Russia: Putin talks fiscal reform with trade unions chairman

"There is now a crisis situation, which has external and internal causes. Maybe we will deviate from the consistent economic policy which we relied upon all these years." Russian President Vladimir Putin held a meeting with Chairman of the Federation of Independent Trade Unions of Russia, Mikhail Shmakov, in Sochi on Thursday to discuss proposals for fiscal reform. Mikhail Shmakov expressed his concerns about Russia's financial situation and proposed deviating "from the consistent economic policy” followed "all these years” and reconsider proposals “to immediately raise the retirement age, [and] not to index pensions fully to inflation but only half or even less than half the rate of inflation,” Shmakov said there was a growing gap between rising prices and people’s incomes. “All this entails additional costs per family, per person; at the same time citizen's income is being reduced and so we face a gap,” he said.