Earlier this autumn, the Chamber of Deputies decided to extend the payment period for wage rights won in court by public sector employees until December 31, 2016, from December 31, 2012, and also to change the value of their yearly tranches. These rights will be paid over a longer period, as follows: 5% in 2012, 10% in 2013, 25% in 2014, 25% in 2015 and 35% in 2016.
Previously, according to Government Emergency Ordinance 71/2009, salary rights won in court by the end of 2009 would have been paid in three tranches: 34% in 2010, 33% in 2011 and 33% in 2012.
The total value of wage rights awarded to public sector employees through final court rulings was, on December 31, 2010, 7.5 billion lei (EUR1.72 billion), meaning RON3 billion would have been due next year. The Government argues this would have a considerable impact on personnel expenses.
As the installment due next year has been reduced to 5%, the necessary funds have dropped to RON0.5 billion.
(EUR1=RON4.3479)