The Romanian Labor Redeployment
Program (LRP) was a multilaterally funded development program,
financed in part by the US Agency for International Development
(USAID), US Department of Labor (USDOL), World Bank (WB)
and the Romanian Ministry of Labor and Social Solidarity
(MMSS) and implemented by USDOL contractor, Worldwide Strategies
Inc.
(WSI). The program operated from 1997-2002 and was designed
as a social safety net for redundant (displaced) workers
due to the then newly elected Government of Romania’s
1997 reform program of privatization, restructuring and liquidation.
The LRP provided services to workers and communities heavily
affected by unemployment and mass layoffs, as well as technical
assistance to governmental institutions responsible for
dealing with unemployment, labor market adjustment and workforce
development.
The World Bank, USDOL, USAID and Government of Romania (MMSS)
agreed to joint funding of project, consisting of three main
components:
a) Technical Assistance to Ministry of Labor and National
and Local Agencies of Employment to build institutional capacity
to respond to layoffs and provide active employment services
to unemployed workers.
b) World Bank funded program to finance services (called Active
Employment Measures Program – or Active Measures) for
displaced workers, administered through the National Agency
of Employment. Fund totaled $8.5 million for 6 types of services
for workers.
c) Grants program to targeted communities, heavily affected
by unemployment, for 35 Local Economic Development (LED) projects
in targeted areas leading to job creation, workforce development
and economic growth.
Combined, results of the Labor Redeployment Program include,
but are not limited to, the following:
· 80,282 targeted workers (including
defense) participated or served in services (prelayoff services,
active labor market
programs and economic development projects)
· 18,635 Jobs Created
· 4,105 New business start-ups
· 3,673 partners and clients from local agencies of employment
trained (or participated in info session) in prelayoff services,
active labor market measures, local economic development and
media/public information training
· Of which, 1,385 partners trained in local economic development
· 644 public and private institutions assuming responsibility
for implementing worker adjustment programs (active labor market
measures and local economic development)
· 317 Local Agency of Employment staff trained and participating
in 3 national taskforces
·
35 LED projects, funded and completed – of which 24 are
active at project completion
·
Total value of local contributions to LED projects was $839,864 – representing
an 80% match to donor money
· 23 Small business loans disbursed with 100% repayment rate,
to date
· 6 new policies or regulations proposed and subsequently enacted
to support implementation of worker adjustment programs within
Romanian institutions
·
1 new NGO created (“MODEL") to continue to champion
efforts of workforce and community adjustment programs in Romania.