The state corporation VEB.RF has decided to cut employees’ salaries by 20%, Forbes magazine reports, citing the words of two sources who know about this from VEB employees.

According to the newspaper, the state corporation also limited the amount of payments to members of the board – now they will be able to receive no more than 50 million rubles a year.

From April 1, the corporation will change the terms of remuneration, and new employment contracts will be signed with employees, an official representative of VEB.RF told Forbes. According to him, salaries will be changed taking into account the “discount” for comparable positions in state banks, and the remuneration will be tied to the achievement of global KPIs set by the government. The corporation has not yet commented on how much the salaries were cut and how the payments to the board were limited.

As of December 31, 2020, 1,370 people worked at VEB.RF; they were paid 12.8 billion rubles a year. Excluding payments to the board, the average salary in a corporation in 2020 was 707,730 rubles per month. Payments to 12 board members in 2020 amounted to about 1.2 billion rubles, on average one board member received 97.7 million rubles per year.

For the corporation, this will be the third wave of changes, the spokesman added. Since 2018, the number of the group’s personnel has been reduced from 10,000 to 1,500 people. The company completely changed the social package: they gave up company cars with drivers, optimized hospitality expenses, revised the scope of insurance and pension benefits. Now similar processes are starting in development institutions that are subordinate to VEB. FORBES

(C)MEDUZA 2021