New ways of inspecting businesses in 2025
On 1 January 2025, a new model of business inspections based on a risk-oriented approach will come into force in Russia. The law, passed by the State Duma and approved by the Federation Council, introduces significant changes to the Federal Law ‘On State Control (Supervision) and Municipal Control in the Russian Federation’, fundamentally changing the approach to control and supervisory activities. The law is designed to fulfil the President’s instruction to move from temporary restrictions on inspections to the full-fledged application of the risk assessment and management system.
The essence of the changes
The key innovation is the transition to a risk assessment and management system. This means that inspections will be carried out not on the principle of ‘scheduled inspection of everyone’, but on the basis of an analysis of the probability of violation of legislation by a particular business entity. High-risk entities that pose a potential threat to citizens or the economy will be subject to scheduled inspections. The rest of the organisations will undergo mandatory preventive visits.
Preventive visits
A preventive visit is not a full-fledged inspection, but an interaction between the control body and the business aimed at preventing violations. As part of the visit, the inspector will be able to:
- Provide counselling on compliance issues;
- Identify potential risks;
- Issue instructions to eliminate identified deficiencies (without applying penalties at this stage).
This approach allows businesses to correct mistakes in a timely manner and avoid serious consequences in the future. This significantly reduces administrative pressure on conscientious entrepreneurs.
Strengthening of control
Despite the general trend of reducing the number of planned inspections, the law provides for increased control in particularly important areas:
Payment of wages:
Close control over compliance with the timing and amount of wage payments to employees.
Personal data protection:
Strengthening supervision over the processing and storage of personal data.
Operation of management companies:
Closer control over citizens’ complaints about the quality of services provided.
These areas of activity are considered the most sensitive for citizens, and violations in them will be dealt with with particular rigour.
Remote forms of co-operation
The law expands the possibilities of using remote forms of co-operation between controlling authorities and business. This simplifies the inspection procedure and reduces time costs for both businesses and controlling authorities. It is expected to increase the efficiency of the control and supervisory measures and reduce bureaucratic barriers.
What does this mean for businesses?
For businesses, the new model of inspections means the need for:
- Increasing the level of self-control:
Conducting internal risk assessments and taking measures to minimise risks.
- Active co-operation with control authorities:
Timely response to requests and prescriptions.
- Compliance with legislation:
Strict adherence to regulations in its area of activity.