Romania Transp Min Skeptical About 23.7% Wage Hike For Metrorex Employees In ‘09

"Metrorex employees obtained salary hikes in the fall of 2008, following negotiations on the collective labor contract, but the effects of past decisions will be felt this year. I do not think that wage hikes can be carried through, considering the company’s revenues will decrease this year. The labor contract may very well be observed until the company falls short of money and then, in the last four months, the employees will get nothing," Berceanu said.

According to a draft government decision approving the company’s 2009 budget of revenues and expenses, staff spending will be 26% higher in 2009, at 292.87 million lei (EUR1=RON4.1835), from RON231.83 million in 2008, while its salary fund will be up 23.7%, to RON199.51 million, compared with RON161.29 million a year before.

Moreover, the company’s average number of employees will be up 2.3%, at 4,253 people, from 4,157 people in 2008.

According to the draft, the company’s revenues are seen 14.5% higher in 2009, at RON618.82 million, from RON540.51 million a year before, while its expenses will by 5.13% higher on the year to RON618.82 million.

The company plans to invest RON278.12 million in 2009, from RON276.86 million in 2007. Thus, RON208.42 million will come from the state budget, RON68.64 million from own sources and RON1.06 million from foreign banking loans.