The increase of the minimum wage to 3,000 lei from January 1, 2023 is viewed differently by employers and trade unions, who, while agreeing that the increase is necessary, had different proposals at the Victoria Palace on Wednesday asking for additional guarantees from the Government. No decision has been taken, further discussions will take place on Monday or Tuesday.

Unions and patronages under the governmentPhoto: Hotnews

What employers are saying: In our proposal, the net salary would be higher than that offered by the government. A necessary condition

Employers’ representatives were the first to submit their proposals to the Government.

Florin Jianu, President of the National Council of Small and Medium Enterprises:

  • “Our proposal was that in 2023 the salary would be 3,000 lei with contributions frozen at 2,550 lei so that people would actually earn more, meaning a net profit of 1,963 lei compared to 1,800 lei in the public proposal I saw, but the Government on the moment does not suggest that the minimum wage should be 3,000 lei, with 200 lei exempt from taxes and fees.
  • We all know that from January 1, 2023, the minimum wage must be increased. I want to reject the approach that employers do not agree with raising the minimum wage for the economy. Moreover, in our proposal, the net salary that people receive would be higher than that proposed by the Government.
  • The condition that we set and raised regarding the increase of the minimum wage is to keep the rise in energy prices under control. Currently, we receive dozens and hundreds of reports that there are abuses regarding energy contracts, increases of up to 5 lei per megawatt.
  • What we demanded from the Government is to find a compensation scheme for small and medium-sized enterprises, those affected by high electricity prices, before the new decree comes into force on January 1, i.e. within a reasonable period of time to get a tentative calendar for the Fund modernization, which provides Romania with 12 billion euros, which will ensure energy independence.” Florin said to Jiang.

Radu Burnete, Executive Director of Concordia Employers Confederation:

  • “And we, in principle, agreed to increase the minimum wage. What we have asked is that for this amount by which the minimum wage is increased, 450 lei, the deductions should be applied to the entire wage bill and not only to the workers who have the minimum wage in the economy, because some thresholds are created during the transition from the minimum wage to other wages and here we have problems.
  • The second thing we mean is that companies are under enormous pressure, especially with energy costs. We can see that the last quarter is not looking very good, orders are falling, economic activity is slowing down a bit. So, on the one hand, we have to help the workers, and on the other hand, the companies also need a little rest. It remains that we will meet again on Monday or Tuesday for a final decision.” – said the executive director of Concordia.

What proposals did the trade unions make: The trade union proposed to increase the minimum gross salary to at least 3,200 lei

Dumitru Kostin, President of the National Bloc of Trade Unions (BNS):

“Our proposals were as follows:

  • raising the minimum wage to 3,000 lei, doubled by revising the wage income tax by adjusting personal deductions, for all wage incomes up to 5,500 lei, which will help avoid excessive compression of the wage scale in the area of ​​the minimum wage.
  • At this time approx. 32% of employees with full-time employment contracts have an income below 3,000 lei, 70% of employees with full-time employment contracts have a gross salary below 5,500 lei.
  • Preservation of the base for calculating social contributions, especially in the case of pensions at the level of the minimum wage. Especially in the case of pensions, this approach, as proposed by the Government, means the costs that the employee bears in the future, receiving a lower pension. We consider such a policy dangerous, which can stimulate gray work,” said the president of the National Bank of Romania.

It is updated