Romanian Government Assumes Responsibility for Controversial Tax Plan Amid Nationwide Protests

On Monday, the Bolojan Government formally assumed responsibility in Parliament for a comprehensive fiscal package aimed at reducing Romania’s budget deficit. The package, approved during a government session last Friday, introduces a series of tax increases and implements a freeze on public sector salaries and pensions. Officials argue that these measures are necessary to stabilize public finances and ensure economic sustainability.

Widespread Protests Erupt Across the Country

The government’s move has triggered widespread protests in Bucharest and other regions. Demonstrations began early in the morning, with the National Trade Union Bloc (BNS) organizing rallies in front of Pension Offices and the Ministry of Agriculture. Unions representing workers in health and education sectors also staged protests outside Parliament, voicing strong opposition to the fiscal measures.

Trade union leaders condemned the government’s actions as an “illegal and cynical attack” on employees’ rights, particularly criticizing the abrupt reduction of hardship allowances for hazardous working conditions. These bonuses, previously up to 15% of the base salary, were reduced to a flat 300 RON gross amount without prior consultation or legal justification, according to union statements.

Impact on Parliamentary and Public Sector Staff

Parliamentary staff, already among the lowest-paid in central public administration, face further reductions in income due to cuts in bonuses and meal allowances. Unions warn that these changes could push them to the bottom of the public wage scale while political privileges and appointments remain unaffected. Union representatives have threatened to escalate their actions if the “injustice” is not addressed before the next parliamentary session in September 2025, hinting at possible institutional deadlock.

Protests have spread beyond Parliament, with the AgroStar National Federation—representing employees of the Ministry of Agriculture and its subordinate agencies—demonstrating outside the Ministry. The “Mureșul” Union of Romanian Waters has also organised nationwide protests across all regional water management systems. Union leaders are considering a march toward Parliament as discontent grows.

As the government moves forward with its fiscal reforms, union leaders vow to continue their protests and pursue all available legal avenues to defend workers’ rights. The situation remains tense, with the potential for further disruptions in the coming weeks if the government does not address the concerns raised by public sector employees.