At present 7.6 million people in Romania have a job whereas over 11 million are inactive or unemployed. A census conducted last year by the National Institute for Statistics shows that the process of demographic aging has deepened from the previous census and the number of people above 65 years has increased.
The countrys population, which is presently a little over 19 million, has dropped by one million in the past decade. However, data shows an alarming tendency; the number of economically active people is going down whereas the inactive population remains the same.
Out of the all 42 counties, Bucharest included, 39 reported a decrease in the number of inhabitants, with the largest number in the capital city, 166 thousand.
Romania presently boasts an active population of 8.1 million people with 500 thousand unemployed, mostly among men.
Pensioners and social benefit recipients account for 40% of the countrys inactive population, while students roughly 32%. There is good news though: over 43% have graduated from high-school or other types of education such as vocational or technical training as compared to only 37% ten years ago. The number of illiterate is around 143 thousand and experts have foreseen major imbalances on the labour market and in the public pension system in the future. Sociologist Gelu Duminica believes that Romanias future doesnt look too bright against the present phenomenon of demographic aging.
Gelu Duminică: “At present we have a ratio of about 1.4 inactive persons for one active individual and the prediction is this ratio will be around 3.5 to 1 in the next 20 years. And that means an active person will pay taxes and duties to support 3.5 pensioners or people from other inactive categories. Right now we have a pension deficit of 2 billion Euros and imagine how things will be at the 3.5/1 ratio. So, you will no longer be able to sustain the whole thing unless you adjust the pension system. To put it bluntly, my generation will no longer have the pensions that pensioners have now but will see a visible process of pauperization. There is no magical solution for the moment if things keep going like this.”
Gelu Duminică sees two medium and longterm solutions to this situation. The first will be to support young families through various fiscal facilities and the development of kindergartens encouraging them to have children. The second solution would involve incentives for the Romanians abroad, which would convince them to come back. The 2022 census has been the 13th in Romanias history and the first in a digital format.
(bill)
