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Romanian managers gain 9 times more than national average salary

The average salary of a manager in Romania stands at 3,240 euro, 9.2 times bigger than the national net average salary. The difference between managerial salaries and the national average salary diminished this year versus 2007, when the managers had average salaries of 9.6 times bigger than the national average salary, according to the PayWell-Salary and Benefits 2008 study, drawn up by the consultancy and audit company PricewaterhouseCoopers (PwC).
“This does not mean the absolute salary of a manager has fallen this year versus 2007, because we have to take into account the net salary rise recorded in 2008 nationwide versus 2007”, Ruxandra Stoian, director of HR Services in PwC, told the Ziarul Financiar daily.
The average salaries at management level rose by some 10% compared with 2007, when they stood at 2,960 euro. At the same time, an employee who graduated from high school gains 356 euro on average.
“As compared with 2007, when the entry-level salaries were bigger than the national gross average salary, they are lower this year. Thus, for the employees who graduated only the high school, the salary in the multinationals represent only 74% of the national average salary,” added Ruxandra Stoian.
At sector level, the banking employees are the best paid, gaining gross average monthly salaries of 995 euro. They are followed by the employees in pharmaceutical companies, with gross average monthly salaries of 918 euro, and the IT&C employees, with 880 euro. At the bottom of the ranking there are the employees in FMCG (Fast Moving Consumer Goods), retail and hotels, with lower salaries than the national gross average salary.

According to Ruxandra Stoian, an explanation for this situation is the fact that in bank, IT&C and in the pharmaceutical field there are many employees with higher studies, whereas in retail or in the hotel fields the personnel who graduated only high school is predominant.
The quoted survey shows that a Bucharest resident has a gross monthly salary of 793 euro, by 65% more than the national gross average salary. In the ranking of salaries, Bucharest is followed by Timisoara (west) and Cluj (centre) and Iasi (east). The gross average salary in Transylvania province (centre and west) amounts to 553 euro, far from the salary in Bucharest, whereas the gross average salary in Moldavia (east) stands at 524 euro, while the salary in Muntenia (south) stands at 514 euro.
The employees on the operational levels benefited in 2008 from the highest salary rises – 19% – and those on the support levels received salaries by 11% bigger. “It is notable, but no unexpected that the biggest salary rises were recorded at operational level, where the most employees are practically working”, Stoian said.
The bonuses and perks gained increasingly more ground in the structure of the salary package in the past years, according to the data collected by PricewaterhouseCoopers.
As compared with 2004, when the fixed salary represented 75% of the salary package, the variable bonuses represented 13%, the fixed ones 5% and the perks 7%, this year’s data show the fixed salary has come to represent only 65% of the monthly gain of an employee. The highest rise was recorded by the variable bonuses, which have reached a share of 20%. The meal voucher has become the most frequent perk offered by the companies, as some 85% of the employers reward their employees with this perk.
Moreover, the local employers have started to pay more attention to the flexible perks, which rose by 5% versus 2007 as share in the total of perks. Thus, each employee can order from a menu of flexible perks what he/she wants.The PwC survey was conducted on a sample of 250 private companies, by 30% more versus 2007, companies operating in 14 lines of work and that employ together 168,000 people.
Approximately 80% of these firms have foreign total or majority capital, with turnovers of over 10 million euro.

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