Tag: pensions

  • September 18, 2019

    September 18, 2019

    DEADLOCK The Constitutional Court in Bucharest is to discuss today the notification filed by PM Viorica Dancila with respect to a possible conflict of powers, triggered by the Presidents refusing to appoint interim ministers. Last week President Klaus Iohannis announced he would not accept the reshuffling proposed by the Prime Minister, which he dismissed as “void and unsuitable. Last Wednesday Viorica Dancila sent the head of state a document nominating members of the Alliance of Liberals and Democrats for the vacant positions in Cabinet after that party left the ruling coalition last month. Also today, the Social Democratic Partys National Executive Committee convenes to discuss the situation of the Cabinet, which has many minister positions still unfilled.



    VISIT The prime Minister of Romania Viorica Dăncila received in Bucharest today her Polish counterpart Mateusz Morawiecki, for a second round of inter-governmental consultations between the 2 countries. This is the second inter-government meeting after the one in Warsaw last May, and it takes place in the context of the celebration of a decade-long strategic partnership, of 3-decades long democratic regime and of a century of diplomatic relations. The members of the 2 governments will sign a memorandum of agreement in major sectors, including infrastructure, energy, transport, communications, digitisation, entrepreneurship and the management of European funds.



    FESTIVAL In Bucharest, classical music lovers are invited today to concerts with highly appreciated artists, as part of the George Enescu International Festival. Todays programme includes a concert of the Lille National Orchestra, conducted by Vlad Vizireanu, at the Romanian Athenaeum. The soloists, Sergey Khachatryan, on violin, and Timothy Ridout, on the viola, will perform George Enescus Chamber Symphony for 12 instruments, Johannes Brahmss Violin Concerto in D major and ‘Harold in Italy’ by Hector Berlioz. The George Enescu International Festival, with Radio Romania as a co-producer, will continue until September 22, bringing together 2,500 of the worlds most celebrated musicians in 84 concerts and recitals. Bucharest and other cities in Romania and in Germany, France, Italy, Canada and the Republic of Moldova are hosting performances as part of this years Festival.



    BILL A bill on the taxation of special pension benefits, introduced by the Finance Minister Eugen Teodorovici, has been passed by the Senate today after being approved by the budget committee on Tuesday. The document concerns a 30% tax rate on special pensions ranging between approx. 1,480 euro and 2,115 euro, and a 50% tax rate on pensions above this threshold. Senators also decided that country presidents emoluments in excess of roughly 1,480 euro should be subject to taxation. The bill will be sent to the Chamber of Deputies, the decision making body in this respect.



    EMPLOYMENT Most EU citizens working part time last year (26% of the total) said they could not find full-time jobs, while another 24% chose part-time work because they were looking after children or incapacitated adults, according to data released today by the European Statistics Office, Eurostat. The highest percentage of people who were working part-time in 2018 because they did not find full-time employment was reported in Greece (70%), Italy (66%), Cyprus (65%), Bulgaria (59%), Spain (56.5%) and Romania (54.9%). The lowest rates were reported in Estonia (6%), Belgium, the Czech Republic and Slovenia (7% each) and Netherlands (8%). Around one-fifth of the total number of employed EU citizens had part-time jobs last year, accounting for 31.2 million women and 9.5 million men.



    ISRAEL The Israeli PM Benjamin Netanyahu and his challenger Benni Gantz are shoulder to shoulder, with 32 seats each in the new Parliament, according to Tuesdays election results after counting over 92% of the votes. Israeli mass media note however that none of them has enough allies for a governmental majority. Israel Our Home party, whose 9 seats in Knesset make it indispensible for a ruling coalition, proposed a national unity government, but its leader Avigdor Lieberman is one of Netanyahus opponents. According to Radio Romanias correspondent, Israeli citizens would not agree to a new election campaign, and the countrys president vowed to avoid a third early election.


    (translated by: Ana-Maria Popescu)

  • Plans to levy taxes on high pensions

    Plans to levy taxes on high pensions

    The Senate’s budget and finance
    committee has given green light to a bill to levy a 30% tax on special pensions
    amounting to between 7,000 lei, the equivalent in lei of 1,480 euros, and 10,000
    lei, that is 2,115 euros. Pensions higher than 10,000 lei are to be subject to
    a 50% tax rate. This measure initially formed part of a package discussed during
    a budget adjustment made at the beginning of August. The initiator of the bill,
    the finance minister Eugen Teodorovici:




    Pensions below 2,000 lei are not
    subject to taxation, as stated in the government programme. A 10% tax rate is
    levied on pensions higher than 2,000 lei and we will propose that a 30% tax
    rate be levied on pensions between 7,000 and 10,000 lei, on the amount in
    excess of 2,000, to avoid double taxation or overlapping.




    The finance minister has explained
    that where pensions are made up of different incomes, an individual declaration
    is necessary to state the exact nature of each of these incomes. He has also
    proposed an amendment to his own bill stating that the component of a pension
    based on the principle of contributivity should not be subject to taxation. The
    budget and finance committee also adopted a bill under which the pensions of
    former presidents of the country should be subject to the same tax rate system.




    The Liberal senator Florin Citu
    proposed another amendment, rejected by the committee, that all special
    pensions in excess of 5,000 lei should be subject to a 90% tax rate. We must
    show tax payers acting in good faith and who pay their taxes and receive an
    average pension of 1,100 lei that we will no longer tolerate these special laws
    that have sprung up like mushrooms, he said. In his view, Teodorovici’s bill is
    a populist move ahead of the election campaign for the presidential elections
    in November.




    Eugen Teodorovici first spoke
    publicly about the idea to levy taxes on special pensions in July, alongside
    another measure aimed at boosting budget revenues: restricting the number of
    free train journeys for students. As expected, the proposal was met with harsh
    criticism from those who benefit from special pensions, in particular
    magistrates, who said it infringes on the independence of the judiciary.




    The average pension in Romania at
    the end of July amounted to the equivalent in lei of around 251 euros. This
    makes Romanian pensioners among the poorest in the European Union, not to
    mention that the constant rise in prices seen in recent years has eroded their
    purchasing power even more. The pension point went up by 15% on the 1st
    of September, a measures that benefits 5 million pensioners who receive public
    pensions.

