Romania Plans To Cut Child State Allowance For High Income Families

Romania is working on a law to cut state allowance for children coming from families with high incomes, Labor Minister Mihai Seitan said Friday, adding authorities have yet to decide on the maximum family income entitling children to state allowance.

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Seitan said the Labor Ministry plans to set income caps for all types of social allowance to ensure aid only goes to to people who really need it.

Seitan said the governing program states child allowance are to be increased but the Labor Ministry was allotted a strict budget to pay these allowances.

Therefore, a working group within the ministry is looking at ways to stop granting allowances to children coming from wealthy families, so that allowances for poorer children can be increased.

Labor Ministry secretary of state Mariana Nedelcu said the income ceiling to be taken into account when cancelling certain allowances has not been decided upon yet. The secretary of state also said child allowance might be amassed with the complementary allowance and the allowance for children from single-parent families.

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