Romanian President Klaus Iohannis promulgated the payroll law on Wednesday, June 28.

The governing coalition has taken responsibility for this law, which is an essential element of the governing program, said the President.

It should also create a balance between increasing salaries and keeping Romania’s macroeconomic stability, he added.

“President Klaus Iohannis supports the need to increase salaries, in a sustainable way, to improve Romanians’ standard of living,” according to the Presidential Administration.

“It’s obvious that Romania needs a legislative framework that introduces order in the public pay system in order to eliminate wage inequalities and dysfunctions. The president of Romania also supports the necessity of a sustainable salary increase in the budgetary sector.”

The President added that the law must be in line with Romania's commitments under the Stability and Growth Pact to keep the budget deficit below the 3% of GDP threshold.

On June 6, labor minister Lia Olguta Vasilescu said that wage increases for employees in the public sector will no longer apply starting July 1, as the Government previously announced. All public employees will see a 25% wage growth starting January 1 next year, whereas doctors and education personnel will get additional salary increases starting March 1.

editor@romania-insider.com