IMF Asks Romania To Cut 250,000 Public Jobs On Medium-Term

Jeffrey Franks, head of the IMF mission to Romania, thinks that the number of public employees in Romania should be reduced by 250,000 people on the medium-term to match the numbers before 2006.

 

"Over the past three years, precisely between 2006 and 2008, the public sector added 250,000 employees. The figures must be reverted (to the ones before 2006). This can be done over a period of several years, not necessarily in just one year," said Franks.

 

The official added that the exact number of layoffs in the public sector for 2010 is not specified in Romania's letter of intent to a EUR13 billion loan with the IMF, but the layoffs are implicit.

 

According to Finance Ministry data, between December 2008 and February 2010, the public sector was reduced by 36,000 jobs, bringing the total number of employees to 1.36 million.