Russia's largest carmaker cuts working week after sales slump

From 29 September, AvtoVAZ, Russia's largest passenger car manufacturer, has shifted to a shortened four-day working week, which may last up to six months.

Source: The Moscow Times, citing AvtoVAZ's trade union leader Sergei Zaitsev

Details: The decision, according to Zaitsev, will be reviewed if market conditions improve. The company had already warned about this transition in July, when a copy of the internal order dated 21 July appeared in the media. The shortened schedule will remain in effect from 29 September 2025 to 28 March 2026.

AvtoVAZ stated that the measure aims to "preserve the workforce and avoid mass layoffs".

The automaker has faced serious difficulties with vehicle sales: Lada sales fell by nearly 25% in the first eight months of 2025, totalling 211,300 units.

In mid-September, AvtoVAZ CEO Maksim Sokolov said the company would revise its 2025 production target from 500,000 to 300,000 vehicles.

AvtoVAZ employs around 40,000 people, with an additional 15,000 working in related industries in the region.

Background: The company also failed to launch mass production of its new Lada Iskra model due to a shortage of components.

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