Russian aircraft manufacturer MiG, part of United Aircraft Corporation, may cut staff by about 1000, according to reports in Russian media.

"This summer 200 employees have already been laid off from test production, soon 500 administrative staff and employees of the Mikoyan engineering center will be laid off as well. Another 500 will be dismissed in 2018," the source of RNS said. The press office of MiG stated that "the optimization of the engineering and design staff was not carried out and is not planned."

According to the RNS source, MiG is optimizing staffing due to lack of orders. "Now they will finish the planes for Egypt, but medium-term prospects of the company are not important," added the source of RNS.

A source close to the leadership of the UAC told RNS that optimization will affect employees of the retirement and pre-retirement age, but incentive programs have been developed for them.

The press office of MiG confirmed the optimization of the number of personnel.

"In order to centralize support functions by transferring part of the production facilities from Moscow to Lukhovitsy and Nizhny Novgorod, in line with government objectives, workforce optimization was carried out, which in 2017 amounted to less than 5.4% of the total number of employees of MiG," the press office of MiG told RNS reporters. "This work will be continued next year and depends on the production program, which has not yet been approved," the company explained.

MiG explained that what is planned is not just the optimization of personnel, but also the transfer of production capacity from Moscow to other sites and the creation of new jobs for new projects.

MiG is a Russian aircraft manufacturer that unites Mikoyan engineering center, Fedotov flight test center, Kalyazinsky aerospace plant, Nizhny Novgorod Sokol aircraft assembly plant, as well as two manufacturing compounds. According to MiG, the total number of employees of all MiG production sites is more than 13 thousand people, of which about 40% can be categorized as young specialists (under 35 years).

In February 2016 the company introduced the new MiG-35 fighter, which is a deeply modernized version of the MiG-29 and is mainly designed for export. In addition, the company is actively working on the Perspective Long-range Interception Aviation Complex (PAK DA, MiG-41). 100% of MiG's shares belong to United Aircraft Corporation.