Salary increases next year for the public sector employees in Romania depend of the budgetary resources, and no promises will be made if there will not be an economic growth of 3.5 percent, according to the Romanian Prime Minister Emil Boc.

The forecast that will establish the budget projections for next year, including in terms of salary, will be made in October this year, together with the European Commission experts, he added.

Romania has implemented harsh cost-cutting measures last summer to meet the demands of the EUR 20 billion loan agreed in 2009. The measures, which have sparked mounting social unrest, included a 25 percent cut in public salaries, a controversial pension reform, public sector layoffs and tax raises. The measures were made in order to reduce budget spending, and thus the budget deficit.

Irina Popescu, irina.popescu@romania-insider.com

(photo source: Romanian Government)