IMF Keeps Initial Calendar For Romania’s Adoption Of Public Sector Pay Law But Is Open To Talks

Franks said after a meeting with the Finance Ministry that the IMF was misquoted by unions on Tuesday, adding the IMF maintains October 30 as the date by which Romania needs to adopt the wage law, but is open to talks on the matter with the government.

The president of union federation Cartel Alfa, Bogdan Hossu, said Tuesday after unions’ talks with the IMF mission, that the Fund proposed a delay in the adoption f the single unitary pay law for the public sector to allow to allow for an efficient social dialogue and simulations of how the law would work.

On the other hand, the head of Romania’s National Union Bloc (BNS), Dumitru Costin, said after the talks that postponing the initial term set for October 31 until after presidential elections would push to adoption of the law to “sometime in 2010" and costs with this law would increase.

"I think a postponement of the law would lead to increased costs. If the government wasn’t able from January to August to make assessments and see what costs and what jobs can be cut (…) a delay until after election translates into postponing certain decisions to avoid upsetting some politicians,” Costin said.

Romania has committed, in its two-year stand-by loan agreement with the IMF, to adopt by October 30 a single law regulating wages across the public sector.

Romanian Labor Ministry state secretary Valentin Mocanu told MEDIAFAX Tuesday that a decision on whether or not to postpone the adoption of the wage law would be made after the meeting of the IMF mission with Prime Minister Emil Boc.

In the meantime, the Labor Ministry was required to complete the draft law by August 14, Mocanu added.

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.