  • September 2, 2019

    September 2, 2019

    PARLIAMENT – The
    Chamber of Deputies and the Senate have today resumed their plenary sittings, their
    first after the Alliance of Liberals and Democrats has withdrawn from the
    ruling coalition. Alliance leader Calin Popescu-Tariceanu has resigned as
    Senate Speaker. Social-Democrat leader and Prime Minister Viorica Dancila in
    turn said her Government would move on. The opposition threatens to file a
    no-confidence motion. President Klaus Iohannis has rejected the nominations made
    by the Prime Minister for the positions left vacant by outgoing Alliance
    members of the Government and will soon respond to the nominations of interim
    ministers.




    PENSIONS -
    Pensions will be paid in their new increased format starting Monday, Labor
    Minister Marius Budai said today. Yesterday, the new pension law came into
    force, increasing pensions by some 15%. Five million pensioners in the public
    system will be benefitting from this increase. The opposition warns that the
    measure threatens to deepen the budget deficit, while the IMF has recommended
    Romanian authorities review the law.




    UNEMPLOYMENT -
    The unemployment rate in Romania at the end of July stood at 3.01%, by 0.49%
    lower compared to the same period of 2018, and by 0.06% higher than June this
    year, the National Employment Agency (ANOFM) reports. The slightly upward trend
    in the unemployment rate is influenced by the number of students who graduated
    forms of education and registered as unemployed. The total number of the
    unemployed stood at 262.044 people at the end of July, most of whom were
    reported in the rural area. As regards unemployment broken down in types of
    education, the number of unemployed people with primary or without any form of
    education accounted for the largest share, 29.61%.




    ENESCU FESTIVAL – The George Enescu
    International Festival continues with the London Symphonic Orchestra concert in
    the highlights. Over 2,000 members of choirs and instrumental orchestras will
    hold concerts and recitals in parks, museums, shopping centers and corporate
    buildings all across Bucharest. This year’s theme is The World in Harmony,
    while the artistic director of the festival is Vladimir Jurowski. Until
    September 22, Bucharest and other 10 cities in Romania and Germany, France, Italy,
    Canada and the Republic of Moldova will host events as part of the Festival.
    Over 2,500 of the world’s most valuable musicians will climb on stage in
    Bucharest to perform in one of the 84 concerts and recitals offered as part of
    the Festival.




    DORIAN – The
    northwest of the Bahamas Islands was battered by Dorian Hurricane, with wind
    speed peaking at 300 km/h. Dorian has destroyed buildings, cars and uprooted
    trees, also causing flash floods. The National Hurricane Centre in the United
    States has confirmed Dorian to be a Category 5 storm, the most powerful to ever
    strike this region. The United States has declared a state of emergency for
    states on the eastern coast with Dorian drawing near, the BBC reports.




    ELECTION IN GERMANY
    -The German far right reported a significant increase in the number of vote
    grabbed in the two regional ballots held in Germany, reporting over half of the
    votes grabbed in the previous election of 2014, according to preliminary
    estimates. The AfD Alternative for Germany, who has been criticizing German
    Chancellor Angela Merkel’s pro-immigration policy, is set for second spot in
    Eastern Saxony and neighboring Brandenburg, second to the CDU Conservative
    Party and the SPD Social-Democratic Party, respectively. Eastern Germany
    remains, therefore, a bastion of support for the AfD, which is less popular in
    Western Germany.




    TENNIS – Romanian
    tennis player Raluca Olaru lost in both matches played on Sunday at the US
    Open, in the women’s doubles and mixed doubles, respectively. Olaru was the
    only representative of Romania left in the competition. We recall Simona Halep,
    the number four seed in the women’s singles, was knocked out surprisingly in
    the second round by Taylor Townsend of the United States, who in the third
    round went on to eliminate another Romanian, Sorana Cirstea.


    (Translated by V.
    Palcu)

  • Public pensions go up

    Public pensions go up

    As of September 1, the value of the pension point, against which pension benefits are calculated in Romania, was raised by 15%. Five million pensioners benefit from the increase. The new law stipulates a gradual increase of the pension point value between 2019 and 2022, as well as the updating of millions of pension benefits paid at present.



    The new act also provides for including Ph.D. and M.A. programmes in calculating length of service, and the possibility to “buy a maximum of 5 years of service. Minimum pensions will only be paid to people who have contributed to the public pension fund for at least 15 years.



    Under the new law, the minimum guaranteed pension goes up from 640 to 704 lei. With an exchange rate of around 4.7 lei for the euro, Romanian pensioners remain some of the poorest in Europe, observers note, adding that over the past few years the steady rise in consumer prices has affected spending power substantially.



    Even so, on Friday the International Monetary Fund recommended that Romanian authorities revise the new Pension Law, initiate a sustainable fiscal consolidation process and improve the management of public institutions. IMF experts argue that the new law jeopardises fiscal sustainability. According to the IMF assessment, Romanias economic growth rate will stay at 4% in 2019 and drop to 3% in the medium run. Estimates also show that the countrys budget deficit is set to reach 3.7% of GDP this year.



    The Social Democrats candidate in this Novembers presidential election, PM Viorica Dancila, promised that the government has all the funds required to cover the measures taken by her Cabinet. She says the pension increase is an act of justice, and that never will a Social Democratic government measure pensioners incomes against macroeconomic indicators.



    Analysts are not surprised with this move, given that pensioners make up an overwhelming majority of the voters of the Social Democratic Party. On the other hand, the Liberal vice-president, Senator Florin Citu, whose party supports the incumbent president Klaus Iohannis for a new term in office, criticises the Prime Ministers statement. It is not true that pensioners incomes are not correlated to the macroeconomic deficit, the Liberal economist said in a Facebook post, and added that the recent budget amendment approved by the Finance Minister indicates the measure will result in an estimated 2.9 billion lei deficit in the public pension budget, and the actual deficit will likely be at least double the estimated figure.


