New Labour Code to increase employment rate from 58% to 64%

Autor: Adelina Mihai 16.03.2011

The employment rate in Romania - the proportion of people who are fit for work to the number of legally-employed workers is 58.6%, which means only 4.5 to 5 million Romanians of the 8 million who are fit for work are legally-employed. The new Labour Code will make the labour market more flexible, leading to an at least 5-6% increase in the employment rate, considering that until 2020 Romania should reach a 70% employment rate (Germany's current rate).

"Romania needs to improve its legislation to see new jobs created. Romania's employment rate needs to increase, considering that since 2002 it has been somewhere around 58%, while in other countries the employment rate is 64-65%," said Claudia Boghicevici, vice-president of the Labour Commission of the Chamber of Deputies (from ruling party PDL).

Yesterday afternoon MPs came together to vote on the censure motion submitted by the opposition against the Labour Code, but it was not likely to be adopted because in order to be passed, it would require 236 votes "in favour" - half the number of deputies and senators plus one (but the opposition is short of 20 votes).