In recent months, one of the most widely discussed topics in the public sphere has been the situation on the labor market, particularly the effort to address workforce shortages through the recruitment of foreign workers. The issue is indeed serious, as many companies are experiencing an acute lack of labor, which negatively affects both their development potential and the overall growth prospects of the national economy. Not to mention the impact on the investment climate, since the availability of a sufficient number of qualified workers is a fundamental indicator for foreign investors.

At present, the situation looks as follows: the number of employed people in the Republic of Moldova stands at around 774,000, with approximately one-third of them working in the public sector. At the same time, according to statements made by public officials, the labor shortage has reached roughly 300,000 workers. Only a very small portion of this deficit is being addressed through the employment of foreign workers. During the first half of the current year, their number reached approximately 5,000. These are individuals holding official residence permits for employment purposes. Most of them come from India, Türkiye, Uzbekistan, Bangladesh, and Nepal. The majority work in Chișinău, Bălți, and Cahul, as well as in smaller towns such as Rîșcani and Leova. Foreign workers are primarily employed in construction, delivery services, hospitality (HoReCa), and agriculture.

Some commentators have expressed concerns that fully addressing Moldova’s labor shortage solely through foreign workers could pose certain risks for the country. Given that Moldova is a small state, it may not be able to effectively manage a large influx of foreign labor. This creates a kind of vicious circle: on the one hand, the Republic of Moldova needs additional labor resources, otherwise the economy will face serious challenges; on the other hand, a massive inflow of foreign workers could generate certain difficulties, even if the process is properly regulated and monitored.

In my view, it is therefore necessary to explore alternative solutions, and such alternatives do exist.

Personally, I believe that the first step should be a thorough assessment of labor demand across different sectors and geographic regions in order to obtain an objective picture of the situation. Based on the findings of this assessment, the authorities should launch a large-scale national workforce retraining program.

According to official estimates, around 268,000 working-age citizens in the Republic of Moldova are currently unemployed. Many of them are not employed because they lack the qualifications required by the labor market, while others live far from the areas where labor shortages are most acute. Other countries have faced similar challenges and have partially resolved them through workforce retraining and the geographic redistribution of labor, supported by effective incentive measures.

In other words, the labor shortage can be addressed through a combination of measures: partly through the recruitment of foreign workers (while establishing a clear quota based on the state’s actual capacity to manage labor migration); partly through the retraining and redistribution of the country’s existing but economically inactive workforce; and partly through the repatriation of Moldovan citizens from the diaspora by implementing state programs that offer them a range of incentives and benefits.

I firmly believe that if consistent and concrete actions are taken in these directions, positive results will follow quickly, and concerns about potential medium- and long-term challenges will gradually fade away.

Viorel Godea

General Director, Lagmar