Economy criticizes compulsory medical tests in Russia

Created: 2/5/2022Updated: 2/5/2022 2:21 PM

Matthias Schepp is CEO of the AHK and delegate of German business in Russia.

© Ulf Mauder/dpa

Anyone who wants to work in Russia as a foreigner has recently had to undergo complex medical examinations.

The outrage about the new law is great.

The consequences are already visible.

Moscow - The German economy in Russia is also warning of a "massive exodus" of companies in view of the mandatory medical tests for managers and other foreigners.

There is already a trend towards withdrawal, according to information from the German-Russian Chamber of Commerce Abroad (AHK).

The number of German companies in Russia fell by eight percent in 2021 compared to the previous year.

In addition to the introduction of compulsory medical examinations for foreigners, the new sanctions threatened by the West against Russia in the Ukraine crisis and the fear of a war in Europe were given as reasons.

Currently, 3,651 companies with German capital are still active in the largest country in the world, citing information from the Russian tax authorities.

In the past ten years or so, 42 percent of the companies have withdrawn - in 2011 there were still 6,300 companies with German capital in Russia.

"The fear of war surrounding the Ukraine crisis, the threat of new sanctions and discriminatory compulsory tests for top managers and engineers represent a massive risk and annoyance," said Matthias Schepp, CEO of the AHK and delegate of German industry in Russia.

Elaborate investigations

Under a new law signed by Russian President Vladimir Putin, long-stay foreigners must undergo extensive medical screenings to work in the country.

Foreigners in Russia should therefore be regularly tested for drug use and infectious diseases such as HIV, syphilis, tuberculosis and Covid.

In addition to blood and urine samples, children from the age of six and spouses would also have to undergo X-ray tests with high levels of radiation every three months.

Discussions with psychologists are also mandatory.

According to the AHK, outrage is growing among German companies about the law that came into force in December.

In letters to the AHK, German managers reported “conditions like in films from the Gulag days” with hours of waiting and a lack of compliance with corona regulations among hundreds of guest workers in a test center not far from Moscow.

According to the AHK, ten foreign business associations have written a letter to the Russian government - with the demand that the "discriminatory regulation" be overturned or mitigated.

Other foreign business associations also criticize the new law as damaging to investments.

The US Embassy in Moscow called the law "xenophobic".

Human rights activists criticize the forced examinations as an attack on the right to self-determination over one's own body.

"It is obvious that in 2022 even more companies will pack their bags if solutions are not found soon to stabilize the business climate," said Schepp.

At the same time, the head of the AHK made it clear that German companies are still investing billions in the largest country in the world.

The number of AHK member companies has grown from 800 to 1050 in the past five years.

A lucrative market

"Russia remains a large and lucrative market for our companies due to the population's willingness to spend, even if the weak economy of recent years and the Corona crisis with supply chain interruptions are slowing down development," said Schepp.

"The quantity of German companies is declining, but the quality of commitment remains at a high level."

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A glimmer of hope for the tourism industry

Large corporations and medium-sized companies are making strategic, long-term investments in Russia, said Schepp.

"Of course, the tense situation around Ukraine is also a concern for us," said the head of the AHK.

"Our companies are hoping for a negotiated solution and for the situation to calm down quickly." dpa