “rust belt” as the Kremlin tries to convince tens of thousands to relocate from their homes.
Authorities are offering up to $25,000 in state support for people willing to leave 142 struggling so-called “monotowns,” communities depending on a single industry.
Many Russians are unhappy about being asked to leave places that several generations of their families have called home. Critics also allege the level of compensation isn’t enough and say it will create dozens of “ghost towns.”
“I honestly earned pennies, but still income,” he said. “I am struggling to sell my house for $2,000 — nobody wants it. If I move to a big town, I will have to spend at least $60,000 to buy myself a place.”
By Dec. 28, the final 800 mill workers will lose their jobs — another significant blow to the Siberian town of 14,000 people.
The fate of 700 other people still employed at a different part of the mill which provides heat to all of Baikalsk will be decided by the spring.
Russian Prime Minister Dmitry Medvedev last year pledged $1 billion to transform the town on the edge of Lake Baikal into a tourist hotspot. Lake Baikal is a natural treasure that contains more water than all of the Great Lakes combined.
But there has been little sign of investment in the wake of Medvedev’s visit. The town’s central square remains unpaved, hotels and cafes struggle and local newspapers publish pages of advertisements placed by residents looking to sell their apartments in Baikalsk and move closer to Moscow or St. Petersburg.
The lack of action has resulted in angry protests by fired workers in the regional center of Irkutsk.
“The Kremlin simply lied to us; they promised to first create jobs and then close the mill in 2015,” said Yuri Nabokov, the leader of the mill’s professional union. “The mill is closed and hundreds of workers have no chance to live their normal lives in their hometown with their families; authorities tell us to go to far north and work on shifts at oil fields – that makes us even angrier.”
The article also points out the Sochi are costing $50 billion. How messed up is that? Vancouver by comparison cost around $1.84 billion and generated about $2.5 billion in GDP. What is Russia doing?