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Gov't's Danca: Net minimum wage for 2020 increases by 83 RON

ionel danca

The minimum wage nationally for the year 2020 will increase in gross terms by 150 RON, and in net terms by 83 RON, stated the head of the Chancellery of the Prime Minister, Ionel Danca. 

(1 euro=4.7765 RON) 
"The result of the analysis conducted at the level of the Chancellery of the Prime Minister (...) revealed a basis for a mechanism to increase the minimum gross wage in agreement with the commitment made by the Government (...) namely an increase of the minimum gross wage on the basis of a mechanism that takes into account a series of objective economic indicators, so that the purchasing power of Romanian employees increase without affecting the competitiveness of the Romanian economy and without affecting macro-economic balances. The first conclusion of this analysis is that the minimum gross wage for 2020 will increase," stated Ionel Danca, on Tuesday, in a press conference at the end of the meeting of the National Tripartite Council for Social Dialogue. 

He said that the increase of the minimum wage "at the gross level is of 150 RON, and at a net level is 83 RON." 

Danca also referred to elements relating to the impact of this measure. 

"An increase of the minimum gross wage nationally by 7.2 pct has an impact on consumption with an increase of 0.3 pct, and at the level of inflation a moderate impact of less than 0.1 pct. In the area of budgetary impact, the measure implies a total impact of 3 billion RON, of which on the income side 3 billion RON, and on the side of costs 1.8 billion RON," Danca stated.


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