Loss-making private breweries threatened with nationalisation
On April 10th, at a meeting dedicated to the brewing industry development, President Lukashenko threatened to nationalise one of the Heineken plants. Following the threat to the brewery in Bobruisk, which is among the largest taxpayers in the Mogilev region, Belarus should anticipate further reduction in investment into Belarusian enterprises by foreign companies, increased pressure on private business, and more direct and indirect payments to the budget to be squeezed from various profitable enterprises. Meanwhile, revising the excise policy, which is the main reason why the situation in the brewery industry has deteriorated, (the excise tax on beer rose tenfold in the past 2.5 years) is not envisaged.
According to Belstat, in August 7,600 people were dismissed, including 4,800 civil servants. Dismissals of civil servants were due to the optimisation in the public administration by up to 30%. Some civil servants would retain their job however would lose the status of a civil servant. Vacancies on the labour market are likely to reduce in number, thanks to the optimisation, the state administration would increase wages for public servants. The payroll fund for retained employees is likely to increase and some former state employees are likely to get jobs in affiliated organizations. The optimisation of the state apparatus should complete by January 1st, 2018, and some former civil servants are likely to join the ranks of the unemployed.