EXCLUSIVE: Romanian Govt Mulls Collecting Social Security Contributions From Freelancers

The government is also looking at ways to include freelance professions into the public pension system, according to a document drafted by the Labor Ministry, which has been discussed by the government.

The document, signed by the labor minister, shows the draft law on the country's future unitary public pension system has been amended following talks with unions, employers, the International Monetary Fund, the World Bank, the European Commission, organizations of pensioners and following public debate.

The document, obtained by MEDIAFAX highlights the main amendments brought to the draft are lifting social security contribution exemptions for incomes from copyright and collaboration contracts; discouraging abusive early retirement on medical grounds; including new categories of beneficiaries, such as lawyers and clergymen, in the unitary public pension system.

The government also wants to go back to capping social security contributions at the level of five gross average wages, going back to the system used three years ago. In 2007, the government eliminated the cap on social security contributions.

Romania's 2010 social security budget takes into account a gross minimum wage of 1,836 lei (EUR1=RON4.1679).

The sources said the government has discussed these propositions, but further talks will take place between the Ministry of Labor and the Ministry of Finance.

Prime Minister Emil Boc said earlier this week talks on the unitary public pension system will start as soon as the Parliament adopts the 2010 state and social security budgets. The Parliament is expected to vote on the state budget Monday, January 11.

If you liked this story, please follow MEDIAFAX.RO on FACEBOOK »

The content of mediafax.ro is for your information only. Republishing or using this content is forbidden without express consent of MEDIAFAX. For this consent, please ask for it by mail at vanzari@mediafax.ro.