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Romanian Railway Workers Call Off Strike Planned To Start Wednesday

Romanian railway workers have called off a full-blown strike planned to start Wednesday as the transport minister announced the budgets of the country’s three state-owned railway companies have been approved.
Romanian Railway Workers Call Off Strike Planned To Start Wednesday
Florin Badescu
22 mart. 2011, 12:48, English

Transport Minister Anca Boagiu said Tuesday the workers’ collective work contarcts will also be signed soon.

Union leader Gheorghe Fratica told MEDIAFAX the strike has been called off as the Government approved the railway companies’ budgets in Sunday’s Cabinet meeting.

„We’re expecting to be called for negotiations on new collective work contracts,” he said.

The minister said the debts and penalties amassed by the country’s tree railroad companies amount to 1% of gross domestic product.

„There is a restructuring plan and budgets have been approved. The Government wants to support these companies so that they can cover their debts with a capital hike, a state aid scheme, and cover their debts to energy suppliers,” said Boagiu.

She added the financial decline of railroad companies started in 2007-2008, when their budgets hadn’t been approved and they started amassing debts.

Railway workers went on a two-hour warning strike on March 16, calling for new collective work contracts, as the old ones had expired on January 31. They were planning to stage a full-blown strike starting Wednesday.