Reform of special pension systems, one of the milestones the European Commission set so that Romania can obtain allocated EU recovery funds, is not included in the draft emergency bill aimed at reducing the already excessive deficit situation in the country.
As seen by EURACTIV Romania, the bill prohibits the cumulation of pensions and salaries, wage freezing in the public system, and several other minor measures to reduce public expenditure.
The bill is a “joke”, the former European Funds Minister Cristian Ghinea said.
The bill, which addresses the urgent deficit situation, overlooks critical issues like conducting a real analysis of expenditures and needing to merge public ministries and agencies, Ghinea told EURACTIV Romania, noting that these are essential measures required to address Romania’s financial situation effectively.
It also lacks the reform of special pensions despite this being among the critical milestones the Commission requires Romania to fulfil if it wants to benefit from the recovery plan worth €30 billion.
Like other leading politicians before him, Prime Minister Nicolae Ciucă did not want to impose drastic measures that would significantly impact the military, intelligence, magistrates, and other beneficiaries of special pensions. When asked how to reduce the budgetary deficit, Ciucă dismissed austerity measures and instead suggested implementing temperance measures.
While the pension age in Romania is 65 for men and 63 for women, it is overloaded with anticipated pensions and special pensions awarded to categories such as magistrates, intelligence personnel, police officers, and military personnel.
In reality, the average pension age in Romania is lower than the official retirement age for both sexes, as the prevalence of anticipated pensions means the average retirement age for men is 60.5 and 58.4 for women, the pensions house told G4Media. In some cases, these special pensions exceed the initial wages.
(Cătălina Mihai | EURACTIV.ro)
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Source: euractiv.com
