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Strategies & Market Trends : Investment in Russia and Eastern Europe

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To: Real Man who wrote ()5/18/1998 5:40:00 PM
From: Real Man  Read Replies (2) of 1301
 
MOSCOW, May 18 (AFP) - Siberian miners stepped up their protest
over unpaid wages Monday, blocking main rail and road links, even
after the new Russian government pledged cash to end its first
social crisis.
Around 600 coal workers blocked Trans-Siberian railways in the
Kemerovo region for the fourth day running while another 700 miners
walked off the job and called for an unlimited strike in
Rostov-on-Don.
In the northern town of Vorkuta, the protestors locked a local
administration official in his office while in the Urals, miners
stopped traffic using one of the region's principal roads.
The widespread action has been a test of Prime Minister Sergei
Kiriyenko's pledge before his investment April 24 to tackle Russia's
chronic problem of unpaid state workers.
Sunday, Deputy Premier and Energy Minister Boris Nemtsov
promised seven million roubles (1.14 million dollars) would be paid
by the end of the week to cover the arrears in Kemerovo. He also
said 3.4 million roubles would be paid to finance a job-creation
programme.
But those figures fall far short of the 1.3 billion roubles (212
million dollars) owed to miners in the region, and Kemerovo governor
Aman Tuleyev said at least 30 million roubles would have to be paid
to put an end to the protests.
In the northern region of Inta, where the main train line to
Moscow has been blocked for five days, Nemtsov said 11 million
roubles would be paid to make up the wages.
As of May 1, the state owed some 3.7 billion roubles in back
wages to the miners.
Russia's ailing coal industry has been crippled by internal
debts and high transport tariffs, leading to chronic wage backlogs
in impoverished mining towns.
The total unpaid wages bill for state workers stood at 58
billion roubles as of March, unions say.
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