    (translated by: Ana-Maria Popescu)

  • 02.09.2019

    02.09.2019

    Politique – Le Parlement de la Roumanie a entamé ce lundi sa 2e session ordinaire de cette année. Le Sénat doit élire un nouveau président, après que le leader de lAlliance des libéraux et des démocrates (ALDE), Calin Popescu Tariceanu, ait quitté ce poste, tout comme ses 3 autres collègues de parti occupant des fauteuils de ministres. Pour sa part, la première ministre et cheffe du PSD, Viorica Dancila, a déclaré que son parti restait au pouvoir et que son cabinet navait pas lintention de démissionner, malgré les instances de lopposition qui menace de déposer une motion de censure contre le gouvernement. Une fois que le PSD a perdu la majorité, le chef de lEtat, Klaus Iohannis, a demandé au gouvernement social-démocrate dobtenir une nouvelle confirmation de la part du Parlement. Il a aussi rejeté toutes les propositions de remaniement transmises par la première ministre.



    Retraites – En Roumanie, à compter du 1er septembre, la valeur du point de la pension de retraite a augmenté de 15% et le paiement effectif des nouvelles sommes commence dès ce lundi, a fait savoir le ministre du Travail, Marius Budai. 5 millions de retraités bénéficient de cette majoration. Lopposition estime pour sa part que cette décision approfondira le déficit budgétaire. A son tour, le FMI a recommandé au pouvoir de Bucarest de réexaminer la nouvelle Loi des pensions estimant quelle risque de mettre en danger la soutenabilité fiscale.



    Festival Enescu – La 24e édition du Festival international de musique George Enescu se poursuit en Roumanie. Aujourdhui à laffiche à Bucarest : un concert de lorchestre symphonique de Londres, alors que plus de 2000 choristes et instrumentistes donneront des mini-concerts partout dans la capitale. Le festival George Enescu se déroule jusquau 22 septembre non seulement à Bucarest, mais aussi dans 10 autres villes roumaines et 5 autres pays (lAllemagne, la France, lItalie, le Canada et la République de Moldova) ; lévénement a comme thème « Le monde en harmonie ». A Bucarest, quelque 2500 des plus grands musiciens du monde monteront sur scène pour 84 concerts et récitals. Sy ajouteront plusieurs conférences, lancements de disques et de livres et autres spectacles.



    Tennis – A lUS Open, la joueuse roumaine de tennis Raluca Olaru a perdu les deux matchs joués dimanche, tant au concours de double féminin quau double mixte. Rappelons aussi, que sa compatriote Simona Halep (n° 4 mondiale) a été éliminée de manière surprenante de la compétition par lAméricaine Taylor Townsend, 116ème mondiale, au troisième tour. La même Taylor Townsend a aussi éliminé du concours une autre Roumaine Sorana Cirstea, 106ème mondiale.



    Météo – En Roumanie la chaleur persiste en ce début de septembre, surtout dans le sud, et le temps est au beau fixe. Des pluies éparses sont signalées uniquement sur les montagnes, notamment sur les Carpates Orientales. Les températures maximales de la journée iront de 27 à 35 degrés. 29 degrés et du soleil à midi à Bucarest.


  • The new pensions law

    The new pensions law

    The Chamber of Deputies has adopted
    the new pensions law in the public sector in a re-examined version after being
    declared partly unconstitutional by the Constitutional Court of Romania. The bill,
    which has come under criticism from the opposition, which sees it as an
    election move, provides for a gradual increase in the pension point starting on
    the 1st of September, from the equivalent in lei of some 265 euros
    to 395 euros in 2021. Beginning in 2022, the value of the reference point will
    be indexed annually in keeping with the inflation rate and 50% of the real
    increase in the average gross income made, the bill also stipulates. The value
    of the minimum pension is calculated in relation to the minimum gross salary in
    the respective year.




    Persons with seniority of minimum 15
    years are to receive 45% of the minimum gross salary, with 1% being added for
    each additional year of employment. Persons with seniority of 10 to 15 years
    receive 40% of the minimum gross salary, again with 1% being added to their
    pension for each additional year of employment. The new pensions law also takes
    into account all salary-related rights that have been subject to taxation, such
    as indexations, global agreement, the 13th salary, extra time,
    bonuses, prizes and other types of bonuses. If a lower pension results after
    recalculation based on the new criteria, the initial pension is retained, plus
    10%. Four types of pensions are stipulated by the new law: old-age pension, early
    retirement pension, invalidity pension and survivor pension.




    The representatives of the ruling
    coalition formed by the Social Democratic Party and the Alliance of Liberals
    and Democrats say the new law creates order in the system and give assurances
    that no pension will be lower after the enforcement of the new law and that the
    standard retirement age will be maintained. The former labour minister and one
    of the initiators of the bill, the Social Democrat MP Lia Olguta Vasilescu,
    explains:




    This law increases pensions, it
    doesn’t make pensioners poorer. I’ve seen that some have tried to delay this
    law, but it’s very important to channel some of the increase in the state
    budget revenues to the population.




    The opposition says, however, that
    the new law will not eliminate the inequality in the system. Dan Valceanu, an
    MP from the main opposition party, the National Liberal Party:




    You said the law will benefit all
    pensioners, and that all of them will receive higher pensions. On the contrary,
    this law makes those who worked in difficult conditions receive an even lower
    pension and are punished by this new law, and those who have also worked hard
    are equally disadvantaged by this law and do not receive a bigger pension.




    The critics of the new pension law
    believe it is an election move.

  • The new pension law, endorsed

    The new pension law, endorsed

    Romanian MPs on Wednesday passed the new pension law with 193 votes in favor, one against and 14 abstentions. Benefiting from social security pensions are the people who contributed for at least 15 years to the system. People who contributed for at least 10 years can benefit from pension only if they complete the payment of contributions to the National Pensions House for another 5 years. As a novelty in the law, the persons with serious disabilities were included, alongside the visually-impaired, in the category of people who can benefit from pension if they contributed to the system for at least one third of the total period of contribution.



    The new law allows for the invalidity pension to be cumulated with other revenues. Another novelty in the new law is the possibility for women with at least 3 children, who have completed the minimum contribution period, to retire 6 years earlier. The law maintains the provision according to which the surviving spouse may opt for receiving 50% of the pension of the deceased spouse, and introduces a new provision according to which the surviving spouse can keep his or her pension and also receive 25% of the pension of the deceased.



