The new Pension Law in Romania will be approved by the government on November 9 and passed by the lawmakers until November 20, minister of labor Simona Bucura-Oprescu announced.

The pensions will increase on average by 40% starting September 1, 2024, amidst the parliamentary election campaign. The increase will differ from one pension to another, as all individual pensions will be recalculated.

"Maybe there will be pensions that will increase by 1%, maybe there will be pensions that will increase by 80%, but our calculations show that we will have an average increase in pensions of 40%," minister Bucura-Oprescu said, quoted by G4media.ro.

The minister estimates that the increase will cost, for just four months from 2024, no less than RON 55 billion (EUR 11 billion, 3% of GDP).

She also said that the new Pension Law would come into force as of the beginning of January next year when the pensions will increase by 13.8% as an effect of the annual indexation to inflation and real wages rise.

iulian@romania-insider.com

(Photo source: Inquam Photos/Alexandru Busca)