Layoff Trend Persists Among Belarusian Businesses in Lithuania
Flight of Belarusian IT Talent from Lithuania: The Great Brain Drain
The gaming sector in Lithuania has been hit hard since the start of the year, with a significant number of specialists leaving. Notably, Wargaming and MA (ex-Melsoft LT) combined have seen nearly 70 employees depart. As we delve deeper, let's examine the state of IT employment in this region and the reasons behind this exodus.
Current Employment Status of Wargaming and MA
As of now, Wargaming's Lithuanian office boasts a team of 801 registered employees. Due to the ongoing outflow rate of approximately 10 employees per month, the team could shrink to 700 specialists by year's end. The company is, however, continuing recruitment efforts and has 16 job openings listed on their website, offering salaries ranging from 2,500 to 7,000 euros gross, dependent on position.
At the turn of the year, MA boasted nearly 200 employees, but currently, only 160 remain.
EPAM finds itself among the top 3 companies in Lithuania with the most layoffs this year. In 2020, their Lithuanian team suffered a reduction of almost 180 people (a 12.5% decrease), with around 1,200 employees currently registered across their Vilnius and Kaunas branches. Since January, the team has lost around 20 specialists.
A Few Bright Spots
Contrary to the trend, only two of the top 10 largest IT companies with Belarusian roots in Lithuania have seen an increase in their employee count since the start of the year. Gurtam's Lithuanian team has expanded from 218 to 225 people, while Godel has grown from 90 to 99.
The Exodus of 2021
Last year, Lithuania's IT sector lost over 400 Belarusian IT specialists. It appears that this year may see a similar level of attrition. The reasons behind this trend are multifaceted and could be linked to political and economic conditions, job opportunities and remuneration, safety and security, integration challenges, and visa and immigration policies.
Wider Implications
The migration policy of Lithuania towards Belarusians is another crucial factor influencing the outflow of IT specialists from the country. In April, the Lithuanian Parliament's Committee on National Security and Defense supported the idea of revoking residence permits issued to Belarusians for frequent trips home, but no decision has been made as yet. Additionally, almost 600 Belarusians were deemed a threat to Lithuania's national security last year, including some IT specialists. The number of Belarusians with residence permits in Lithuania has also seen a significant decrease this year. As of April 1, there were 53,739 Belarusian citizens with valid residence permits in Lithuania, which is 3,772 fewer than at the beginning of the year.
For further insights, please refer to the enrichment data section provided below. However, note that the information presented is not specific to the outflow of Belarusian IT specialists from Lithuania in 2021.
Enrichment Data:
- Political and Economic Conditions: Instability and tensions in Belarus could lead skilled workers to seek more stable environments, including Lithuania. However, they might face challenges such as language barriers, cultural differences, or competition in the job market.
- Job Opportunities and Remuneration: IT specialists often seek locations offering better job security, higher salaries, and career advancement opportunities.
- Safety and Security: Political unrest and repression in Belarus could prompt some Belarusians to initially seek asylum in countries like Lithuania. However, if they perceive greater safety or stability elsewhere in Europe, they might elect to migrate further.
- Integration Challenges: The ability to integrate into a new society significantly impacts an individual's decision to stay or leave. Factors such as language proficiency, social connections, and cultural compatibility can influence Belarusian IT specialists' migration decisions from Lithuania.
- Visa and Immigration Policies: Favorable immigration policies for skilled workers in other European countries can attract Belarusian IT specialists away from Lithuania.
- Despite Wargaming and MA losing nearly 70 employees combined in Lithuania's gaming sector, Wargaming has 16 job openings listed on their website, offering salaries ranging from 2,500 to 7,000 euros gross.
- EPAM, one of the top three companies in Lithuania with the most layoffs this year, has experienced a reduction of almost 180 people since the beginning of the year, but Gurtam's Lithuanian team has expanded from 218 to 225 people.
- The reasons behind the exodus of Belarusian IT specialists from Lithuania could be linked to factors such as political and economic conditions, job opportunities and remuneration, safety and security, integration challenges, and visa and immigration policies.
- In April, the Lithuanian Parliament's Committee on National Security and Defense supported the idea of revoking residence permits issued to Belarusians for frequent trips home, but no decision has been made as yet, affecting the number of Belarusians with residence permits in Lithuania, which has seen a significant decrease this year.
- The migration policy of Lithuania towards Belarusians could play a significant role in the outflow of IT specialists from the country, as almost 600 Belarusians were deemed a threat to Lithuania's national security last year, including some IT specialists.
