American oil workers discouraged by bleak employment opportunities in the U.S. petroleum industry face increasing competition abroad from Russians seeking "a living wage."
Moscow's Zagrantrud (Foreign Labor) firm believes "millions" of Russian skilled and unskilled workers in many occupations will try to find jobs in other countries.
The Russian enterprise says it is selecting a group of construction workers to build a refinery in Colombia. Kuwait also wants Russian construction personnel.
Russia is especially eager to find overseas work for petroleum industry workers who have lost their jobs in Viet Nam and Cuba.
The number of specialists from the former U.S.S.R. in Cuba, many of them engaged in oil exploration and production or pipeline and refinery construction, has fallen from several thousand 2 years ago to 250 at present as Moscow's relations with Havana cooled.
EXPERIENCE ABROAD
Zagrantrud emphasizes that Russians working abroad obtain valuable experience in labor efficiency and in handling advanced technology.
"Upon returning home, they will be of great use to Russia," it said.
"Moreover, hard currency remittances from migrant workers would greatly exceed income from tourism (which has slumped in chaotic Russia). This may help prop up the national budget," a labor ministry official said.
Zagrantrud was founded by Russia's ministry of labor, the Vneshobrazovanie (Foreign Education) joint stock company, and other entities. It cooperates with foreign manpower firms by screening Russian job applicants, processing visas and passports, buying tickets, providing insurance, and arranging for more training if necessary.
The firm charges a 10-15% commission on a contract's value. By comparison, it says, the former U.S.S.R. charged foreign firms 60% for similar services.
"What is creating problems," it asserts, "is that the West pays Russian personnel the same as workers from Third World countries."
PERSIAN GULF MISSION
The Moscow trade union newspaper Trud reported Igor Khalevinsky, Russia's deputy minister of labor, visited Persian Gulf nations last month to assess potential demand for Russian workers in Saudi Arabia, Kuwait, Qatar, Bahrain, the United Arab Emirates, and Oman. He was a member of a delegation headed by Andrei Kozyrev, Russian minister of foreign affairs (OGJ, June 1, p. 38).
Khalevinsky said he is optimistic about prospects that Russian petroleum personnel and other workers can find jobs in the Persian Gulf area. He emphasized that, except for Kuwait, this was the first time that gulf oil producing nations he visited had been contacted by the Russian labor ministry
"Gulf countries are ready to accept Russian specialists, mainly those with high qualifications," Khalevinsky said. "They are especially interested in personnel from our defense plants that are being converted to nonmilitary production.
"The labor market in the gulf states is very competitive. If foreign workers from a particular nation demand higher pay, employers immediately turn to personnel from other countries.
"Hiring of foreign workers is in accordance with supply and demand. The average wage in the oil industry and gas processing is $1,061/month plus free housing and sometimes free meals. Labor protection laws are among the world's best."
Khalevinsky conceded that if the Russian government is to earn hard currency from labor abroad by its citizens, legislation must be enacted to enable the workers to enjoy the fruits of their efforts upon returning home.
"Otherwise," he said, "the foreign exchange will end up in Swiss banks or workers' socks."
