Nearly forty percent of Romanian workers earn wages that barely exceed the national minimum.
Romania's Labor Ministry has revealed that approximately 400,000 employees in the country are currently earning the minimum wage or just above it, which is between RON 4,050 and RON 4,100 (approximately EUR 800), according to data obtained from the ministry. This accounts for more than 39% of the total labor force.
The data also shows a year-over-year decrease of 3.6% in the number of employees paid the minimum wage. However, the recent Emergency Ordinance 142/2021, implemented on January 1, 2024, does not provide information about any potential increases in the minimum wage after the two-year limit.
Under this ordinance, the maximum duration an employer can maintain an employee on the minimum wage is two years, regardless of whether they work full-time or part-time. The ordinance does not specify any exceptions to this rule, nor does it address the consequences for employers who violate the two-year limit.
Furthermore, the ordinance does not provide information about the total number of labor contracts that will be affected by the two-year limit or any measures to support employers in providing wages above the minimum wage.
It is worth noting that the ordinance does not address the industry sectors that are exempt from the two-year limit for employees on the minimum wage. The source of this information is Ziarul Financiar.
As of now, the total number of labor contracts in Romania is not specified, but the number of employees paid the minimum wage is 1.06 million, while the number of employees earning just above the minimum gross wage (around EUR 800) is 1.63 million.
Interestingly, the emergency ordinance 142/2021 was not mentioned in the previous data obtained from the Labor Ministry, indicating a recent development in the country's wage policies. The ordinance does not provide information about any potential increases in the minimum wage after the two-year limit.
These developments in Romania's wage policies are significant for both employees and employers, and it is crucial to stay informed about any updates to ensure compliance with the regulations.
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