    The law also stipulates that the MA and doctoral studies are considered non-contributory periods assimilated to the contribution period, on condition that the respective person obtains a graduation diploma. The initiator of the law, the former labor minister, Olguta Vasilescu, says that the pension point, following a multi-stage increase, will reach 1,775 lei that is 385 Euros by 2020 and has given assurances that no pension will be diminished following recalculation. Also, the pension point is expected to rise at almost 407 Euros by 2021 and as of 2022 a reference point will be introduced which will depend on the inflation rate and the gross average salary.



    Olguta Vasilescu: “We have eliminated the social security contributions from all pensions and we have also eliminated taxation of pensions below 2 thousand lei. For the pensions above 2 thousand lei, we lowered the tax from 16% to 10%. Therefore, we started fixing inequities even before this law was passed.”



    The incumbent labor minister Marius Budai says that the new law will do away with inequities among people who had the same profession and contributed the same amount of money but retired in different years. In exchange, the leader of the opposition Liberals, Raluca Turcan, claims that the law was intentionally made to include unconstitutional provisions, so as to prevent it from coming into effect.



    Raluca Turcan: “By requiring persons with disabilities to have a minimum contribution period to the system, you have introduced huge disparities despite the decision of the Constitutional Court. To put it plainly, if one of you becomes a person with disabilities, you need to have contributed at least 15 years to the system to get a pension.”



    The opposition announced they would challenge the new pension law in the Constitutional Court. At present, in Romania there are more than 5 million pensioners which means almost a quarter of Romania’s total population.

  • December 12, 2018

    December 12, 2018

    ATTACK — Romanian President Klaus Iohannis conveyed a message of condolence to his French counterpart, Emmanuel Macron, following Tuesday’s attack in the eastern French city of Strasbourg. Romania stands by France in its battle against those who threaten the lives of innocent people and our way of living, President Iohannis has said in his message. According to the Romanian Foreign Ministry there are no Romanian citizens among the victims and no consular assistance has been requested. Romania’s Consulate monitors the situation and keeps in touch with local authorities. Romania’s PM Viorica Dancila has firmly condemned, in a Facebook post, the attack on innocent people. Hundreds of police officers are hunting a gunman who killed three people and wounded 12 others in a shooting in Strasbourg on Tuesday. The suspect escaped after exchanging fire with soldiers and armed police. The shooting took place close to a popular Christmas market near one of the central squares, Place Kléber. The motive for the shooting remains unclear. Police sources said the 29-year- old suspect was born in Strasbourg and was already known to the security services as a possible terrorist threat. France had raised its security alert level to “emergency attack”.




    UKRAINE — State Secretary with the Romanian Foreign Ministry, Dan Neculaescu, has said in a message to the Ukrainian authorities that they must implement the Venice Commission’s recommendations as regards the education law. Romania says the law banning schools from teaching in minority languages beyond primary school level is unacceptable, as it deprives national minorities of the rights they have earned. The Romanian official’s position was presented at the 7th session of the Romanian-Ukrainian joint intergovernmental commission regarding the protection of national minorities, held in Bucharest. According to the Romanian Foreign Ministry, in spite of the efforts deployed, it was not possible to have the text of the session’s protocol agreed on and signed at the December 11 meeting. Dan Neculaescu has voiced confidence that the Ukrainian side will not take measures likely to restrict the rights of the Romanian minority in Ukraine. Almost 500 thousand Romanian nationals live in the neighbouring country, most of them on the Romanian territories annexed by the USSR in 1940 and taken over by Ukraine, as a successor state, in 1991.




    GAC – Romanian Minister-Delegate for European Affairs, George Ciamba, has taken over officially the mandate of president of the General Affairs Council of the European Union, at the end of a meeting with his counterparts, held in Brussels. Special attention was paid at the meeting to the 2021-2027 multi-annul financial framework, in preparation for the debates to be held by the European leaders at the European Council due on December 13-14.




    PENSIONS — The Chamber of Deputies’ final vote on the new pension law, scheduled for today, has been postponed, after having been green lighted by the Labour and Social Protection Committee on Tuesday. Some MPs in the opposition say this is due to the fact that the ruling alliance has not managed to gather enough votes for the bill to pass. Among its provisions is also the one saying that work experience worth 15 years is the minimum amount that qualifies a worker for a public pension.




    EU COUNCIL – The Romanian Senate and Chamber of Deputies convene in joint session today in Bucharest to adopt the declaration regarding the parliamentary dimension of the EU Council presidency that Romania is taking over on January 1st, 2019. Also today, PM Viorica Dancila is invited to present before Parliament the government’s priorities during the Romanian mandate at the helm of the EU Council. For six months Romania will be at the centre of the European decision-making process, at a time of complex international developments, such as Brexit and also the multi-annual financial framework and the European Parliament elections.




    HANDBALL – Romania’s national women’s handball team is today playing against Hungary in Nancy, their last game of the European Championship’s main groups. Scheduled in the same group are the games between Spain and Norway and Holland and Germany. On Tuesday evening Romania beat Spain, 27-25 and are now top of the table with 6 points. Following are Holland also with 6 points, Norway, Germany and Hungary with 4 points each. Spain are bottom of the table, with zero points. The first two teams of the group qualify to the semi-finals. Romania’s best result so far at the European Championship was the bronze in 2010.


    (Translated by Elena Enache)


  • December 11, 2018 UPDATE

    December 11, 2018 UPDATE

    TIME – Time magazine has collectively named Jamal Khashoggi and other killed and imprisoned journalists as its “person of the year” for 2018. The magazine gave the title, that goes to the person they see as the most influential over the past year, to “the Guardians and the War on Truth”. Those named also included the journalists killed in the mass shooting at the Capital Gazette in Maryland in June, two Reuters reporters jailed in Myanmar after investigating the massacre of Rohingya Muslims and Maria Ressa, a journalist in the Philippines facing tax evasion charges that she has called “political harassment”.




    SCHENGEN — The Romanian Foreign Ministry has hailed the adoption, by the European Parliament, of the resolution requesting to admit Romania and Bulgaria in the Schengen Area. The resolution was passed on Tuesday with 514 votes in favor, 107 against and 38 abstentions. The final call falls on the European Council, to the extent that the European Parliament green lighted the two states in June 2011, confirming its position several times. The two states have been prevented from joining by repeated objections from several other European states, for reasons of slow reforms in the justice system.




