The government’s proposal stipulates that salaries in the public sector would be adjusted considering only the forecast growth in consumer prices and would be granted as of the second quarter of 2009. In the second part of the year, wage increases will be considered depending on the evolution of the country’s economy in the first nine months and on labor productivity.
The head of the "Cartel Alfa" Union Confederation, Bogdan Hossu, told MEDIAFAX Wednesday evening that the government’s proposition has already been forwarded to unions by the Labor Ministry.
In its latest quarterly inflation report, Romania’s central bank revised its forecast for the consumer price index in 2008 and 2009, from 6.6% to 6.7%, and from 4.2% to 4.5% respectively, citing increasing uncertainty.