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Bechtel says lack of funding perspectives for 2010 forces it to lay off 700 people

de V.O.
Joi, 22 aprilie 2010, 18:54 English | Business

Bechtel company announced on Thursday that it planned redundancies affecting 700 employees because the Romanian state failed to cover its debt for the company's work at the Transylvania Highway. The lack of perspectives on 2010 funding of the works and late payments for works accomplished in 2009 would undoubtedly lead to a shorter works schedule and redundancies this year, a Bechtel press release says.

According to the company, the amount of work for the December 2009-April 2010 period was insufficient and employees were paid 75% of the base salary.

A decision was made to keep about 1,200 employees, with another 700 to be made redundant, Bechtel said.

Project manager Michael Swinford said talks would be held with representatives of the Romanian state to find a solution to return to the normal schedule of works.

Bechtel first announced about plans to limit its activity at the Transylvania Highway in February because of late payments for the works.

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