CES to decide on Monday on austerity measures package

The Economic and Social Committee (CES), which includes representatives of the government, trade unions and employers, is going to decide on Monday whether to approve or not the package of austerity measures the government agreed with the International Monetary Fund (IMF).

Last week, the Minister of Public Finance, Sebastian Vladescu, made available for the trade unions all data related to the memorandum with the IMF. Vladescu said that the government should cut spending to lower the budget deficit from a potential of 9.1 percent down to 6.8 percent of the GDP and that, in fact, the state would be left with no extra money after applying these measures but only it would manages to maintain its indebtedness rate as low as possible.

Among the measures considered by the authorities there were included slashing public sector wages, pensions and also child and disability living allowances and unemployment aids. The federations of trade unions want the cutting by 25 percent of the public wages to target the wage fund instead of every public employee’s wage, with the method proposed being through slashing bonuses, the reward fund, including through unpaid leave and layoffs. Another claim of the social partners was pensions below Ron 1,000 not be cut.

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