The social fabric of Russia is undergoing significant changes, especially for families struggling with financial stability. Recently, the Russian government announced reforms to their social contract program aimed at enhancing support for multi-child families, families of military personnel, and those with low incomes, thereby signaling greater state intervention to improve living conditions.
On December 20, 2024, during the State Council meeting on social support, President Putin instructed the government to exclude the unified allowance from the income calculation when determining eligibility for social contracts. "This is logical, as both measures—social contracts and the unified allowance—aim to assist low-income families whose per capita income falls below the regional subsistence minimum and should not be mutually exclusive," noted Tatiana Andreeva, the Minister of Social Policy for Lipetsk region.
This pivotal change is expected to positively impact approximately 118,000 additional families each year across Russia. The social contract serves as a formal agreement between the government, represented by social protection agencies, and citizens with low incomes, facilitating avenues for economic empowerment through various avenues, such as securing employment, launching personal businesses, or overcoming challenging life situations.
Fast forward to February 24, 2024, where six families were officially issued social certificates enabling them to improve their housing conditions under the program. Alexey Gerasimov, the head of the Kamensk-Uralsky urban district, presented these certificates, highlighting the fact most of the beneficiaries are multi-child families. "Today, five out of six families present are large families. It’s uplifting to see so many children here. Some families have been waiting since 2012, 2019, or 2021 for this opportunity. It's heartening to know the third child can help improve their standing, allowing them to finally make a transition to improved living conditions," stated Gerasimov during the ceremony.
One such family benefiting from this new initiative is the Yandrenitsevs. Maxim and Anastasia Yandrenitseva planning to use their social allowance to mitigate their mortgage, expressed excitement about moving to the center of the city after purchasing their new apartment. “This will greatly benefit our children by allowing them to attend the local school and participate in various activities,” said Maxim, filled with anticipation.
Meanwhile, the Shmelev sisters, Milana and Ulyana, learned about their upcoming move just days prior. Their mother, Ekaterina Shmeleva, who has been on the waiting list since 2012, shared her delight. “It’s been a long time coming! Finally, each of our daughters will have their own room. They engage with diverse activities like Russian folklore, rock climbing, skiing, and even marksmanship training,” Shmeleva beamed, imagining their future bright and spacious home.
The government data shows this initiative is gaining traction, with social contracts being signed already; at the beginning of the year, 675 contracts were established, mainly focusing on seeking employment and opening businesses, indicating broad support for these families. The most popular options have included 372 contracts for starting businesses and 155 for employment searching.
This shift reflects Russia’s commitment to tackle poverty and improve the quality of life for its citizens, particularly among families with multiple children. While the path to economic stability remains uphill for many, the new systems put in place offer renewed hope and potential for lifting families above the poverty line through sustained government support and community engagement.