Press Review - May 9, 2018

05.09.2018 By Oana Gavrila

Healthcare Unions Call Off Strike Over Wage Cuts

Romanian healthcare sector workers have called off a strike after the government agreed to cover recent bonus cuts that lowered the wages of numerous healthcare employees.

Prime minister Viorica Dancila signed an agreement with health trade unions Monday, pledging to reverse the cuts in the sector as of May 1. Unions thus canceled plans for a general strike for Friday.

Healthcare workers went on a two-hour warning strike on Monday, protesting recent tax and wage overhauls that have lowered their income.

President Says Ruling Party Is Pawning Romania's Future, Urges PM to Step Down

Romanian President Klaus Iohannis said the ruling Social Democratic Party is leading the country towards ruing, pawning its future, and called again on Prime Minister Viorica Dancila to resign.

“It's becoming more and more clear that Dragnea and his people have no solutions for efficient government,” said Iohannis.

The head of state criticized the Cabinet for the state of the country's consolidated budget for the first quarter, as the ruling party raised wages and pensions but neglected major investments in infrastructure and development.

Three-Month ROBOR Hits Fresh 3.5-Year High of 2.68%

Romania’s money market rate (ROBOR), the main indicator that sets the interest rates for RON currency borrowers, hit a fresh 3.5-year record of 2.68% Tuesday.

The 3-month ROBOR rate calculated for Tuesday is the highest since October 2014. The rate stood at 2.54% on Monday.

On Monday, the central bank raised its benchmark rate to 2.5% from 2.25% a year to fight surging inflation.