Pay Bonuses In Romanian Public Sector Limited To ‘Justified Cases’ – PM

He said the government has to adopt active, austere measures to counter the economic downturn, even if such measures will not be too popular on the short run.

The government cannot justify its existence unless it takes steps to eliminate economic difficulties and improve consumption/production ration, Boc said on the sidelines of an auto seminar organized by MEDIAFAX.

On Tuesday, officials of the Labor Ministry and social partners failed to reach an understanding over a draft ordinance that would eliminate bonuses and other indemnities for personnel in the public sector.

The talks were rescheduled for Thursday.

The World Bank recently recommended the authorities in Bucharest to apply several short-term measures with respect to public salaries, including limited wage hike, frozen hiring, and the implementation of a yearly strategy to eliminate pay bonuses.

In the lack of a coherent salary strategy, Romanian trade unions were able to come with excessive demands, the World Bank said in its recommendation.