Loading page...

Romanian Business News - ACTMedia :: Services|About us|Contact|RSS RSS

Subscribe|Login

Dumitru ( the Fiscal Council) : a decision of increase of the minimum salary must be taken only after an analysis of the implications in economy

170228101343download.png

A new decision for the increase of the minimum salary at the level of the economy should have as a basis the deep analysis of the implications in the economy, correlated with the weak performance of the industry over the last period,stated the chairman of the Fiscal Council Ionut Dumitru.

‘Before taking a decision, an analysis should be made with regards to the impact of this measure on economy (…) Maybe the analysis of the evolution of industry should be made as it performed very badly lately. Last year we had an economic growth of 4.8% and the industry had a growth under 2%.We should see if this evolution was not determined by the increase of the minimum salary’ Dumitru said.

He said that, starting from 2012 to the present, the minimum salary at the level of the economy doubled, and the pressure on costs and competitiveness is big enough, especially in the case of the companies with small added value. ‘ There are industries which registered big costs with the salaries and brought them to the limit of survival’ Dumitru said.

According to him, as a result of the increase of the minimum salary at the level of the economy, the report between the average salary and the minimum one surpassed 50% and is over the European average.

When referring to the intention of the authorities to increase the minimum salary from the state-run sector, Dumitru said that, in practice, the salaries of the budget-paid employees are already higher than those in the private sector, and such a measure would increase the gap between the two. ‘ After the amendment of 2010, the salaries in the state-run sector went under those in the private sector, but then the report was reversed and at present, the salaries in the case of state-run companies are higher than in the case of the private ones’ Dumitru said.

Moreover, even in the state-run sector,the increase of the minimum salary would make that the new hired employees get into the system with equal salaries or bigger than those of the employees with maturity and experience. ‘ It is true that there are areas in the budgetary sector where the salaries are still small, but there are areas where they are very big’ the chairman of the Fiscal Council said.

The ministry of work and social justice Lia Olguta Vasilescu mentioned in an interview for AGERPRES that the employees in the public sector will get to the minimum salary of 1,750 lei ‘ starting this year or starting the putting into practice of the unitary law of payment’.

More