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According to the prime minister, the minimum wage will increase at a rate slightly above the annual inflation rate of 1.8 percent, around 3.1 percent in 2021., the government will make a decision on the matter at its meeting on Wednesday. He added that it was a compromise solution, as employers “most affected” by the coronavirus crisis suggested maintaining the minimum wage level at Monday’s meeting, and unions tried to achieve a minimum wage increase of around 7 percent.
According to the draft The gross minimum wage in Romania will increase by 70 lei and 2,300 lei (171 thousand guilders) next year, which corresponds to a net of 1386 lei (103 thousand guilders).
Here we note that the amount of the Hungarian minimum wage in 2021 is currently being negotiated, it seems that an agreement can be reached on Wednesday. The net minimum wage (excluding the family tax credit) is currently HUF 107,000 in Hungary.
The new government plans next year’s budget with a general government deficit of 7 percent of GDP. According to another, this value does not slow down the economy, but indicates the new government’s commitment to financial consolidation. Bucharest expects a general government deficit of 9.1 percent this year, but some analysts say the deficit could reach 10 percent.
At its first meeting on Monday, the center-right coalition government in Bucharest, which took office on December 23, adopted an emergency decree on the reorganization of ministries. Instead of the previous 16, there will be 18 ministries following the creation of an independent Ministry of Energy and the creation of a Ministry of Research, Innovation and Digitization, which will also take over the telecommunications area of the Ministry of Transport. Under the Emergency Ordinance, the responsibilities of the two Deputy Prime Ministers are determined by the Prime Minister.
In Romania, the National Liberal Party (PNL), which has ruled in the minority until now, the Saving Romania Alliance (USR) and the Freedom, Unity and Solidarity Party (PLUS), USR-PLUS and the Hungarian Democratic Alliance of Romania ( DAHR) have formed a joint government after the elections led by former Liberal Finance Minister Florin Citu.
Cover Image Source: Getty Images
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