Chamber of Commerce, solutions to the qualified workforce crisis

"We don’t see today that they govern for business, we see that now the government target is the public sector," said on Wednesday the president of the Chamber of Commerce and Industry of Romania Mihai Daraban, in the opening of "Dual vocational education – the necessary workforce solution for the real economy" event.

The Chamber of Commerce and Industry of Romania (CCIR) hosted on Wednesday the event "Dual vocational education – the necessary workforce solution for the real economy".

CCIR supports the need to relaunch the dual vocational education through the implementation of a joint specific project able to reflect the conjunction of all the of the factors and actors involved, and to be oriented primarily towards the preparation and the management of the labor force and towards the proper adaptation of the qualifications to the real economy’s needs.

"The Romanian education system and the real economy are two parallel lines and the Ministry of Education stays quartered in specific traditions," said CCIR President.

"Us, the Chamber of Commerce, we are not and will not be involved in politics. Even in the statute, the Chamber of Commerce President may not even be a member of a political party. But we cannot not point out some slippage occurring and, at the same time, to point out that the Romanian education system and the real economy are two parallel lines. Economy suffered about three resets after the revolution and I would refer to the '90s, 2000-2007, when, in 2000, Mr. Isarescu as prime minister signed the pre-accession documents with the famous PHARE funds, and the third reset after 1 January 2017. Meanwhile, the Ministry of Education remained unfortunately stuck in specific customs, in labor force immobility from the inside, in the inadequacy to the real economy. The results, unfortunately, are settled today," said Daraban.

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According to him, the political decision-maker should copy the models of laws operating in other countries.
"In many cases, CCIR appealed to political decision-maker, I asked them from the heart, where they not good, to accept to copy the law model that works perfectly in the countries we aspire to reach the same level with. There are functional models on dual vocational education such as the one in Germany. We stubbornly reinvent the wheel and hot water for 27 years. It is the same with the public-private partnership law and there are endless examples," the CCIR official said.

"I was looking at some figures related to the profit rate in Romania and when you look that at 265 billion turnover of all the companies that have filed tax audit for fiscal year 2015 and you see a 7-8% profit rate, we realize that this is not a profitability in Romania. Companies should be helped so that the profit rate will subsequently flow into better and more competitive wages so that we can keep stable the workforce is. The government is the one having a role here, in infrastructure, in decreasing costs that the economic agent has got. Because ultimately we can only modify, it seems, the expenditure,” argued Daraban.

At the end of his speech, he pointed out that we currently do not see that they govern for the business environment, "we see that now the government target is the budgetary system. We look forward to the moment they will govern also for the business environment, we are waiting to hear in the public space, in addition to pension increases, to wage increases, people who migrate from the private sector maybe also to state institutions. I want to hear about GDP growth”.

Deductible expenses for operators

"At the moment there are rules in the Tax Code which are already published and available for consultation. They include various legislative provisions and several amendments to the Tax Code. (...) There are changes that we say they bring major benefits, there are changes following the consultation with the Ministry of Finance and with the Ministry of Research and also following debates and discussions, amendments to the Tax Code occurred.

There are basically deductible expenses granted to the operators who want to develop technical education and these deductible expenses refer to expenditures for scholarships, prizes, transportation, accommodation, including the costs for liability insurance or work security and health of those who, in their professional training, try to get a job. Also, there are treated as deductible expenses the material for supporting the work carried out during the training conducted at the trader, such as supplies, specific books and other material, educational software, costs related to the evaluation and qualification of students, equipment supplies and other expenses in this category. So another benefit that you can offer you, the operators, the possibility to train and provide skills to your labor force in the industry that you run and you can make this much easier," said at the same event, Ionut Misha, State secretary in the Ministry of Finance.

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