Romania’s Government announced that it will set a monthly gross wage of RON 3,000 (EUR 645) for the construction sector, eliminate the social contributions paid by employers in this sector and create a Guarantee Fund 80%-financed from the state budget.

Moreover, a down payment will be mandatory for any construction project, amounting to 30% of its value, local Profit.ro reported.

PM Viorica Dancila said last Thursday that, due to the new measures, the minimum net wage in the construction sector will be over EUR 500 per month.

These provisions have been included in a memorandum approved on November 29. The Government will sign an agreement with the Employers’ Union in the Construction Sector - FPSC for implementing these measures.

FPSC representatives recently said that the crisis in the construction sector could push Romania’s economy into recession and asked for fiscal facilities to increase workers’ salaries and prevent them from leaving the country. Local construction companies have been hiring workers from Asia in recent years to compensate for the lack of local workforce.

Romania’s construction sector, down 10% in August

editor@romania-insider.com

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