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Russia's IT Brain Gain: Professionals Return Home, Reversing Long-Time Trend

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In a significant backlash against the brain drain in Russia's tech industry, IT employees are heading back home to bolster the local workforce.
According to Alexander Khachiyan, the head of AWG IT integrator, approximately 85 percent of IT specialists who left Russia in 2022 have returned to the country. Khachiyan mentioned that the most significant wave of returnees occurred between February and March, around six months after September 2022. He stated, "If we take all those who went abroad in 2022 as 100 percent, then 15 percent remain abroad, and 85 percent returned to Russia."
In December 2022, Russia's Minister of Digital Development, Communications, and Mass Media, Maksut Shadayev, stated that around 100,000 IT specialists had left Russia. This accounted for approximately 10% of the total workforce in Russian IT companies.
Shadayev further claimed that Russian companies still employed 80% of those who left. He was confident about his ministry giving up the idea of imposing strict restrictions on remote work for such employees, considering it premature. He thinks such constraints would only push them to seek employment with foreign companies.
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However, Khachiyan's assessment of the exodus of IT professionals was based on data from his IT integrator and customer companies. “Indeed, a very large number returned to Russia and no longer plan to leave,” he added.
Khachiyan concluded that many Russian IT expats started bearing the brunt of forfeiting their tax residency status because their personal income tax rose from about 13-15 percent to 30 percent upon returning to Russia. Employers were unwilling to make up for such a change, a significant motivator for IT specialists to return.
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