PM Bolojan expecting laying off 13,000 public employees to generate savings of RON 1.2-1.4 billion

Prime Minister Ilie Bolojan is expecting firing 13,000 employees from the local public administration to generate savings of RON 1.2- 1.4 billion annually.

He told Europa FM private broadcaster on Wednesday that if a 10% cut in the number of employees in the local administration were to be achieved, half of the local public administrations would have to lay off staff.

According to him, "at least a third" of the small towns in Romania do not even cover the wages from the revenues collected from citizens.

The prime minister said that a city hall with "surplus" staff has to make staff cuts.

"Every RON saved - from the largest settlement in Romania to the smallest - means money, which, after that, the national budget does not distribute to those settlements. Or money that they use to change the face of these settlements. Any RON saved means money that goes into investment," he said.

Bolojan added that such a measure would also have a "moral" impact, because the trust of those who contribute to the national budget will be regained only when they see that public money is not wasted.

"When people see that part of the money they pay goes down the drain, they can't voluntarily pay for things. And then they seek to fiscally optimise their payments, to run away from paying taxes, because no one wants to pay taxes knowing that that money is used on all kinds of things that do not mean plus. So, it is also an aspect of equity, morality and the ability to make decisions in other areas," he added.