Tag: unitary pay system

  • March 5, 2017 UPDATE

    March 5, 2017 UPDATE


    UNITARY PAY LAW On Monday, the Romanian Labour Ministry starts talks with trade unions on the unitary pay system law. The first participants in the discussion will be representatives of the public order and health-care sectors. The line minister Lia Olguta Vasilescu has stated that incomes up to 4,000 lei (888 Euro) will double, those that exceed this cap will increase by 45% and salaries higher than 7,000 lei (approx. 1550 Euro) will be slightly raised. She has also said that the Government is open to any kind of discussions, but it would prefer to not amend the bill. As regards pensions, Lia Olguta Vasilescu has stated that the next raise is due on July 1st, when the pension point will go up to 222 Euro.



    USE REPORT Corruption continues to be Romanias biggest problem, reads the US Department of State country report on human rights practices in 2016. According to the report, bribe is a habit well spread across the public sector in Romania, laws are not always effectively implemented, and public officials, including judges, get involved in acts of corruption without being punished. Also, according to the document, immunity held by former and current ministers, who are also members of Parliament, has blocked many judicial investigations. The report also accuses the discrimination of the Roma population, the poor detention conditions and prison overcrowding, as well as the fact that there is too much political bias in the media. Politicians and groups of politicians either own or control many local and national media outlets, and their editorial policies reflect the views of their owners, the report also shows.



    EC REPORT The economic situation and the health-care and welfare systems are generating most of the issues facing Romania today, according to the country report drawn up by the European Commission based on Romanians views. Other problems identified by the Romanian citizens are the price rise, inflation and high living costs, as well as unemployment. In the second half of the year 2016, Romanias economic situation was perceived as being good and very good by a quarter of the Romanians. As regards expectations for the next 12 months, Romanians were less optimistic than at the end of 2015, with a quarter of the interviewees saying they expected the economic situation would improve, and 29% believing it would become worse.



    ROMANIAN JUSTICE The new Romanian Justice Minister Tudorel Toader has announced that in approximately one month he will submit a bill amending the criminal legislation in keeping with the Constitutional Courts rulings. In an interview on Radio Romania, he said that the bill will be debated and adopted in parliament. Toader says that, as regards abuse of office, there must be a delimitation between contraventional and criminal liability and this can be done only by setting a threshold of the damage. Toader took the office in February, after the serious political crisis triggered by the Governments attempt to amend the criminal codes and grant collective pardon under emergency decrees. The threshold set for abuse of office was the equivalent of some 45,000 Euros. The decision triggered the largest street protests in Romania after the 1989 anti-Communist Revolution so the Government withdrew the decrees, and their author, the then Justice Minister Florin Iordache, resigned.



    HEALTH SECTOR More than 14,000 physicians and 28,000 nurses left Romania between 2009-2015, and many of them are now working in different fields, according to the president of the Sanitas Bucharest Federation Viorel Husanu. In an interview to Agerpress news agency, he has stated that in the past two years the physicians exodus abroad has diminished, as they have started to be satisfied with the working conditions in Romania. In the trade union leaders opinion, the fact that many people in the sector are appointed for political reasons, starting with hospital directors and ending with chief of departments or even chief nurses, and the system being underfunded are still the main issues facing the Romanian health-care system. Viorel Husanu does not believe that bribe will disappear completely from the Romanian hospitals, but if incomes go up, the health workers will start giving up this practice.



    FOREIGN AFFAIRS COUNCIL On Monday, the Romanian Defence Minister Gabriel Les will attend in Brussels the proceedings of the Foreign Affairs Council. The agenda of the meeting includes current topics and focuses mainly on the implementation of the EU global defence and security strategy and measures to develop the common security and defence policy. The participants will discuss important topics on the European defence agenda, such as the on-going structural cooperation, a coordinated revision of defence, the operational and leadership capability and the EUs commitment to the common security and defence policy.



