Most Public Sector Wages To Freeze In 2010 - Romanian Fin Min

Romanian finance minister Gheorghe Pogea said Thursday salaries for most public sector employees will freeze in 2010 and will be increased in 2011, while the average growth of the public sector wages will reach 56%.

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Imaginea articolului Most Public Sector Wages To Freeze In 2010 - Romanian Fin Min

Most Public Sector Wages To Freeze In 2010 - Romanian Fin Min

Pogea confirmed the unions' statements, namely that in 2010 the salaries of over 85% of public sector employees will freeze and only the ones below RON705 will grow. For the other public sector employees, salaries will be increased starting with 2011, and in 2015 the average growth of wages in the public sector will reach 56%.

The dignitary explained the unitary wage law aims to diminish the ratio between the lowest and the highest wage, which is currently at 29/1, and will be 12/1 once the law is enacted.

Representatives of Romanian union agree with the government's intention to take responsibility for the unitary wage law on September 15, if after six months they are allowed to make corrections in the normative act.

"Cartel Alfa" president Bogdan Hossu said after talks with labor and finance ministers Marian Sarbu and Gheorghe Pogea and with employers that he agrees with the government's intention to take responsibility for the unitary wage law, but the normative act should include an amendment according to which after six months since enactment the government will make corrections, which would remove current dysfunctions.

Hossu said he does not believe the minimum wage should be different from quotient 1 in the law.

"we are displeased with the policy on the minimum wage, which should be the basis for the draft law. We cannot continue to have two minimum wages on economy. We hope the minimum wage will be equal to the basic quotient in the salary grid," Hossu said.

The "Cartel Alfa" leader believes he can convince the public sector employees who announced strikes for October 5 to give up this form of protest.

The alliance of public sector employees, which includes 11 federations, does not agree with the current format of the law and maintains the protest calendar.

At the same time, employer representatives agree with the current form of the law and added the economy cannot currently sustain a RON705 minimum wage starting with January 1.

Before the meeting at the Ministry of Labor, prime minister Emil Boc met with ministers Marian Sarbu and Gheorghe Pogea to discuss the draft unitary wage law for the public system.

According to official sources, the government maintains its decision to take responsibility for the law pack that includes the unitary wage law, regardless of the protests announced Thursday by unions.

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