Romanian President Says Budget Doesn’t Allow Paying Child Rearing Benefits For 2 Yrs – Sources

Romanian President Traian Basescu told coalition leaders in a meeting Monday the country’s budget resources don’t allow the keeping of child rearing benefits for the current period of two years and suggested parental leave should be shortened to one year, people at the meeting told MEDIAFAX.

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"The president said the current budget constraints don't allow the keeping of parental leave with benefits for two years and the period should be cut to one year," the sources said.

Talks on this issue have not been finalized and the Government will decide whether to lower or keep child rearing benefits unchanged after consultations with lawmakers of the ruling coalition parties Monday. Ministers will also present lawmakers with all the details regarding next year's state budget which the Government plans to approve later in the day and forward to Parliament.

Sources said the labor minister continues to support cutting the parental leave period to one year instead of two while the Hungarian minority party said it would accept a lowering in the cap on child rearing benefits to below 2,500 lei (EUR1=RON4.3110) from the current RON3.400 if the leave period is kept at two years.

"It has been agreed that a final decision is to be made after consultations with the coalition's parliamentary groups," they added.

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