    MOLDOVA The former Governor of the National Bank of Moldova Leonid Talmaci has been placed under temporary arrest for two weeks. He is accused of abuse of office, membership to an organized crime group and abuse of trust. According to prosecutors, quoted by Radio Romania correspondents, the damage stands at some 700,000 Euros. Talmaci was the Governor of the Moldovan Central Bank between 1991 and 2009 and also the one who introduced the national currency, the Moldovan leu. He is seen as close to the current president of the Republic of Moldova, the pro-Russian socialist Igor Dodon, and was arrested just one day after being included in the Presidencys Economic Council.



    NATO Some 1500 soldiers and ships from 7 NATO member countries are taking part for a week in a large-scale exercise in the Black Sea. Poseidon 2017 is an exercise organised by the Romanian naval forces and brings for the second time to Constanta, the largest port on the Romanian Black Sea coast, a NATO Mine Countermeasures Group. Soldiers from Poland, Spain, Turkey, Germany, Greece and Bulgaria are taking part in the exercised alongside the Romanian soldiers.




  • The Week in Review: November 27-December 3, 2016

    The Week in Review: November 27-December 3, 2016

    December 1, the National Day of Romania


    Spectacular military parades were held on the 1st of December to celebrate Romanias National Day. The authorities also staged concerts, festivities, fireworks shows. The biggest parade was held in Bucharest and involved 3,000 military and experts from the defence and interior ministries and the Romanian Intelligence Service and hundreds of pieces of equipment and tens of planes, including the famous F-16 multi-role aircraft, the latest purchase by the Romanian Air Forces. Military detachments from Germany, the UK, Italy and Slovakia took part in the parade for the first time. Military from the Republic of Moldova, Poland, the US and Spain also took part in the festivities.



    At the reception given on the occasion, Romanias President Klaus Iohannis said: “I would like to convey Romanians a personal message: never doubt yourselves and Romania, dont let anyone question the values of our people, have faith in your strength and greatness. I believe that looking back at the past century we have a lot to be proud of and acknowledge our fulfilment as a nation.



    Prime Minister Dacian Ciolos said 1st of December 1918 is a miracle of history behind which there are people who could dream and tenaciously fought for the ideal of the Union.



    We recall that 98 years ago, in Alba Iulia, central Romania, representatives of the Romanians in Transylvania, Crisana, Maramures and Banat decided the union with the mother country of those provinces, owned, until then, by the Austrian – Hungarian empire. The decision marked the finalisation, at the end of WWI, of the setting up of the Romanian national unitary state, with all the provinces inhabited by predominantly Romanian-speaking populations getting under the authority of Bucharest.



    On December 1, the Romanians also received congratulations on behalf of the American people from President Barack Obama. The authorities in Washington emphasised that the USs Strategic Partnership with Romania is very important and that Bucharest remains a reliable partner within NATO, which plays a significant contribution to international peace and security.




    Decisions made by the Supreme Defence Council


    Romanias Supreme Defence Council adopted on Tuesday the strategy on the relations with the neighbouring Republic of Moldova.



    President Klaus Iohannis said: “ Our strategic objective is the European integration of the Republic of Moldova, by supporting its clear and irreversible orientation towards the EU and Chisinaus connection with the European institutions and true democracies, a process in which Romania can and should play the leading role.



    Also, the Supreme Defence Council decided to upsize by 500 the contingent of soldiers that are to be sent on missions abroad next year. The Defence Ministry will thus deploy 1,688 soldiers abroad, and the Interior Ministry will participate with 1,527 gendarmes and police officers.



    Decisions regarding the unitary pay system in Romania



    This week, the Romanian Government has drafted the bill on a unitary pay system in Romania. The government has proposed a gradual increase in the state employees salaries in the coming fiver years, as of mid next year. Employees with a special status, police and military staff would benefit from the highest rises, and in some cases their salaries will be up to 65% higher. Employees in the health-care system, education and welfare will also have higher salaries. According to a document submitted to trade unions for consultations, the minimum monthly salary would reach, incrementally, the level of 1,625 lei, as compared to 1,250 as it is today.



