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[POLITICS] · Romania · 10 sources

Romania faces risk of losing 770 million euros in EU funds over salary law deadlock

Romanian President Nicușor Dan has summoned leaders from the PSD, PNL, USR, and UDMR to Cotroceni Palace for urgent negotiations regarding the proposed unitary salary law. The discussions aim to resolve a political deadlock that threatens the country's access to European funds.

Minister of Investments and European Projects Dragoș Pîslaru warned that this is the final opportunity to reach a political agreement. If the law is not adopted and promulgated by the August 31 deadline, Romania risks losing 770 million euros from the National Recovery and Resilience Plan (PNRR).

The proposed reform, which carries a financial envelope of approximately 12 billion lei, seeks to correct wage inequities within the public sector. According to Pîslaru, the law would benefit roughly 800,000 employees—over two-thirds of the public workforce—with salary increases, while ensuring no existing incomes are reduced through compensatory mechanisms.

However, the legislation faces significant opposition from various trade unions and political factions, particularly due to concerns over changes to specific allowances and wage structures. The negotiations are seen as a critical step for maintaining economic stability and securing future credit rating improvements.

Entities

Cotroceni Palace · Dragoș Pîslaru · European Union · Ilie Bolojan · Moody’s · Nicușor Dan · PNRR · Romania · Sorin Grindeanu

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