A Romanian trade unionist sharply criticized the government's austerity policies, which aim to reduce the excessive budget deficit, but have been met with public discontent and protests. The chairman of the National Trade Union Bloc, Dumutru Costin, called the state “irresponsible“ and called on the government “to get out of the current paradigm”, reports Digi 24 TV, BTA reported.
“The state is behaving today like an irresponsible state”, said Dumitru Costin after a three-hour meeting yesterday with Deputy Prime Minister Dragos Anastasiu on the topic of the second package of austerity measures, prepared by the coalition government of Ilie Bologian. The focus of the second package of budgetary and fiscal measures to reduce costs and increase revenues in the state is the efficiency of local administration and state-owned companies.
Dumitru Costin stated after the meeting with Deputy Prime Minister Anastasiu that the state wants companies and citizens to comply with their legal obligations, while it itself does not do so, and some of the state-owned companies are registering huge losses.
The union leader also called on the government to present the costs of the support that Romania provides to Ukraine and Moldova, at least as a percentage of GDP.
“The irresponsible state also has two lovers. One is called Moldova, the other - Ukraine“, commented Costin after the meeting in the government and added: “If you ask them, they will never tell you what the costs of state funds are, what share of GDP these costs are. At least that. Let's know what the Romanian state's money went for, how much of the GDP went to one partner and how much to the other“.
Romania has been providing financial support to the Republic of Moldova for years, amounting to hundreds of millions of euros. Since the beginning of the Russian invasion of Ukraine in 2022, Bucharest has provided humanitarian, logistical and military assistance to Kiev, but the Romanian authorities have not disclosed details about this, especially about military assistance. On Sunday, Defense Minister Ionut Moșteanu said that since the beginning of the war, Romania has been constantly helping Ukraine with equipment and ammunition, adding that "so far, there has been a decision not to announce certain aid".
In recent days, Prime Minister Ilie Bologian and Deputy Prime Minister Dragos Anastasiu have presented measures to reduce state spending on local administration and state-owned companies, some of which are generating huge losses.
Prime Minister Ilie Bologian announced a reform of local administration that will include reducing the number of employees in city halls, county councils and local police.
Deputy Prime Minister Dragos Anastasiu presented data this week according to which 266 state-owned companies (out of a total of 1,326) are generating losses worth 2.5 billion lei (one euro is exchanged for 5.07 Romanian lei). Anastasiou said that the planned reforms in state-owned companies include reducing the number of board members, reducing salaries, limiting bonuses and more.
The government has already passed a first package of fiscal measures in parliament, which envisages increasing fees and taxes in order to reduce the excessive budget deficit, which reached 9.3 percent of gross domestic product (GDP) last year.
Some of the measures will come into effect from August 1, and others from January 1, 2026. The government is preparing two more packages of measures, but is already facing public discontent and protests.
Union leader Dumitru Costin said after a meeting with Deputy Prime Minister Dragos Anastasiu that if the government wants to enjoy public trust, “the first thing it must do is to get out of the current paradigm“.
The unionist said that the “irresponsible state“ has been deceiving people for more than five years and that it itself does not comply with the laws, particularly those that provide for an increase in workers' incomes. At the same time, the state is declaring millions in losses. Therefore, according to him, it is “normal“ for the state to fall into the hole it is in now.