The 2011 salary fund may allow a 10 percent salary increse, Finance minister Vladescu says

Newsroom 03/08/2010 | 07:30

The salary fund established for 2011 is of RON 39 billion, correlated with the restructuring of 60,000 public system positions, may allow an average salary increase of 10 percent, according to Sebastian Vladescu, Romanian minister of Finance.

“In order to reach this figure, layoffs may or may not be necessary, it depends on the salary level which will be established through the new law of unique salaries, applicable starting January 1”, declared Vladescu. “An elementary calculation shows that RON 39 billion will allow, along with the restructuring of 60,000 people, an average salary increase of over 10 percent”, continued Vladescu.

It remains to be decided, however, how this increase is to be distributed, what amount will be directed at smaller salaries and what sum will be added to higher retributions, Vladescu added. The Romanian government has agreed to reduce the number of public employees by 70,000, in the previous negotiations with IMF.