    LONDON – Custodian of the Romanian Crown Margareta and her consort, Radu, were received on Tuesday by Queen Elisabeth in a private visit in London. On Monday, at a dinner in their honor, the Custodian reaffirmed the close ties between Romania and the UK, mirrored by the interest shown by the British royal family in the Centennial of Romanias Grand Union. This was the first visit to the UK that Princess Margaret makes as the head of the Royal House of Romania. The visit celebrates the Centennial of the Romanian Union, and the centenary of the end of WWI. King Mihai I, Margaretas father, who passed away on December 5, 2017, at 96 years of age, was third cousin to Queen Elisabeth.




    PENSIONS — The Labor and Social Protection Committee in the Romanian Parliament passed on Tuesday the bill to restructure the public pension system, to be debated in the Chamber of Deputies, the decision-making body in this case. On November 26, the Senate passed it, after being introduced by the government. The bill aims to fix inequities in the system, such as large differences between retirees with similar work experience, but very different pensions. According to the new law, work experience worth 15 years is the minimum amount that qualifies a worker for a public pension.




    MACRON — French President Emmanuel Macron spoke on Monday night to the nation, under pressure to find a solution to the crisis sparked by the so-called Yellow Vest protests. He denounced the violence in the streets last week, and declared an economic and social state of emergency, issuing a series of promises. Among them are raising the minimum wage by 100 Euro per month starting next year, and pulling income tax on overtime. Press agencies comment that the crisis is still in effect, given the deep social inequality that the French feel, as well as a slide into poverty and lack of a voice. Macrons government is accused of siding with the rich, and the protesters vowed to continue their manifestations.




    BREXIT — British PM Theresa May on Tuesday started a tour of Europe in an attempt to save the Brexit deal she negotiated. She hopes to gain guarantees on the part of the accord that prevents a tough border between the Republic of Ireland and Northern Ireland. European officials in Brussels have offered no substantial change in what has been described as the best and only deal. According to the BBC, European leaders dont expect Theresa May to have much support for a renegotiation of the deal. The tour comes as the British premier announced a postponement of the vote in the House of Commons on the deal with the EU, admitting that it would be turned down if the vote was held now.




    MEETING – The meeting of Romania’s Supreme Defense Council was suspended on Tuesday in Bucharest by President Klaus Iohannis at the request of the Council members. According to the Presidency, the agenda of the meeting included important topics regarding the country’s defense and national security which generated extended talks. The meeting is to be resumed on December 19. Also discussed will be the army equipping for the 2019-2028 period, the participation of Romanian military in missions and operations outside the country’s borders and many others. The members will also set the timetable for the council’s activity next year. Recently, Defense Minister Gabriel Les said he might have to submit an analysis of the incident between Russia and Ukraine in the Sea of Azov, after submitting one to the Senate Defense Committee last week. Speaking on this issue, President Klaus Iohannis said that Romania was prepared to face any scenario, and assured Romanians that there were no reasons to worry.




    HANDBALL – The Romanian women’s handball team plays against Spain on Tuesday, in its second game in the 2018 European Championship group phase, with a third game scheduled for Wednesday against Hungary. To secure qualification from one of the top two positions in the group tables, Romania needs to win both games. On Sunday, Romania lost to the Netherlands, 29-24, in the first group phase fixture, its first defeat after the wins against the Czech Republic, Germany and Norway. The best result so far in this Championship was the bronze in 2010.


    (Translated by Elena Enache)






  • October 11, 2018 UPDATE

    October 11, 2018 UPDATE

    SOUTH KOREA – Romanias President Klaus Iohannis said in Bucharest on Thursday that Romania will further pay special heed to strengthening the EU-South Korea Strategic Partnership. He made the statement during the talks he had in Bucharest with the Chairman of the National Assembly in Seoul, Moon Hee-sang. On that occasion, the president underlined the special relations between the two countries, given that South Korea is the first Asian country that Romania established a Strategic Partnership with, 10 years ago. President Iohannis also encouraged all efforts to capitalise on the economic cooperation potential, also by attracting new South-Korean investments on the Romanian market. In turn, the Seoul official said Romania is currently one of his countrys most important strategic partners in South-Eastern Europe.



    TRANSDNIESTER – Romania supports a thorough, peaceful and sustainable settlement of the Transdniester conflict, with the observance of the sovereignty and territorial integrity of the Republic of Moldova, a former Soviet state with a predominantly Romanian speaking population, Romanian Foreign Minister, Teodor Melescanu said on Thursday. He met in Bucharest with Franco Frattini, Special Representative of the Italian OSCE Chairperson-in-Office for the Transdniester Settlement Process and the new head of the OSCE Mission in the Republic of Moldova, Klaus Neuekirch. Teodor Melescanu underlined, among others, that Romania will further pay special attention to monitoring the implementation of and compliance with the commitments made with regard to the situation of schools with Latin script teaching in the separatist region. Transdniester de facto got out from under the control of the central authorities in Chisinau in 1992, following an armed conflict which left hundreds of dead, and which ended with the intervention of the Russian army on the separatists side.



    TRANSPORTS – The Federation of Romanian carriers, FORT, has announced the resumption of transport activities across the country, after the relevant committee with the Chamber of Deputies announced it would organise a debate demanded by the protesters. Intercity passenger transport was severely disrupted in almost half of Romanias counties, where carriers protested the line ministrys plans to change the rules for the award of licenses. The protest was organised after the Transport Ministry announced it would change the scoring system for the companies taking part in bids for transport routes, on grounds that the current system has led to a monopoly in the market.



    JUDICIARY – The Public Ministry has all the resources required in order to make the Section investigating magistrate offences operational, the Prosecutor General Augustin Lazăr has announced. The statement comes after the Government passed an order on Wednesday regarding the establishment of that section, which is to take over all pending and finalised cases from the National Anti-Corruption Directorate, as of October 23. Augustin Lazăr said the act has already been made public in the Official Journal. Under the law, the new Section is to start working within six months after the law has taken effect, and the Higher Council of Magistrates is yet to initiate the procedures for making it operational. The new unit will be made up of 15 prosecutors, and its chiefs will be appointed further to a selection process run by a commission of 3 judges and a prosecutor from the Higher Council of Magistrates.



