Tag: raise

  • Minimum Wages on the rise in Romania

    Minimum Wages on the rise in Romania


    As announced while the government was assuming responsibility for a new series of fiscal-budgetary laws, minimum salaries in Romania are to be raised by 10%, from 3,000 to 3300 RON, the equivalent of 660 euros. The beneficiaries of the new measures are over 1.8 million employees working mainly in transport, trade and SMEs.


    The aforementioned pay raise is aimed at protecting the income of every employee, at the same time boosting employment, the purchase power and curbing illegal work. Other social categories in the low income bracket, such as the handicapped and those involved with various independent activities and intellectual property rights, are to also benefit the new measure.


    This government will not give up on the priority of raising the minimum salary and we would like to have another raise in 2024, which we are going to discuss with social partners, the head of the Romanian Executive, Marcel Ciolacu has said. The Romanian official has also insisted that no minimum wages are to decrease in Romania upon the enforcement of the new fiscal-budgetary law package for which the government has assumed responsibility before Parliament. For this reason the Executive decided to scrap the draft ordinance on raising the minimum salaries in the construction sector as these salaries would have decreased upon the introduction of the health insurance contributions. As a result, employees in constructions, agriculture and food industry will have their salaries unchanged as they dont have to pay health contributions.


    Marcel Ciolacu:” According to the calculations the Finance Ministry presented on Thursday, upon the introduction of health insurance contributions for all employees, the minimum net salary in constructions, agriculture and food industry could have dropped. We have all, and especially I, pledged that such a thing is not going to happen as this is something I do not agree with. No minimum net pay was supposed to be trimmed, so we decided to cancel this ordinance to prevent this from happening. The field ministries are to revise the text and until then all the wages in the aforementioned fields, constructions, agriculture and food industry will remain unchanged as the employees there are exempted from paying health insurance contributions.”


    The government initially wanted to raise the minimum gross wages in constructions from 4,000 to 4,500 lei, the equivalent of roughly 900 euros, but the National Trade Union Block proposed that the gross wages in constructions be raised to 46 hundred lei and in agriculture to 35 hundred lei. The new form of the aforementioned ordinance might be high on the agenda of the new round of talks the government is going to have next week. Time enough for the Finance Ministry to recalculate the money involved.


    (bill)


  • Trade union protests

    Trade union protests

    Inadequate salaries prompted the employees of the Mechanical Plant and Arms Plant in Cugir, central Romania, to take to the streets late last week. The protest continued this week as well, when over 700 people marched the streets of the town between the 2 industrial units.



    They demand better working standards and an increase in salaries, which they say barely cover their heating and electricity bills. They argue they have not had a pay raise in 2 years. “(We are) Overworked and underpaid,” a female employee says, adding that after 40 years of work, in February she was only paid nearly 320 euro.



    “We will not give in,” and “Unity” were the protesters main slogans. They say they will not give up until their main demand, a 30% pay raise, is fulfilled.



    The Board of Directors of the Cugir Mechanical Plant convened on Monday and offered a 6.5% salary increase. The trade union leader Virgil Matei said people were not happy with the offer.



    The Cugir Mechanical Plant produces various types of weapons, 9mm automatic and semi-automatic pistols and accessories. The unit was set up in 1799, when the region was part of the Habsburg Empire, and was called the Steel and Iron Works. In 2004, the company split into the Cugir Mechanical Plant and the Arms Plant.



    The latter produces semi-automatic rifles, intended for hunting and shooting sports, for the civilian market, in particular in the US. In the military segment, the units produce AKMs for foreign markets.



    Trade unions in the steel industry have also gone on protest. The employees of ALRO Slatina (south) and ALUM Tulcea (south-east), 2 companies running on mostly Russian capital, picketed the government headquarters.



    The workers want a one-year cap on natural gas and energy prices, at the level reported for December 2020, as well as financial assistance for the companies that benefitted from state aid in the past.



    According to sources in the trade union, the slow-down in operations at ALRO Slatina has already triggered negative effects, leading to over 12,000 employees idled in various other industries.



    The leader of the “Aluministulˮ Union, Constantin Popescu, explained that ALRO Slatina has closed down two electrolysis units, with a 3rd one also preparing for shutdown, which is why nearly 500 people were made redundant.



    A total of 40,000 jobs in various related industries are jeopardised if ALRO Slatina downsizes operations, the union leader also said, and warned that the last 2 remaining units risk being closed down. According to Constantin Popescu, the government should help ALRO purchase energy at fair prices. (A.M.P.)

  • Trade union protests

    Trade union protests

    Inadequate salaries prompted the employees of the Mechanical Plant and Arms Plant in Cugir, central Romania, to take to the streets late last week. The protest continued this week as well, when over 700 people marched the streets of the town between the 2 industrial units.



    They demand better working standards and an increase in salaries, which they say barely cover their heating and electricity bills. They argue they have not had a pay raise in 2 years. “(We are) Overworked and underpaid,” a female employee says, adding that after 40 years of work, in February she was only paid nearly 320 euro.



    “We will not give in,” and “Unity” were the protesters main slogans. They say they will not give up until their main demand, a 30% pay raise, is fulfilled.



    The Board of Directors of the Cugir Mechanical Plant convened on Monday and offered a 6.5% salary increase. The trade union leader Virgil Matei said people were not happy with the offer.



    The Cugir Mechanical Plant produces various types of weapons, 9mm automatic and semi-automatic pistols and accessories. The unit was set up in 1799, when the region was part of the Habsburg Empire, and was called the Steel and Iron Works. In 2004, the company split into the Cugir Mechanical Plant and the Arms Plant.



    The latter produces semi-automatic rifles, intended for hunting and shooting sports, for the civilian market, in particular in the US. In the military segment, the units produce AKMs for foreign markets.



    Trade unions in the steel industry have also gone on protest. The employees of ALRO Slatina (south) and ALUM Tulcea (south-east), 2 companies running on mostly Russian capital, picketed the government headquarters.



    The workers want a one-year cap on natural gas and energy prices, at the level reported for December 2020, as well as financial assistance for the companies that benefitted from state aid in the past.



    According to sources in the trade union, the slow-down in operations at ALRO Slatina has already triggered negative effects, leading to over 12,000 employees idled in various other industries.



    The leader of the “Aluministulˮ Union, Constantin Popescu, explained that ALRO Slatina has closed down two electrolysis units, with a 3rd one also preparing for shutdown, which is why nearly 500 people were made redundant.



    A total of 40,000 jobs in various related industries are jeopardised if ALRO Slatina downsizes operations, the union leader also said, and warned that the last 2 remaining units risk being closed down. According to Constantin Popescu, the government should help ALRO purchase energy at fair prices. (A.M.P.)