New regulations on public sector salaries

The Romanian government has introduced a new unitary payment scheme for public sector employees

Daniela Budu, 09.06.2016, 13:26

More than 650,000 public sector employees will see their salaries rise starting in September, following a government ordinance on unitary pay in the public sector. Thus, employees occupying the same position and having the same qualifications will now also have the same salaries.

Labour minister Dragos Paslaru explains: “Equal payment for equal work — this is the key principle we have applied, given that people with the same position and seniority working in the same office were paid differently because of chaotic legal provisions adopted in the past. We aim to address this situation across the entire public administration in Romania, in particular the central and local administration.”

Healthcare employees will see the biggest rises, because it is in this area that the biggest discrepancies have existed. Labour minister Dragos Paslaru: “There are major dysfunctionalities in the healthcare sector as far as salaries are concerned. We had to rethink the payment scheme to make sure that doctors with the same position and seniority have the same basic salaries, regardless of where they work across the country. We’re also working on a similar payment scheme for the education sector.”

This new piece of legislation will cost the budget around 200 million euros this year and some 580 million euros in 2017. Trade unions in the education system have demanded bigger salary adjustments, but the government says it doesn’t have the money. As a result, teachers did not support the proposal of the labour ministry. Most of their dissatisfaction is not related to the content of the government ordinance itself, but the fact that the increases do not apply to more categories of employees. However, the ordinance has been received well by the trade unions forming part of Alfa Cartel. The president of this confederation Bogdan Hossu says the increase is the first step and that he expects the new government coming to power after the legislative elections this autumn to continue raising salaries.

Bogdan Hossu: “We have to take into account the fact that the new government will have the possibility, if it so wishes, to increase this allowance, which, I must emphasise, is within the economic growth rate.”

The government ordinance on public sector salaries has been adopted after several rounds of talks with trade unions and has even led to the resignation of the previous labour minister Ana Costea.

(Translated by Cristina Mateescu)