    PENSIONS – In Romania, a new Pension Bill is to be sent to Parliament, after having been passed by the Government. The Labour Minister Olguta Vasilescu says no pension will be reduced under the new law, nor will the standard retirement age and contribution period be amended. Novelties include the introduction of masters degree and doctoral degree studies as corresponding to pension fund contribution periods. The new law is to come into force in several stages until 2021, when it has taken full effect. Its provisions will regulate the benefits paid to over 5 million Romanian pensioners.


    CLARIFICATIONS – The Craiova University has not signed and does not intend to sign any Memorandum with the Diplomatic Academy of the Russian Foreign Ministry, the higher education institution in south-eastern Romania announced on Thursday. The University makes clear that it hasnt received any cooperation request from and does not cooperate with the Russian Foreign Ministry or other institutions from Russia, other than universities. The reaction comes after the spokesperson for the Russian Foreign Ministry, Maria Zaharova, quoted by TASS news agency, announced plans to set up a Russian-Romanian commission for public diplomacy and cultural-scientific dialogue. The setting up of the commission is reportedly stipulated in an alleged memorandum that the Diplomatic Academy of the Russian Foreign Ministry and the University of Craiova intend to sign to mark 140 years since the inception of diplomatic relations between Russia and Romania, TASS quotes Zaharova, as saying. (Translated by AM Popescu and D. Vijeu)

  • October 11, 2018

    October 11, 2018

    TRANSPORTS – Intercity passenger transport is severely disrupted in many counties in Romania, where carriers protest the line ministrys plans to change the rules for the award of licenses. The protest was organised after the Transport Ministry announced it would change the scoring system for the companies taking part in bids for transport routes, on grounds that the current system has led to a monopoly in the market. Carriers around the country are waiting for a meeting with PM Viorica Dăncilă, before they make a decision regarding future protests. Meanwhile, the Transport Committee in the Chamber of Deputies has invited the line minister, Lucian Sova, to provide explanations.




    JUDICIARY – The Public Ministry has all the resources required in order to make the Section investigating magistrate offences operational, the Prosecutor General Augustin Lazăr announced today. The statement comes after the Government passed an order on Wednesday regarding the establishment of that section, which is to take over all pending and finalised cases from the National Anti-Corruption Directorate, as of October 23. Augustin Lazăr said the act has already been made public in the Official Journal. Under the law, the new Section is to start working within six months after the law has taken effect, and the Higher Council of Magistrates is yet to initiate the procedures for making it operational. The new unit will be made up of 15 prosecutors, and its chiefs will be appointed further to a selection process run by a commission of 3 judges and a prosecutor from the Higher Council of Magistrates.




    PENSIONS – In Romania, a new Pension Bill is to be sent to Parliament, after having been passed by the Government. The Labour Minister Olguta Vasilescu says no pension will be reduced under the new law, nor will the standard retirement age and contribution period be amended. Novelties include the introduction of masters degree and doctoral degree studies as corresponding to pension fund contribution periods. The new law is to come into force in several stages until 2021, when it has taken full effect. Its provisions will regulate the benefits paid to over 5 million Romanian pensioners.




    COURT – The Constitutional Court of Romania is discussing today the notifications filed by the Supreme Court, the National Liberal Party, the Save Romania Union and President Klaus Iohannis against a bill amending the Code of Criminal Procedure, as it has been drafted and approved by the ruling coalition. The magistrates claim the text is fraught with ambiguities, whereas the Opposition says the bill helps favour offenders. Also today the Constitutional Court is to discuss the bill on the organisation of courts.




    BREXIT – German Chancellor Angela Merkel says progress has been made in the Brexit negotiations, just one week ahead of a meeting of EU leaders in Brussels for what might be one of the last chances to reach an agreement on the terms of the separation between Britain and the European bloc. Merkel said the 27 remaining EU member countries are very united and that they have great confidence in the EU chief negotiator, Michel Barnier. Negotiations are stuck particularly over the Irish border issue and ways to monitor trade over that border.




    FOOTBALL – Romanias national football team is playing today, away from home, against Lithuania, in the UEFA Nations League. On Sunday the Romanians will take on Serbia, in Bucharest. In the group standings, Montenegro and Serbia have 4 points each, Romania 2 and Lithuania nil. Depending on its performance in Nations League, Romania may have a better position in the draw for the Euro 2020 preliminaries. Moreover, if they fail to qualify, the Romanians might still have a chance in the play-offs, provided they finish at least 2nd in their group. Meanwhile, Romanias Under 21 team is playing on Friday against Wales, at home, and on Tuesday against Liechtenstein, in the last games of the 2019 European Championships qualifiers. Top of the group is Bosnia, with 18 points, followed by Romania. The last time Romania took part in a Euro Under 21 final tournament was 20 years ago.




    YOUTH OLYMPICS – The Romanian table tennis player Andreea Dragoman won the bronze in the womens singles event at the Youth Olympics in Buenos Aires. This is the 7th medal for Romania, which Wednesday night was ranking 7th in the nations with 2 gold, 2 silver and 3 bronze medals. Romanias Youth Olimpics delegation is made up of 34 athletes, 21 girls and 13 boys, competing in 14 events. The Youth Olympics in Buenos Aires conclude on October 18th.


    (translated by: Ana-Maria Popescu)

  • October 10, 2018 UPDATE

    October 10, 2018 UPDATE

    LAWS – The Chamber of Deputies in Bucharest has decided that taxes that an employer must pay for foreign workers will be reduced. The initiative was supported by all parliamentary groups, who emphasized the need for measures to reduce labor force deficit in several sectors of the economy. Employers will have the obligation to pay foreign workers only the minimum salary and not the average salary as it is at present. Procedures for the release of labor permits will also be simplified. Also on Wednesday, the Romanian MPs passed a bill on personal data protection. Both bills will be sent to the head of state to be signed into laws.




