Next year’s wage benefits for publicly-paid staff to stay flat

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Under the latest version of the draft law on the uniform pay system discussed by the government on Thursday evening in a special meeting, the wage benefits of the publicly-paid staff will stay flat in 2010, with no rise in view.

„In 2010 the enforcement of this law will generate no macro-economic impact, because as far as the entire public servants corps is concerned, only a re-classification will be performed, whereas the wages will be kept in line with those in 2009.

The draft law addresses mainly low income persons and junior staff, who will get a more attractive pay, far higher than what they earn currently,’ reads the substantiation note of the uniform pay law.

The substantiation note of the previous bill was stating that there would be a macro-economic impact consisting of a „minor increase in the gross average pay per economy.’

The current note provides that the framework-law on the pay of the public servants will be enforced progressively over 2010-2015, under strict observance of the overall payroll expenses, the GDP share of which is set to decrease in 2010 to 8.34 percent; to 7.97 percent in 2011; 7.3 percent in 2012; 6.7 percent in 2013; 6.3 percent in 2014; 5.90 percent in 2015.

For the minimum wage per economy (which has coefficient 1 assigned in the wage grid), the substantiation note has no figure filled in for the years 2010-2014 and has 1,100 lei (as to the current 600 lei) entered for 2015.

At the end of Thursday’s session, the government issued a release stating that all the analyzed scenarios for the enforcement of the framework-law on the uniform pay system envisage the decline of the GDP share of the wage mass from 9.4 in 2009, to 6 percent in 2015, setting the premises in place for the increase in the resources earmarked for investments, development and Romania’s modernization.

The talks focused on identifying fair, equitable, predictable and simple solutions capable of ensuring the sustainability of public finance, informs the cited note.
Also approached were ways to remove „discrepancies among public system pays.

The members of the government discussed on Thursday evening several scenarios for the enforcement of the framework-law on the uniform pay system.

One of the main objectives of this normative act is the correlation of wages in the publicly-paid sector to the rise in economic productivity, the evolution of wages in the private sector and the Convergence Program.

In this context, the government considered the possibility to narrow wage polarization in the budget-paid system, targeting a ratio of 2 per 1 of the average wage to the minimum wage.

Consultations on the uniform pay system draft law will carry on within the government and with the social partners, with whom the final version of the law will be established.

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