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Labor minister: Should we fail to apply austerity measures we might have to apply new salary cuts of 30 to 70% in 2011

de V.O.
Luni, 31 mai 2010, 15:33 English | Top News

Romanian Labor minister Mihai Seitan said on Monday that the authorities were trying to find a way so that by 2011 public sector salaries return to the level before the cuts announced these days, but with a lower number of budget sector employees. He said that such a move would be possible only if payrolls are diminished in all budget sector structures by the end of 2010. In case of failure, new salary cuts of 30 to 70% may have to be applied in 2011, he said.

He said a program of measures would be launched together with trade unions so that layoffs in the budget sector be made on professional criteria.

Regarding pensions, he said that a new pensions law would come into force before the end of June and that by the end of the year the government would publish application norms so that they be applied on January 1, 2011.

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