CFM crisis: 600 workers on half-pay as Moldova rail debts hit €2.5M
Moldova’s state railway operator, Calea Ferată a Moldovei (CFM), has extended technical unemployment for 600 employees for a fifth consecutive month. The decision, announced on Monday, March 30, comes as the company struggles with rising fuel costs and systemic liquidity shortages.
CFM Director General Sergiu Cotelnic stated that the enterprise can no longer afford to accumulate further debt. Staff on furlough currently receive only 50% of their base salary.
"We are forced to maintain technical unemployment for another month," Cotelnic said. He expressed hope that fuel market prices would stabilise before the April 30 deadline.
The measure affects approximately 17% of the company's 3,500 remaining staff. Management cited the furloughs as a necessary alternative to mass redundancies during the ongoing corporate restructuring.
The financial decline of the state carrier dates back to 2009, following a sharp drop in freight volumes. The situation worsened significantly in 2022. The closure of Ukraine’s Odessa port drastically reduced railway transit through Moldova, severing a primary revenue stream.
By late 2025, CFM's wage arrears had surged to over 200 million lei (approx. €10.33 million). While asset sales of old rolling stock helped reduce this debt, current arrears still stand at 50 million lei (approx. €2.58 million).
The company is currently paying out December salaries. This financial pressure follows a major reorganisation in 2025, during which more than 2,000 employees were laid off to prevent total insolvency.
Translation by Iurie Tataru
