McDonald’s, Siemens Exit Russia

?McDonald’s and Siemens are planning to sell their businesses in Russia, the companies recently announced, the latest companies in a long list of organizations to do so following the invasion of Ukraine. We’ve gathered articles on the news from SHRM Online and other media outlets.

McDonald’s Ends Three-Decade Run in Russia

McDonalds spent more than three decades conducting business in Russia, but now has put its business in the country up for sale. McDonald’s, which employees 62,000 people in Russia, said in March that it would temporarily close its operations there. Many employees and activists had urged full closure in Russia.

(The New York Times)

More than 150 Years of Business in Russia Coming to an End

Siemens is ending its 170 years of business in Russia, saying on May 12 that it was winding down all its industrial operations and business there. The German electronics giant has 3,000 employees in Russia and said that in its second quarter it took a hit of about $625 million, after Russian sanctions.

(The New York Times)

Five Categories of Companies

The Yale School of Management has drafted a list of companies that are “digging in,” “buying time” by holding off on new investments or development, scaling back, suspending and withdrawing from Russia.

(Yale School of Management)

Exit Strategy for Koch Industries

Koch Industries initially said it would not exit its Russian operations because doing so would put its “employees there at greater risk and do more harm than good.” However, Koch President and COO Dave Robertson communicated to employees in an April 21 e-mail, Koch company “Guardian [Glass] is working with its local management team to find an exit strategy that maintains our commitment to employees’ safety and does not result in the Russian government taking over the plants and financially benefiting from them. All other Koch companies, none with operating assets in Russia, have ended or are ending business activities there.”

(The Washington Post), (SHRM Online) and (CBS News)

Millions of Ukrainian Jobs Lost During War

Meanwhile, nearly a third of Ukraine’s jobs have been lost during the war, according to the International Labour Organization (ILO)—the U.N. labor agency. The loss of millions more jobs are threatened if the war continues, the agency said. Approximately 4.8 million jobs have been wiped out since Russia’s invasion began, stated the ILO in its first report on the economic consequences of the invasion.

(The New York Times)