‘Golden parachutes’ for senior managers of state corporations and companies with state participation may be significantly cut as soon as in August, 2013. President Putin earlier requested that the government come up with new legislation on the matter.
However, MPs from the United Russia party beat the government to
it, and are already expected to make amendments to Russia’s Labor
Code, which may come in force as of August 1. If they do, executive
managers of state corporations will be entitled to three to 12
monthly paychecks and heads of companies with state involvement may
receive from three to 18 monthly paychecks, Kommersant daily
reports.
The state corporations welcomed the initiative, calling it a
logical and timely decision.
The discussion was fueled by a 200 million ruble ‘parachute’
(roughly US$6.4 million) that Rostelecom paid to the outgoing head
of the company, Aleksandr Provotorov. One United Russia MP drew
Putin’s attention to that case and the president ordered Prime
Minister Dmitry Medvedev’s government to take measures and limit
such levels of compensation, saying “Russian people don’t
understand that.” However the parliament acted faster.