What the newspapers say: September 20, 2010
All newspapers read on Monday about the protests of labour unions who urge the government to stop layoffs and increase the minimum wage. However, if the government will satisfy the demands, budgetary payments would be ceased shortly for lack of money. Also in the news, police officers give up patrolling, fines and block penal investigations as a sign of protest. Elsewhere in the news, Romania needs to open up a credit line of 10 billion euro.
Labour unions demand the end of lay offs and an increase of the minimum wage, Romania libera reads. Experts however claim that by higher spending, the state will maintain fiscal pressure on the private systems.
Unions attempt to force the government into increasing revenues but they forget that the government does not have the money to maintain those that there are currently. Last year’s history repeats: before Presidential elections, unions protested to have their salaries increased.
In June 2010, they protested to freeze salaries at their level while now, they urge their increase even though a freeze is what they can obtain at most. Ironically, if the government would give in, the state will cease paying anything. With spending out of control and no IMF financing, Romania will not manage to find money to cover a budgetary deficit with can well exceed 10%.
Therefore, the government cannot give in and will, unions claim, just freeze minimum salaries for the next two years.
Leaders of the unions across the country threaten to organize protest after protest until the government will give in. The demands are: to eliminate the 25% cut, a minimum wage of 750 lei for 2010.
Also about protests, Evenimentul Zilei reads about the police officers, who are ready to give up patrolling, fines and penal investigations. Even though the men of law will not attend protests, they will not issue fines, they will give up patrols and will not execute arrest warrants.
In short, they will work less in accordance with the wage they receive, to the delight of felons who will not be disturbed by the police. Dissatisfied by the budgetary cuts and lack of resources, the budgetary – professors, medical personnel, public servants will organize protests on the street.
Threatened by the Interior minister Vasile Blaga himself and by other chiefs with sanctions if they will refuse to do their jobs, police officers claim that their way of protesting has a legal cover.
Their statute interdicts them to organize protests or attend them. However, police officers said that they do not protest, but they will limit their activity in accordance with the wage. There are no money for gas and even if we would like to patrol, there are no money, the police officers explained.
Gandul warns that Romania needs to open up a credit line to the IMF of 10 billion euro. Former Finance minister launched a series of attacks, more or less directly to his former boss, PM Boc.
Romania needs a new agreement of 10 billion euro to face the crisis until 2013. The new agreement might be signed after the current one ends, in March next year and it might be n open credit, which Romania can use if necessary.
The solution was proposed by former Finance minister Vladescu who claims that the government did not have any talks for a new agreement while he was in the government. Vladescu admitted that the government knew earlier this year that it will have to take austerity measures but the announcement was postponed until May for political reasons.