Moldova targets shadow economy with strengthened labor inspections
The European Union has launched a project to assist Moldova in tackling undeclared work and informal pay practices, often known locally as "envelope wages".
The EU-funded initiative is specifically designed to bolster the capacity of the State Labor Inspectorate, helping it conduct more effective labor inspections in line with European standards.
"A central pillar of this project is the fight against undeclared work. The State Labor Inspectorate has already achieved significant results, identifying over 6,000 individuals currently engaged in informal employment," stated Cristina Crețu, a principal inspector at the body.
To quickly integrate best European practices, representatives from Moldova’s State Labor Inspectorate are scheduled to undertake study visits to Spain.
Alejandro Nestor, General Director of the State Labor Inspectorate of Spain, emphasized the inspector's social role: "A professional inspector must recognise their commitment to society: to safeguard the social and professional well-being of the population. This involves, on one hand, enhancing occupational health and safety, and on the other, fostering the sustainable growth of compliant businesses."
In addition to regulatory improvements, the project aims to cultivate greater public confidence and cooperation among employers and workers.
"We plan to upgrade the digital system used by the State Labor Inspectorate. The entire programme is focused on supporting workers: ensuring decent work in Moldova, upholding labor rights, and promoting formal employment that directly boosts productivity and economic prosperity," said Natalia Plugaru, Minister of Labor and Social Protection.The project, which is fully financed by the European Union, holds a budget of $1.5$ million euros and has an implementation timeline of 30 months. It is a collaborative effort involving partner inspectorates from Spain, Slovakia, and Moldova.
Translation by Iurie Tataru
