Political

Minister Buzu Tackles Moldova's Informal Work Issue

Approximately 22% of individuals employed in the workforce are engaged in informal work, as declared by Minister of Labor and Social Protection, Alexei Buzu, during an interview on Radio Moldova.

Mr. Buzu emphasised that the issue of undeclared work constitutes a complex matter that has long been overlooked. Presently, governmental efforts are aimed at reducing the informal economy and integrating those able to work into formal employment.

"We are confronted with a fundamental issue when certain employers and employees make a deliberate decision not to contribute," explained Minister Buzu. "In response, the government seeks to intervene in a manner that provides the necessary incentives and tools to motivate employees and employers in Moldova to transition to formal employment. Strong institutions are essential in this endeavour." Minister Buzu further noted a reduction in the number of social assistance beneficiaries classified as unemployed, down to 11,600 in April 2023.

A government initiative, "Moving to Formality", inspected over 320 companies in 2023. The campaign found that roughly one in five workers lacked formal employment contracts. However, following the campaign's interventions, more than half of these workers transitioned to formal employment by signing contracts.

Translation by Iurie Tataru

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