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Government Increases Minimum Salaries for Construction, Agriculture, and Food Industry in Romania, but Net Wages Remain Unchanged

The government led by Marcel Ciolacu adopted on Tuesday, October 31, the emergency ordinance for the increase of the minimum gross basic salary in the country for construction, agriculture and the food industry.

Currently, the minimum gross salary in construction is 4,000 lei, and in the agricultural sector and the food industry it is 3,000 lei. After the increase, the minimum gross salary in construction will be 4,582 lei, and in agriculture and the food industry it will be 3,436 lei, and the Government claims that in this way “incomes from these important fields for Romania’s economy will be protected and after the introduction of the contribution for health”.

According to the Government’s estimates, 423,110 employees will benefit from the increase in the minimum gross salary in the construction sector, and 168,000 employees in the agricultural sector and the food industry.

However, the GEO increasing the gross minimum wages does nothing but keep the current values ​​of the net minimum wages unchanged. And this is because the Ciolacu Government has established that these employees will also pay CASS, i.e. the 10% health contribution, which will be withheld from November.

Specifically, the net minimum wages in construction, the food industry and the agricultural sector will remain the same as before the increase in gross wages.

Basically, the Government increased the gross minimum wages only so that the net wages do not decrease after the CASS is withheld from the employees.

Therefore, the minimum net salary in construction will remain 3,150 lei per month, and the minimum net salary in the food industry and the agricultural sector will be 2,362 lei per month.

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2023-11-01 11:26:00
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