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Trade Unions and IMF analysed the economic situation of the country

25 June 2013: The board of the National Confederation of Trade Unions of Moldova (NCTUM) met on June 24, 2013 with the representatives of International Monetary Fund (IMF) mission and discussed about the actual economic situation of the country, salaries, pensions and social compensations.

The NCTUM Deputy-Chairman, Mihail Hîncu, declared that since the last meeting with the IMF representatives in 2009, there were observed some changes in the economic situation of the country, but there are still problems which need to be solved through International Monetary Fund.

“The trade unions continue to ask the Government and social partners for the establishment of a single minimal salary equal with the existence minimum – of 1500 lei per month. The IMF supports us in this concern, but it is necessary to create conditions of economy growth in order to obtain investments”, Hîncu mentioned.

The NCTUM Deputy-Chairman stated that there are still problems with the creation of job places, especially for the youth. “Although there are job offers, these are unattractive because of the poor salaries offered by the employers. Therefore, it is necessary to offer decent salaries to the population in order to guarantee a worthy future in the country”, Hîncu said.

At the same time, he specified that, unfortunately, the “black job” phenomenon continues to persist in the country. “At the insistence of NCTUM, the Government included in its action-plan the struggle against this phenomenon, but it is done little in this field and the “envelope” salary continues to be received by the employees. The enterprises with trade union organizations have a better situation, because it is insisted upon the fact that the employers should legalize the salaries”, the trade union leader mentions.

The trade union representatives requested the IMF to require the Moldovan banks to reduce the interest rate of economic agents credits, stimulating in such a way the country’s economic growth. The leaders of branch trade unions also suggested the IMF to supervise more strictly the money invested in Republic of Moldova and the Government to be more transparent in the distribution of money offered by the International Monetary Fund.

Nikolay Gueorguiev, chief of IMF mission, offered guarantees that he will continue to cooperate with the country trade unions and motivated the trade union leaders to insist at each Government’s session upon its representatives to offer the information requested by the NCTUM, concerning the distribution of money received from the IMF.

“There are two major problems now which we must focus on: the maintenance of the macroeconomic and financial stability in the country and the continuation of the structural reforms for the improvement of the economic climate”, Gueorguiev specified.

The chief of the IMF stated that it is necessary to gradually increase the salaries, in the limits of the available budget, in order to avoid a financial deficit in the country and face the situation of 2009. At the same time, the IMF representatives agreed with the trade union leaders concerning the big interest rates for bank credits. It is happening because of the great risks and the economic uncertainty of the country. But Gueorguiev offered guarantees that during several months the situation will get better and the credit interests will reduce.

Nikolay Gueorguiev, who activated during the last four years in Republic of Moldova, presented to the NCTUM board the new chief of IMF mission, Max Alier, clerk of IMF European Department. Alier stated that the institution he represents will further focus on subjects of common interest in order to overcome the challenges and realize the set goals in cooperation with Republic of Moldova.

Representatives of the International Monetary Fund mission were on visit in Chișinău during June 19-24 this year.

Trade Unions Informational Centre

this article has been tagged

New Independent States , Decent Work , Economic reforms , Sustainable economic growth policies , Moldova , IFIs , employment policies , Relations with international financial institutions , CNSM
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