Romanian Cabinet meeting
A Romanian government meeting on Thursday is expected to decide a rise in the minimum wage at RON 3,300 from October 1. The move comes in support of new fiscal measures while also encouraging an increase of purchasing power in an attempt of preventing illegal work. An Emergecy Order is also providing a minimum wage in construction industry expected to rise from RON 4,000 at RON 4,500. Nominal net wages increased by 13.6% year-on-year but they still couldn’t keep pace with consumer price.
Visit of PM Marcel Ciolacu in Hunedoara county
Romanian Prime Minister Marcel Ciolacu is expected to visit a power station in Romania’s south-western county of Hunedoara on Friday in an attempt to ensure employees they would get paid on time as the company was not expected to face bankruptcy. “A financial aid is also expected following an extraordinary cabinet session next Monday”, Mr Ciolacu said at the start of today’s cabinet meeting. “It is about of protecting jobs of 2,000 employees. That is why I will go there to ensure people they will get paid for their work”, the prime minister pointed out. The company still has some 2,000 employees working at four mines and a thermal power station in Paroșeni.
Romania’s businessmen still dissatisfied with recent fiscal measures
Businessmen in Romania are still dissatisfied with recent fiscal measures arguing that prices will reflect every tax increase as higher costs will affect inflation and living standards. And more, the turnover tax of 1 percent violates provinsions in the European VAT directive, according to Daniel Schwartz, financial and portfolio manager at Morgan Stanley. Romanian businessmen point to the fact that authorities will burden all sectors in their attempt to introduce new taxes. They say the only positive fact is that opening deadline has been delayed from October 1 to January 1, 2024.
Alexandru Danga
