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Finance minister: Reducing salary fund by 25% would not bring the saving we need. It is necessary to cut individual state-supported incomes by 25%

de Alina Neagu, transl/adapt. C.B.     HotNews.ro
Marţi, 18 mai 2010, 10:49 English | Politics

Romanian Finance minister Sebastian Vladescu declared that reducing the salary fund would not bring the saving that Romania needs at the moment. Therefore it is necessary to cut individual state-supported salary by 25% each, he argued for TV channel Antena 3.

The Finance minister added that the agreement with the IMF, which is not designed for only the next two-three months, but one that "takes into account the need to have a fiscal and budget strategy over the next three years". For the first time, the next year's salary fund and the maximum number of employees that it can cover are specified.

"The is the six-seven months when the patronages and the Government should find solutions for the optimum mix between the number of employees, type of activity and type of salary. There is the need of a more simple system, with fewer steps and a smaller difference between the lowest and the highest salary, and to have a functional system starting January 1 2011. With this system, the 25% cut can be appeased, even eliminated for some, depending on the decisions taken within the structure supported by the public budget at that moment", Sebastian Vladescu declared, quoted by Romanian agency Agerpres.

The austerity measures package, proposed by the Executive and presented by Traian Basescu, is "the first and the best path" at the moment, Sebastian Vladescu says.


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