EMCC European Monitoring Centre on Change

Bechtel Romania

Company/Organisation:
Bechtel Romania

Geographic Location

Country: Romania

Company

Sector: Construction
Construction
42 - Civil engineering
Number Employed: 2300
Group: Bechtel

Employment Effects

Announcement Date: 03-02-2010
Planned Job Reductions min: 2233
Planned Job Reductions max: 2233
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-03-2010
Direct Dismissals: 2233

Additional Information

The American construction group Bechtel, contractor for a new Transilvania highway, has announced its plans to dismiss some 2,233 workers (1,933 Romanian employees and approximately 300 foreign employees). The company blames the redundancies on the financial difficulties of the Romanian Ministry of Transport and Infrastructure. The dismissals will be carried out from the beginning of March onwards. As of February there is no information on the timeline for these job losses.

The redundant employees will receive a compensation payment equivalent to 75%-100% of their basic salary over two months. About 500 million euro were paid by the Ministry of Transport and Infrastructure to Bechtel for the first 42 km of highway that has been so far completed.