    Corruption and Confiscation



    Early in the week, the former secretary general of the Liberal Democratic Party, and later co-president of the Liberal Party, Senator Vasile Blaga, was sent to court for influence peddling. Also, the Chamber of Deputies should have voted on the lifting of Eugen Bejinarius immunity, for the National Anticorruption Directorate to be able to start his prosecution. A former secretary general in the Social-Democratic Government, between 2003-2004, deputy Bejinariu is accused of aggravated abuse of office. However, the voting did not take place, for lack of quorum, so the deputies will try to reach a decision on the matter next week. In parallel with the offensive against top-level corruption, its important for authorities to recover the losses and confiscate the assets obtained as a result of acts of corruption. According to the Justice Minister Raluca Pruna, by the end of October the state had confiscated assets worth some 4 million Euros. The money will benefit several ministries and NGOs.



    Romania in December



    It has become tradition for December 1st to be the day when public Christmas lights are switched on in Bucharest. All throughout the month of December Bucharesters and visitors can enjoy the over 3 million light bulbs lighting the capitals streets. Also, locals and visitors can admire the 25 m high Christmas tree, also lit by thousands of bulbs, placed right in the centre of the Christmas Fair organised near the Parliament Palace, the second largest administrative building in the world, after the Pentagon. The fair is hosting over 100 cottages, Santas cottage, an ice-skating rink, a carousel, traditional food and many gifts, as well as lots of shows. As part of the campaign titled “You can be Santa, too, people can donate toys and books for poor children. Season events will be held in December all through the capital but also in other towns and cities across Romania. (Translated by Mihaela Ignatescu)

  • Negotiations on the pay system in Romania

    Negotiations on the pay system in Romania


    The minimum wage in 2017 and the Law on the unitary pay system were topics addressed on Monday by representatives of the Government, trade unions and employers associations within the National Tripartite Council. No solution was found and negotiations in that format will continue shortly after the parliamentary elections due on December 11th. During the talks, trade unions proposed the increase of the minimum wage by 200 lei, that is 44 Euros in early 2017, while the government spelled out several scenarios, including an increase of one hundred lei, that is 22 Euros. T



    he president of the Cartel Alfa Trade Union Confederation Bogdan Hossu said at the end of the National Tripartite Council session:


    “Trade unions mainly tackled the increase in the minimum wage by 200 lei, that is from 1250 lei (277 Euros) at present to 1450 lei (322 Euros) as of January 1st 2017. Another meeting will take place shortly after the elections. The government resolution on the guaranteed minimum wage in 2017 will probably be endorsed during the December 14th session.”



    Starting next year, the level of the minimum wage is going to be established using a calculation system that a group of independent experts, proposed by stakeholders, is currently working on. This study shows how many people get the minimum wage in Romania, highlighting their exposure to poverty. Also, the study proposes several scenarios regarding the minimum wage and the impact that each of them would have on the economic environment.



    The Labour Minister Dragos Pislaru has stated that several steps are required for the minimum wage to be established, among which the centralization of the proposals made by trade union confederations and employers associations. As to the unitary pay system, he has said that 19.5 billion lei, that is 4.3 billion Euros should be earmarked to solve all inequities related to incomes in the public sector. According to a government press release, in 2017, the average pay rise out of public funds will stand at 37.3%, correlated with the forecast economic growth, and the ratio between the minimum wage and the maximum wage will be 1/13.



    The president will have the highest salary and the prime ministers salary will be cut down by 300 lei as compared to the net salary of 15.825 lei (3516 Euros) he received at the beginning of this year. Increases will also benefit hard-to-fill jobs (30%), for instance physicians and experts in the IT sector, to make up for the cases in which staff recruitment is difficult. The draft law is going to be forwarded to stakeholders in the run up to the consultations to be held at the Labour Ministry.