    BILL — The Romanian Government on Wednesday green lighted the public pensions system bill, that will be sent to Parliament for approval. Labor Minister Olguta Vasilescu has said that no pension will be slashed after recalculation and the standard retirement age will not be modified. The new law is aimed at increasing pensions and eliminating inequities in the system. Among other things, the bill stipulates that pensions will be paid only in keeping with each individuals contribution, and those whose seniority is the same, but retired in different moments in time, will get the same amount. The future law would be implemented in stages until 2021, benefiting more than 5 million Romanian pensioners.




    MOTION – The simple motion filed by the opposition National Liberal Party and Save Romania Union against the Economy Minister Danut Andrusca was dismissed on Wednesday by the Chamber of Deputies, following Mondays debates. The National Liberal Party claims that the ministers incompetence, proven by the evolution of the main economic indicators, is bringing Romania to bankruptcy. According to the Liberals, in nine months of office, Danut Andrusca has made no progress in solving the main problems of his ministry, carrying out an activity described as catastrophic.




    JUSTICE – Romanian Justice Minister Tudorel Toader announced that the Government passed on Wednesday an emergency ordinance for the setting up of the Section for the investigation of crimes in the justice system, made up of 15 prosecutors. Toader said that until October 23rd the Section will take over from the National Anti-Corruption Directorate all cases involving magistrates, including the ones solved in the past. The Justice Minister explained that emergency ordinance was needed given that, as of October 23, the National Anticorruption Directorate (DNA) has no competence, under the law, to investigate these offenses, and that the newly established section, on paper, without being operational, cannot continue investigations.




    FRANKFURT BOOK FAIR — Romania is taking part in the Frankfurt Book Fair. The Romanian stall, set up by the Romanian Culture Ministry, offers a series of events attended by writer Gabriela Adamesteanu, Radu Pavel Gheo, Robert Şerban, Jan Koneffke, Dana Grigorcea, Adriana Carcu, translators Jan Cornelius, Ernest Wichner and Georg Aescht, historian Adrian Majuru and others. A series of Romanian books translated into German will be presented. Also, writers Robert Şerban, Traian Pop Traian and Viorel Marineasa will take part in literary debates at Georgia’s stall, which is the guest country of this year’s edition of the fair.




    INFLATION – According to the National Statistics Institute, in Romania, the annual inflation rate reported in September dropped to 5.03% from 5.1% in August, against the background of prices going up. This year, the highest rate was registered in May: 5.41%. This is the highest level since February 2013, when the increase in consumption prices was 5.65%. In early August, the Romanian Central Bank revised downwards to 3.5% the inflation forecast for the end of this year. We recall that in August Romania registered an annual inflation rate of 4.7%, the highest in the whole of the EU, for the seventh consecutive month.



  • September 21, 2018

    September 21, 2018

    POLITICS – The leaders of the Social Democratic Party in power in Romania convene today, after a few top-level members signed an open letter requesting the resignation of Liviu Dragnea as president of the party and as speaker of the Chamber of Deputies. The authors of the letter claim Dragneas legal problems have turned into a major weakness for the party, particularly considering the forthcoming European Parliament and presidential elections due in 2019 and local and legislative elections scheduled for 2020. The signatories also request that PM Viorica Dǎncilă, the executive president of the Social Democratic Party, should act as interim president until the party holds a special congress. The president of the Social Democratic Party may only be elected and dismissed by the party members, in congress.




    INDICTMENT – The chief of the Romanian Gendarme Forces, col. Ionuţ Cătălin Sindile, and senior deputy chief col. Gheorghe Sebastian Cucoş, have been indicted today in relation to the anti-governmental protest of August 10th in Bucharest. They are investigated for complicity to abuse of office. The General Prosecutors Office has also summoned as suspects in this case major Laurenţiu Cazan, the chief of the Bucharest Gendarme Directorate, and chief commissioner Mihai Dan Chirică, secretary of state with the Interior Ministry. We remind you that during the August 10th protests violent clashes took place between the participants and the gendarmes, and the latter used tear gas and water cannons to disperse the crowds. Military prosecutors started a criminal investigation into the gendarme intervention. As many as 770 people filed criminal complaints. The interior minister Carmen Dan has recently stated that the protest was approached as an event posing risks to public order, and that the gendarme intervention was lawful.




    PENSIONS – The Government of Romania has discussed a new pension bill with representatives of trade unions and employer associations. This was the first 3-party meeting on the topic, organised in line with a special calendar agreed on for the endorsement of this law. PM Viorica Dăncilă says the new pension law will first and foremost address inequities in the public system. While the deputy president of the Romanian Employers Association Dan Matei Aghaton announced the organisation supports the new bill, the trade union leader Bogdan Hossu pointed out that some aspects, such as special working conditions, unfair employee penalties, and minimum wage increases, will have to be regulated by means of further pieces of legislation.




    ADOPTIONS – The Government of Romania has earmarked additional funds for child protection and has taken measures to encourage adoption. The goal is to step up the procedure for and extend the period in which a child is regarded as adoptable, and to reduce red tape in the field. New financial incentives have also been introduced. The adoption process in Romania is rather complex, and the country ranks among the last in Europe with only 800 adoptions per year, although the number of abandoned children is around 55,000.




    MEDAL – Princess Margareta, Custodian of the Crown of Romania, is to award today the “Nihil Sine Deo royal decoration to the US Ambassador to Bucharest Hans Klemm. Just like the King Michael I Loyalty Medal and the Cross of the Royal House of Romania, ‘Nihil Sine Deo’ is granted by decision of the chief of the Royal House. It was introduced in 2009 and it may be granted to leading social, scientific, educational, cultural, spiritual, economic, political and military personalities. The medal can also be awarded to Romanian or foreign current and former ambassadors having made a noteworthy contribution to Romanias international relations.




    BUCHAREST – This weekend, the Days of the City of Bucharest will be marking 559 years since the Romanian capital was first mentioned in official records, as well as 100 years since the Union of December 1, 1918, when Romanian provinces were united into a nation state. Major international musicians were invited to perform in the city, including pan flute player Gheorghe Zamfir on Friday and pop-rock star Rod Stewart on Sunday. On Saturday, the worlds best multimedia artists will display spectacular light and laser shows on the walls of the Parliament Palace. A symphonic concert and multimedia show opened the Bucharest Days series on Thursday night, when the fountains in the Union Square were reopened, after extensive revamping works. Built in the late ‘80s under the communist regime, the fountain system downtown Bucharest is one of the longest in the world, 1.4 km, with 16,200 m² water surface area.


