The Government approved, on Friday, the raising of the minimum wage to 1,450 RON monthly (approximately 320 euro), starting with February 1, for a full work schedule of 166 work hours on average monthly, representing 8,735 RON per hour."Thus, the value of the minimum wage is increased by 16 percent as compared to the end of 2016, namely from 1,250 RON to 1,450 RON," a release of the Executive remitted to AGERPRES shows.
According to the quoted source, the measure will have positive effects on economic growth by approximately 0.2 percentage points and on the stimulation of job occupancy and reducing illegal labor. Furthermore, the measure has an important social impact, ensuring the increase of the welfare level and reducing social inequity, the quoted release shows.
"Concluding an individual labor contract with the establishment of a base wage smaller than that approved by the Government today, namely 1,450 RON monthly, is considered a misdemeanor and is punishable by fine worth 300-2000 RON," the Government also mentions.