Romania - Effect of increased minimum wage questioned - October 31, 2017

The gross minimum wage will increase by 31%, to RON 1,900 (413 euro), from 1 January 2018. The gross minimum wage currently amounts to RON 1,450 (315 euro). The net minimum salary will only increase by 4.3% or less than RON 50, as most of the social contributions that are currently being paid by employers will be transferred to employees starting 1 January 2018. However, most workers are afraid that their net salaries will even drop once the announced change according to which the whole social contributions will be transferred to employees will come into force. The announced social contributions transfer has triggered protests, with the biggest ones being staged by the employees from the public health, police, and transport departments. However, the government said it would move on with the tax change.

Read on: in English (1) …   in English (2) …   in English (3) …

For more information, please contact the editor Jan Cremers, Amsterdam Institute for Advanced Labour Studies (AIAS) cbn-aias@uva.nl or the communications officer at the ETUI, Willy De Backer wdebacker@etui.org. For previous issues of the Collective bargaining newsletter please visit http://www.etui.org/E-Newsletters/Collective-bargaining-newsletter. Since June 2013 readers can consult our archive and search through all articles in our database at www.cbnarchive.euYou may find further information on the ETUI at www.etui.org, and on the AIAS at www.uva-aias.net.

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