    (translated by: Ana-Maria Popescu)

  • December 7, 2017 UPDATE

    December 7, 2017 UPDATE

    MOURNING Every evening until December 10th religious services will be held at King Mihai’s residence in Switzerland, where he spent most of his life in exile and where he also died, the Royal House has announced. In the country, Romanians continue to bring flowers and candles in front of the former royal palace in Bucharest and at the Elisabeta Palace, the late King’s residence in the capital city. The king’s body will be flown to the country on Wednesday, December 13th, and placed at the Peles Castle in Sinaia, in the southern Carpathians. On the evening of the same day, the coffin will be brought to the Royal Palace in Bucharest. The funeral will take place on Saturday, December 16th, in Curtea de Arges, southern Romania, where all Romania’s former kings are interred. The Government declared a national mourning on December 14th, 15th and 16th. On Monday, December 11th, the joint chambers of the Romanian Parliament will pay tribute to the former sovereign in a solemn session. The King of Romania between 1940 and 1947, Mihai I passed away on Tuesday, at the age of 96.



    EUROSTAT Romania saw the highest growth rate in the EU in the third quarter of this year, a revised estimate published on Thursday by EUROSTAT, the Statistical Office of the European Union, says. In the period between July and September, Romania’s GDP rose by 8.6% as compared to the same period last year. Romania is followed by Malta and Latvia in this ranking.



    FOOTBALL The National Arena in Bucharest will be hosting fixtures from EURO 2020 group C, UEFA announced after lots had been cast on Thursday. The other city designated to host group C fixtures is Amsterdam. The National Arena is also to host a round of 16 fixture and if Romania qualifies for the competition, it will play at least two games at home. The match to open the tournament is due to take place on the Olympic Stadium in Rome while the finals will be played on Wembley. EURO 2020, which marks 60 years since the first edition of the competition, will be hosted by 12 European cities.



    PARLIAMENT Draft laws, on the 2018 state budget and social insurances, are to be passed by Parliament in Bucharest on December 21st, according to a roadmap adopted by the two Legislative chambers on Thursday. After amendments are discussed by specialized committees over December 7th and 16th, another round of talks on the two draft laws is to be hosted by the two joint Parliament chambers, according to the newly approved roadmap. The state budget bill got government approval on Wednesday and is based on a forecast economic growth rate of 5.5% and a 3.1% annual inflation rate. According to the country’s Prime Minister, Mihai Tudose, it’s for the first time that Romania’s GDP has exceeded 200 billion euros, which allows for rises in wages and pensions.



    DECREE Romanian president Klaus Iohannis on Thursday signed a decree on the promulgation of a law that sets December 18th as the Day of the National Minorities in Romania. Under the law, every year on this occasion various cultural events are to be staged while the central and local authorities as well as the NGOs interested are to provide logistic and financial support. Public radio and TV stations are to broadcast shows and reports from the events taking place on this occasion.


  • August 7, 2017 UPDATE

    August 7, 2017 UPDATE

    VISIT – The French President, Emmanuel Macron, will pay a visit to Romania on August 24, at the invitation of his Romanian counterpart, Klaus Iohannis, the Presidential Administration announced on Monday. The agenda of talks will include ways to boost and deepen the bilateral relationship under the Strategic Partnership as well as major issues of European and international interest. The visit was agreed upon during a bilateral meeting between the two heads of state, on the sidelines of the European Council of June 23, when Emmanuel Macron accepted the invitation extended by Klaus Iohannis to continue their dialogue in Bucharest, the Presidential Administration also says.



    PARLIAMENTARY SESSION – Parliament will meet in an extraordinary session in Bucharest on Tuesday to vote on some emergency ordinances issued by the government last week. The emergency ordinances provide, among others, for increasing pensions only by adjusting them to the inflation rate, and for increasing the salaries of some Interior Ministry personnel. The government has also decided to establish a ceiling of some 1,900 Euro per month for the child rearing indemnity, as of September.



    SALARIES – The National Institute of Statistics released new data on Monday. Gross average wages went up by 0.8% in June, as compared to the previous month, up to almost 730 Euro, with net average salaries reaching 520 Euro. The highest wages are still in the IT and telecom industries, about 1,300 Euro, while the lowest are still in the hospitality industry, around 300 Euro. Data for May and June indicate that the increase in income was due to rainfall revenue.



    ANONIMUL FESTIVAL – The 14th ANONIMUL International Film Festival kick-started in the small town of Sfantu Gheorghe, in the Danube Delta on Monday. The special guest of the festival this year is the Mexican director Michel Franco, whose film “April’s Daughter earned him the “Un Certain Regard Award at the 2017 Cannes Film Festival. The one-week festival will end with an award gala, with the awards been established based on the public’s vote.



    UNTOLD FESTIVAL– The UNTOLD electronic music festival in Cluj, the biggest in the country, came to a close on Monday. The event is estimated to have gathered the largest audience since its inception in 2015. Around 200 Romanian and foreign artists performed on the 10 stages, the largest of which is 100 meters long and over 35 meters high. The festival was designated the best European festival at its first edition. In 2016, it had an audience of 300,000.



    TENNIS – Romanian tennis player Simona Halep, WTA no.2, has been designated top second seed in the WTA tournament in Toronto, Canada, with 2.4 million dollars in prize money up for grabs. Halep goes straight to the second round, where she will meet the winner of the game between the American player Madison Keys, WTA no. 21, and Croatias Mirjana Lucic-Baroni, WTA no. 30. No less than five Romanian players feature in the qualifiers, Irina Begu, Sorana Cîrstea, Monica Niculescu, Ana Bogdan and Patricia Ţig.


    .


    HEATWAVE –A code yellow alert against thunderstorms, torrential rain and hail has been issued for central, eastern and northern Romania, as well as for mountainous and hilly areas. The alert is valid until Wednesday. Rainwater may exceed 20 l/square meter in places, and even 40 l/square meter. The temperature-humidity comfort index will still be close to the critical threshold of 80 units in places, in the south of the country. Maximum temperatures will range between 24 and 36 degrees Celsius.