Romania To Increase Public Sector Salaries By 15% In 2011 Compared To October Level

Romania's Government will increase the base salaries in the public sector by 15% in 2011 compared to their October level, while the minimum gross salary will be raised to 670 lei (EUR1=RON4.3079) from the current RON600, said Prime Minister Emil Boc.

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He said the salaries will be raised to the maximum level that can be sustained by the economy, given the financial crisis.

The unitary wage bill, presented by MEDIAFAX last week, states that public sector salaries will be increased by 15% in 2011, but they will still be 13.75% lower than in June 2010, when they were reduced through a Government Ordinance. The bill also says salaries will not be pegged to a wage grid next year.

Military personnel, police officers and prison employees with special status will receive increased wages, so that the higher level of contributions to the social security system, set through the public pension bill, should not lead to a lower or higher net monthly income for such public servants.

Romanian state workers won't get incentives, meal, gift or vacation vouchers next year either and overtime will be rewarded with days off instead of extra pay, according to the bill.

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