Moscow unemployment doubled over NY break-union

MOSCOW, Jan 12 (Reuters) - Unemployment in Moscow doubled over the new year holiday period, with 290,000 people either out of work or facing severe cutbacks, the head of the city's trade union federation said on a Moscow radio station on Monday. Russian companies have been hard hit by falling prices and lower global demand for their commodity exports. Rouble depreciations have pushed up the costs of refinancing foreign currency debt, while the global credit crunch has virtually dried up avenues of fresh borrowing.

Companies have responded with job cuts, reduced working weeks and lower salaries.

"The number of registered unemployed in Moscow over the holiday period doubled," Mikhail Nagaytsev told Ekho Moskvy radio station.

Those who are officially registered as unemployed, plus those "who have been sent on unpaid leave, have had their working week cut, as well as the workers of companies which plan job cuts but have not yet announced them to the unemployment service" now total 290,000 in Moscow.

According to Nagaytsev that compares to 67,200 at the start of October. It amounts to around 2.4 percent of the city's 12 million population. For Russia as a whole, unemployment could double this year from around 5 million people in 2008, the Institute of Globalisation and Social Movement estimated on Monday.

(Reporting by Toni Vorobyova; Editing by Victoria Main)