Octavian Calmîc: The salary arrears of the Railway – a systemic problem that must be solved with joint efforts

Arrears on salaries at the SE “Railway of Moldova” were the subject of discussions at the meeting of last week of the National Commission for Consultations and Collective Bargaining, after the representatives of the National Trade Union Confederation of Moldova (CNSM) had asked to be taken a number of measures that would discourage employers to accept salary arrears.

According to data from national branch trade union centres, the company where work about 10 thousand people, the amount of wage arrears exceeded 127 mln lei in the month of October 2016.

In 2015, branch trade unions concluded an agreement with the management of the company, which engaged to settle the salary arrears during a year. The agreement was not respected. After many protests of railwaymen in Balti, Basarabeasca, Ocnita, Bender, Revaca and Chisinau, which took place in July-September, the payment of monthly wages began, but there remained debts gathered from previous years that were formed due to inefficient management of state enterprise by the former leadership, trade union representatives say.

Iurie Chirinciuc, Minister of Transport and Roads Infrastructure, raised as the main argument the significant reduction in 2015-2016 of the flow of goods transported, due to the conflict between Ukraine and the Russian Federation, but also the lack of clear rates with Transnistria.

“When I was appointed, there were debts at Giurgiulesti International Free Port, and the Civil Aviation. Today we managed to liquidate them, remaining just the debts from the Railway “, he said.

In 2017 will start the process of reforming the enterprise, following which there will be dismissed 3000 employees. “Under the collective agreement, each employee dismissed by the employer, should receive 2000 lei per each year of employment, but due to the lack of money, we cannot do this, which delays the, “said Chirinciuc.

After the Ministry of Transport and Road Infrastructure, together with the Ministry of Finance, have renegotiated more than a year, the conclusion of refinancing contract with European Bank for Reconstruction and Development (EBRD), being also ratified the contract with the European Investment Bank (EIB) the problem with the debt will be finally solved, assured the minister.

He underlined the need to subsidize by the state domestic and international passenger transportation of the Railway. “All countries in the world subsidize this transport, while we generate annual losses. We come with initiatives, but the Government says it has no money. Let’s solve this problem together,” he urged.

Octavian Calmîc, Deputy Prime Minister, Minister of Economy and Chairman of NCCCB stressed that the debt problem of Railways is a systemic one, which must be resolved with joint efforts, through the public institutions, leadership and of the Council of administration. “The commitments made must be respected and realized,” he said.

In turn, Igor Crapivca, vice president of the Confederation of Employers of Moldova, noted the opportunity of initiating a retraining program for the railway employees that will be dismissed. Another issue requiring a special attention is the fact that in technical unemployment period, 60-80% of Railway employees are working in the informal sector, to maintain, he said.

We note that during several months of the year, the employees of the State Enterprise “Railway of Moldova” claim their rights, carrying out protests at work or in front of public institutions. Since the problems with the payment of salaries started, more and more railwaymen leave.

In an investigation of the Centre for Investigative Journalism, carried out recently at the order of the Foundation Friedrich Ebert Stiftung, the company management said that annually they attest a loss of 160 million lei, maintenance costs of hospitals in the railway sector is 20 million annually, and 40 million go every year for the health and social security. The same investigation shows that Moldovan Railway missed in previous years revenues of over 50 million lei only from the rental of wagons, money not reaching the state enterprise accounts, but those of dubious companies.

Department of mass media and international relations