Leading Russian carmaker Avtovaz is planning to cut up to 27,600 jobs as it tussle with downhill of sales due to collision of global economic. Around 102,000 workforces work with Avtovaz in making Lada cars and this decrease in cut is more than a quarter.

Until the financial disaster punched the demand, Russia was one of the leading and fastest growing car markets. Company was initially planning to reduces 36,000 employees considerably lowered the initial figure. Job cut comprise of 5,000 white-collar workers too. Out of the abolished workers, 13,000 employees would retire with pension whereas remaining 5,500 needs to take a compulsory early retirement. Left over 9,100 employees would leave the company out of those 6,000 by 2012 would have an opportunity and an option to work at the carmaker. 40 percent of sales have been affected the drop down due to financial crisis. 25 percent of it share is owned by Renault a French automaker had been forced a month long production freezes which they try to compensate with unsold stock. In the month of August, no cars were built from September until February worker will work only for two weeks in a month and continue to live with the company for another six months on half pay a month. This judgment led to large protest. The company was on the edge of bankruptcy in the month of April. Later Prime Minister gave a fund of 20bn ruble as a rescue package for the company to survive.