From 2023, there will be a significant difference between those who receive the minimum wage created by the state itself. Perhaps today many did not think much, although HotNews.ro has been announcing since 2018 when we referred to tax benefits.

Money-bills-leiPhoto: Hotnews

Thus, some workers with a minimum salary of 3,000 lei gross will have 1,774 lei or 1,863 lei (if the state decides to also regulate 200 lei tax-free). Others from construction, agriculture and food industry will have 2,362 lei (that’s how much they have now). ATTENTION: on the same raw.

Why

Because workers in construction (from January 2019), agriculture and food industry (from 2022) are exempt from income tax, health care contribution and, if desired, pension level II.

Just because I don’t pay for health care doesn’t mean I can’t get services. All other workers in the economy pay for them, even those with lower wages.

More precisely, companies in these fields do not pay for them if the salary is between 3,000 and 10,000 lei gross. So they have an advantage in attracting labor.

*companies in these industries cannot give less than 3,000 lei

Perhaps many will say: well, would you work in agriculture or construction?

Well, there are many professions in Romania that can be found in many other fields of activity. example:

  • Driver
  • Busy cleaning
  • count
  • Trade worker
  • Responsible for personal data protection
  • Machine and plant operator
  • Personnel for washing cars, shop windows, and windows
  • Cargo unloaders

The list is longer, so there is no point in continuing. You get the point.

There have been cases where construction companies have attracted drivers to their companies just by announcing that they will have a higher net because they will benefit from the amenities mentioned above.

This created additional tension in the labor market in Romania.

As another fact, but on the same topic: the Government proposed changes through Decree 16/2022 (regarding tax increases) which states that the turnover of the current year is taken into account, so that after application some have I believe that they cannot provide services, therefore, certain employees are already trying to go in the same field to a company that meets the criteria, with the same gross, with a higher net (due to services).

In-work poverty will be as high for some workers as it is for others. If we look at the latest Eurostat data, we can see that Romania ranks first in the EU in this section with a percentage of 24.1% (risk of poverty and social isolation in the case of employed people). We are followed by Greeks with 16.6%, followed by Bulgarians with 15.9% and Spaniards with 15.7%.