Moldovan Infrastructure Ministry says zero priority payment of salaries to employees of Railway of Moldova state enterprise, removing financial losses

The Ministry of Infrastructure and Regional Development (MIDR) and the management of the Railway of Moldova (CFM) enterprise have initiated several actions for the financial and operational stabilization of the enterprise, with zero priority being the payment of employees' salaries and the removal of financial losses. MIDR today made statements to this effect, in the context of protests announced by railway employees.

According to the ministry, in the past 10-15 years, CFM has been managed with much negligence and the situation emerged is a legacy of a lack of vision in management. Under these conditions, CFM's management is making every effort to improve the situation, with priority zero being the payment of employees' salaries and the removal of financial losses, MIDR said.

"MIDR supports the development and modernization of the railway sector, facilitating the attraction of foreign resources and promoting policies which support CFM's activities. The government of Moldova actively supports this process, but the current expenses, such as salaries, fuel, and other operational costs, cannot be fully covered from public funds. Our common goal is for CFM to become a financially independent company which operates on sustainable economic principles," reads a press release by the ministry.

According to the cited source, several actions have been initiated for the financial and operational stabilization of CFM.

Thus, authorities are investing in the modernization of railway infrastructure, with projects underway, with European support of 250 million euros, for the rehabilitation of key lines (Tighina-Giurgiuleti, Ocnița-Căinari), the reopening of the Fălciu bridge and the modernization of the Văleni segment.

At the same time, the process of transforming CFM into three distinct entities (infrastructure, passenger transport, freight transport) is in progress. MIDR says that this restructuring will allow for better management of activities and will facilitate the attraction of private investments.

Also, an internal audit and cost optimization have been initiated at CFM. More exactly, the Public Property Agency (APP) is conducting a detailed audit to identify and correct financial and operational inefficiencies, to manage the company's resources efficiently.

"CFM is a strategic enterprise for the national economy and the government stays  firm in its commitment to support the modernization process and avoid any risk of bankruptcy," MIDR said.

The Interim General Director of Railway of Moldova enterprise, Serghei Tomsa, informed that that clear details would be soon provided on the next steps and, in particular, on when salary arrears would be paid.

"We are going through an extremely difficult period and the lack of salaries for months on end is an unacceptable situation for you and your families. I fully understand your frustration and dissatisfaction and the protests outside the  government building represent a natural expression of this reality. (…) I know that every day without a salary is a hard day. I only ask one thing: let's stay united and trust that we can restore CFM together. This company is not just a workplace - it is an essential part of the country's economy and infrastructure. And you, the people who keep it moving, are essential to its future," said Serghei Tomsa.

Railway workers protested today, dissatisfied with salary arrears.