Romanian President, Government To Discuss Public Sector Layoffs Next Week

Romanian President Traian Basescu said Monday evening, on B1TV, that he will summon the Government to the Presidency headquarters next week to discuss public sector layoffs and funding for infrastructure projects.

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Basescu said he has looked over official statistics and found the Government has not delivered on its promises to reorganize the state apparatus through layoffs. Therefore, he has decided to hold a meeting with the Cabinet at the Presidency headquarters in Cotroceni Palace next week. The issue of infrastructure funding will also be on the agenda.

Last month, Prime Minister Emil Boc asked his Cabinet to prepare the second stage of the public sector restructuring process, to follow last summer's reorganization of government agencies. The move will entail layoffs to lower public spending.

The Government pledged to reduce staff expenses by 0.2% of GDP in 2010, through layoffs in the public sector, in negotiations with the IMF for the disbursement of the 3rd and 4th tranches of the loan.

In August 2009, the Government decided to reorganize and merge government agencies, so that the country's 223 agencies were reduced to half and 7,800 jobs were scrapped.

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