Number of unemployed might reach 600,000 in Romania in year-end

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Romania will have almost 600,000 unemployed people by the end of the year, according to the estimates of the National Employment Agency (ANOFM), which received from the companies no less than 15,000 notifications related to layoffs.

According to the Agency, the number of those who could be left without a job by year-end might even reach 800,000, which matches the estimates of the International Monetary Fund (IMF).

Late last week, Finance Minister Gheorghe Pogea stated that Romania would not reach an unemployment rate to be made of two digits, also mentioning that the unemployment budget will get 864 million lei in supplementary funds on the occasion of the budget rectification in August, to play the role of a ‘safety net.’

The official also added the unemployment rate might increase because of the restructuring in the public sector, but with the private sector being expected instead to show a more positive trend, on the background of the recovery of the economy, with a slight increase by 0-0.5 percent to be seen.

Pogea reminded that Romania is currently ranking 5th in the EU-27, with one of the lowest unemployment rates in such times of crisis, and 3rd, after the Netherlands and Germany, in terms of unemployment rate dynamics, even with the figure having in fact doubled, compared with the same interval in 2008.

According to data from the ANOFM, the unemployment rate stood at 6.3 percent in July, up by 0.3 percent on the previous month’s value and by 2.7 percent against the value in the same month a year before.
In end-July, the total number of unemployed stood at 572,562 people, a growth by 23,632 people on June.

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