Informal employment in the North Caucasus Federal District has decreased due to mobilization and the war with Ukraine

The level of informal employment in the North Caucasus Federal District in the first quarter of this year amounted to 38.2%, which is 5% lower than in the same period last year, according to Rosstat. The leaders in reducing the shadow sector in the labor market were Dagestan, Ingushetia, and North Ossetia. The trend was influenced by the mobilization and influx of the population of the Caucasus into the armed forces of the Russian Federation for the war against Ukraine.

At the end of last year, in Russia as a whole, the share of workers without formal employment amounted to 18.6% of the total labor force.