RRI Live!

Listen to Radio Romania International Live

The pros and cons of the unitary pay law

The unitary pay law has triggered fierce debates in Romania

The pros and cons of the unitary pay law
The pros and cons of the unitary pay law

, 04.04.2018, 13:51

The unitary pay law, which came into force in 2017, providing an increase in monthly incomes in the coming five years, started showing effects in January 1st this year. These effects however have triggered controversies and protests among employees in several fields of the public sector. When the law was promulgated, in June last year, the head of state Klaus Iohannis argued that sustainable salary increases were necessary, in order to improve peoples living standards and to do away with inequities and income gaps.



On Tuesday, President Iohannis invited the Prime Minister Viorica Dancila and the Labour Minister Lia Olguta Vasilescu for talks on the effects of the new law in the first quarter of the year, in relation to the principles and commitments assumed by the ruling coalition, formed by the Social Democratic Party and the Alliance of Liberals and Democrats. The President warned that, against the background of reckless fiscal-budgetary policies, incongruous with the overall dynamics of Romanian economy, people run the risk of seeing further drops in purchasing power.



In response to that, Prime Minister Viorica Dancila talked about the economic growth and the good results registered last year, which have improved living standards. She recalled that the average gross salary went up by 14%, and pensions grew by 18% as compared to the previous year. Here is Prime Minister Viorica Dancila:



Viorica Dancila: “Personnel expenditure has grown by 19%. This means that salaries in the public sector have grown by 19% as compared to 2017, which in turn means that 1.2 million families now have bigger incomes. Official statistics show that the purchasing power in Romania went up by 12.7% in 2017, in terms of salaries, and by 10.3% relative to pensions.



In turn, the Labour Minister Lia Olguta Vasilescu stressed that the new salary scheme will start showing its full effects as of 2022. On the other hand, though, the president of the National Liberal Party Ludovic Orban says that from the very beginning the Liberals raised an alarm signal as to the fiscal chaos created by the new salary law.



Ludovic Orban: “This law runs counter to the very principles that were presented as arguments in favour of the new law. The law has been by no means unitary; quite the opposite. One proof that the law is bad is that the government had to change it several times, by means of emergency ordinances and amendments to emergency ordinances.



Orban has also stated that, in fact, the unitary pay law has seriously discriminated against several categories of public sector employees, and mentioned the example of the public healthcare, where doctors salaries have been increased, but that has not happened for the other categories of staff in the system.


(translated by: Mihaela Ignatescu)

Photo unsplash.com
Today in the News Tuesday, 18 November 2025

The European Commission’s fall economic forecast

The European Commission’s autumn forecast shows that Romania’s economy is slowing down against the backdrop of austerity measures adopted...

The European Commission’s fall economic forecast
Photo: facebook.com/isudeltatulcea
Today in the News Tuesday, 18 November 2025

Preemptive evacuation in the Danube Delta

The Romanian authorities have decided to preemptively evacuate the population of two villages in the Danube Delta, near the border with Ukraine,...

Preemptive evacuation in the Danube Delta
Government headquarters (Photo: Guvernul României)
Today in the News Monday, 17 November 2025

Talks within the ruling coalition

Intense negotiations took place last week within the governing coalition, ending with an announcement that an agreement was reached regarding the...

Talks within the ruling coalition
Photo: alyoshine / pixabay.com
Today in the News Monday, 17 November 2025

Romania to boost its energy output

  A source of inflation and concern for most Romanian households, the high price of energy and how the Energy Ministry manages the problem have...

Romania to boost its energy output
Today in the News Friday, 14 November 2025

Moldova’s new Prime Minister in Bucharest

  Recently sworn in at the helm of Moldova’s government, Alexandru Munteanu made his first foreign trip on Thursday, to Bucharest. It is, in...

Moldova’s new Prime Minister in Bucharest
Today in the News Friday, 14 November 2025

Approval of the revised NRRP for Romania

Romania is preparing a new payment request, its fourth, to the European Commission, following Thursday’s approval of the revised National...

Approval of the revised NRRP for Romania
Today in the News Thursday, 13 November 2025

New National Defense Strategy

The central concept of Romania’s National Defense Strategy for the period 2025-2030 is “independence in solidarity”, announced...

New National Defense Strategy
Today in the News Thursday, 13 November 2025

Protests and Inflation

Thousands of members of the National Trade Union Bloc (BNS), one of the largest trade unions in Romania, protested again on Wednesday in central...

Protests and Inflation

Partners

Muzeul Național al Țăranului Român Muzeul Național al Țăranului Român
Liga Studentilor Romani din Strainatate - LSRS Liga Studentilor Romani din Strainatate - LSRS
Modernism | The Leading Romanian Art Magazine Online Modernism | The Leading Romanian Art Magazine Online
Institului European din România Institului European din România
Institutul Francez din România – Bucureşti Institutul Francez din România – Bucureşti
Muzeul Național de Artă al României Muzeul Național de Artă al României
Le petit Journal Le petit Journal
Radio Prague International Radio Prague International
Muzeul Național de Istorie a României Muzeul Național de Istorie a României
ARCUB ARCUB
Radio Canada International Radio Canada International
Muzeul Național al Satului „Dimitrie Gusti” Muzeul Național al Satului „Dimitrie Gusti”
SWI swissinfo.ch SWI swissinfo.ch
UBB Radio ONLINE UBB Radio ONLINE
Strona główna - English Section - polskieradio.pl Strona główna - English Section - polskieradio.pl
creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti
italradio italradio
Institutul Confucius Institutul Confucius
BUCPRESS - știri din Cernăuți BUCPRESS - știri din Cernăuți

Affiliates

Euranet Plus Euranet Plus
AIB | the trade association for international broadcasters AIB | the trade association for international broadcasters
Digital Radio Mondiale Digital Radio Mondiale
News and current affairs from Germany and around the world News and current affairs from Germany and around the world
Comunità radiotelevisiva italofona Comunità radiotelevisiva italofona

Providers

RADIOCOM RADIOCOM
Zeno Media - The Everything Audio Company Zeno Media - The Everything Audio Company