Labour minister rules out deletion of minimum wage, a measure endorsed by the Businessmen Association

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After Finance Minister Eugen Teodorovici lobbied against the minimum wage several days ago, Labour Minister Olguta Vasilescu stated that Teodorovici was just expressing a personal opinion, closer to the business environment, yet stressing that such a measure is out of the question, as it is not stipulated in the ruling programme.

It’s out of the question to remove the minimum wage. There is no such thing in the ruling programme (…) Mr. Teodorovici voiced a personal opinion, which is closer to the business environment. We are very much interested in the employee and what he takes home. Only three years in the EU don’t have a minimum wage. It was his personal opinion, he said how he would see things (…) We all have personal opinions, but only what is in the ruling programme is enforced,” minister Vasilescu pointed out.

Encouraged by the Finance minister Teodorovici’s statement, the Businessmen Association in Romania (AOAR) has proposed on Monday that the minimum wage should be paid per hour, not per month, as it happens in Germany, UK and Ireland.

In a press release, the association lobbied for “a public dialogue through which employers’ associations and trade unions should reach a consensus on removing the minimum wage for the private sector”.

AOAR also says that discussions on securing or not a minimum wage in the private sector should consider “the realities of the economic structure and the productivity gaps between public and private sectors”.

“Amid salary gaps among various regions of the country, the deletion of the minimum wage could boost new jobs in less attractive areas, mainly due to the lack of infrastructure,” the businessmen argued.

“AOAR is asking the Government to understand the difficulties that the business environment is facing, also prompted by some government decisions, which makes the workforce reality in Romania be against the sustainable growth of the Romanian economy,” the association concluded.

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