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“Salary slavery" cannot be defeated

“Salary slavery" cannot be defeated

Several Russian banks have offered to create a service, that allows employees to independently choose a bank for the transfer of their salaries. If an employee does not want to receive funds on a payroll card, he would need to contact his company's bank with a request to transfer money to any other card.

One of the advantages of the proposal is the exclusion of an employer from the chain of choice of the bank by an employee, because usually the preference is given to the bank which is better for the employer. The Central Bank of the Russian Federation criticized the proposal to combat the so-called "salary slavery" - the sole choice of the bank by the employer. In the new mechanism, the head of the Central Bank Elvira Nabiullina sees more drawbacks than advantages. The reasons for criticism are the risk of increasing fees for accounts servicing and loan rates for citizens leaving payroll projects, as well as the risk of late salary.

It is worth noting that the law on the abolition of "salary slavery" came into force in 2015, but most employees continue to receive salaries through banks chosen by their employers.