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Romanian Govt To Present New Measures To Boost Economy

Romanian Prime Minister Emil Boc said Saturday at the inauguration of the Lugoj eastern bypass road, southwestern Romania, that, in September, the Government will put forward a series of measures to uphold the country's economy.

The prime minister said that reinvested profit will not be taxed and the state will grant extra financial support to young entrepreneurs. Boc highlighted that the Government will ease the conditions that must be met by firms that hire unemployed people and make investments, in order to get financial support. The prime minister said the Government is currently drawing up a series of draft normative acts in this respect, adding the norms will be debated together with lawmakers. Regarding minimum wages, Boc said authorities still hold negotiations with unionists and employers and a decision will soon be made.

Minimum salary: Government suggests 640 lei, trade unions, 750 lei

During the talks with Premier Emil Boc on Friday the trade unions asked for a rise in the minimum salary nationwide to 750 lei, whereas the Government's suggestion was its increase from 600 to 640 lei.According to the trade union leaders, who attended a meeting with the Head of Government on Friday, the talks about this subject but also about the pay law will continue on Monday afternoon at the headquarters of the Ministry of Labour after a preliminary consultation of the Premier with the parties in the ruling coalition. President of the National Trade Union Bloc (BNS) Dumitru Costin said that the maintenance of the minimum salary at a low level was a masked form of maintaining tax evasion.

'The famous Law 330 will become history, a memory, as in September it will be replaced by another one. The 2009 salaries will not be reference salaries for 2011, reference salaries will be the current diminished salaries. As for the possibility to increase salaries, it must be subordinated to two sure goals: the 39 million lei wage fund and the 1,39 million employees. Consequently, some corrections can made for people at the bottom of the classification ... We were suggested 640 instead of 600 as a reference index for 2011. We have said that the maintenance of the minimum salary at a low level is a masked form of maintaining tax evasion,' explained Costin.

He emphasized the fact that about one third of the people working legally in Romania were paid very low salaries, 'it is a kind of grey area as they get the remaining money in an envelope.'The BNS president also said that the Ministry of Finance had several models of calculation, which will be presented to the trade unions on Monday, and then they will be able to see how far one can get on the salary classification.'We are talking about a new law to replace Law 330, but also about a law meant to enforce the pay law. Therefore, every year we are going to have a law that will establish who will benefit by salary rises in the year to come,' also said Costin.

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Tags: about salaries government trade salary minimum bns