Romania Earmarks RON439M For Furlough Measures In 2010

Romania’s government will assign 439 million lei (EUR1=RON4.0805) to extend furlough measures in 2010 and expects 200,000 employees will benefit, Prime Minister Emil Boc told lawmakers Tuesday.

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Imaginea articolului Romania Earmarks RON439M For Furlough Measures In 2010

Romania Earmarks RON439M For Furlough Measures In 2010

The government has agreed to allow furlough in a bid to keep unemployment figures in check. During furlough, employees get 75% of their regular monthly wage and the state pays part of this wage and exempts employees and employers from paying social security.

Boc told lawmakers furlough measures allowed in 2009 helped about 5,500 employers and avoided the sacking of 260,000 people.

The prime minister said recently the government would pass a decree regulating furlough effective as of February 1. Furlough measures will be approved in a Cabinet meeting Friday.

Cartel Alfa union leader Bogdan Hossu said recently the government spent RON300 million on furlough measures in 2009 and about one million people benefited from the measure. Unionists have picketed the Finance Ministry for the past week calling on the government to allow furlough and help people keep their jobs.

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