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| THE WEEK IN REVIEW (22-28/11/2010) |
| (2010-11-26) |
| Last updated: 2010-11-29 15:12 EET |
The Romanian Government on Wednesday approved the Framework Salary Law for state employees and the Law for its application in 2011 and forwarded them to Parliament, which the government asked for a vote of confidence. The passing of these laws is one of the conditions for continuing the agreement with the IMF. The laws have not been sent to the Economic and Social Council for consultation because of the boycott of the 5 big trade union confederations. The main provisions refer to the increase in state employees’ salaries, starting in January; this is actually a partial return to the value of salaries prior to the 25% cut in the summer; another provision refers to a possible minimum salary of 670 lei, almost 155 euros.
PM Emil Boc explained that, for the moment, Romania’s economy can’t afford substantial rises in salaries: “Basic salaries will increase by 15%. This is how much Romania can afford for the time being, taking into account the realities of the crisis which we are still facing and the need to observe the deficit limits which we set for 2011”
Trade unions claim that by asking Parliament for a vote of confidence on the two laws, the government has once again proved that the measures are imposed and not negotiated.
This week, the government in Bucharest has regulated the introduction of the co-payment system for medical services, in order for it to take effect as of mid 2011. Through this revision, substantial funds are hoped to enter into the health care system each year. So, each patient will receive “a healthcare voucher” worth 600 lei (140 euros) per year, to be used for the payment of medical services provided by a family doctor or a hospital, except for emergency medical services. Co-payment will not be permitted above the 600 lei threshold. Almost 8 million people will be exempt from this system – namely children, students aged between 18 and 26 who do not obtain income, pensioners with incomes below 700 lei, as well as sick people signed up for national healthcare programs who do not have work benefits.
The Romanian Minister of the Environment, Laszlo Borbely, has announced that, as of January 1st 2011, the first registration fee for vehicles will rise from 25 to 50% depending on the vehicle age and cylinder capacity. He explained that measure was meant to ban he entry of second-hand cars into Romania, which are highly polluting. According to minister Borbely, over the past year around 120 thousand second-hand cars, many of them older that 10 years, entered Romania. He announced that the Car Scrapping Program meant to renew the Romanian car fleet would continue next year in order to encourage Romanian carmakers. He mentioned that 75 thousand new cars were bought in 2010, of which 60 thousand were purchased as part of this program.
The Romanian Constitutional Court agreed with PM Emil Boc over the existence of a juridical conflict of constitutional nature between the government and parliament following the latter’s refusal to debate a motion of censure. The opposition filed the motion in the event of the executive asking parliament for a vote of confidence on the education law. According to the Constitutional Court, once filed, the motion cannot be abandoned and must be debated and voted upon. After the Court’s decision the PM called on the speaker of Parliament to immediately set a timetable for the presentation and debate of the censure motion filed on October 29th.
The Romanian Interior Minister, Traian Igas, announced Tuesday the dismissal of secretary of state Dan Valentin Fatuloiu and the head of police, Petre Toba, several days after a similar decision was made in the case of the head of the police authority in Neamt county, Aurelian Soric. The dismissals took place against the backdrop of recent scandals which, according to the minister, considerably marred the image of the Romanian Police force. Igas says that dismissals will continue in Neamt county, where the first scandal started after the assassination of a crime lord in Piatra Neamt (in the north east of Romania) followed by a public reaction by the local police chief, who showed amazement at a loan-shark being called a crime lord. After this shocking statement made by local police chief Soric, the scandal gained momentum triggering the dismissals of the general police chief, Petre Toba and of secretary of state Dan Fatuloiu. The latter politician himself became the main actor in an attempted bribery case. He denounced the briber, which led to an operation in which the attempted briber was caught red handed together with three other collaborators. The briber, a businessman, was ready to give Fatuloiu money and assets worth one million euros, to solve a number of criminal files. The money was to reach Fatuloiu by means of companies held by the briber’s son.
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