Skip to content Government Decision No. 146, dating March 12th, 2026, revises the gross minimum wage in Romania, as established by Article 164(1) of Law No. 53/2003 (Romanian Labour Code). The updated minimum wage, effective from July 1st, will increase from 4,050 lei to 4,325 lei (approximately € 850) per month, considering a standard monthly work schedule of approximately 166.67 hours. Accordingly, the gross minimum hourly wage is raised up to 25.949 lei.
A heated debate among social partners
The government’s proposal to increase the minimum wage has been the subject of a heated debate among social partners. Namely, employers’ associations and trade unions have expressed contrasting positions on the matter. On the one hand, employers’ associations advocated for maintaining the minimum wage at its current level. They emphasized the need for the economy to adjust to existing cost pressures. On the other hand, trade unions fostered a revision of the minimum wage. They underlined that an upward revision is essential to counterbalance inflationary pressures and safeguard the purchasing power of lower-income workers.
Impact on the local economy
The minimum wage increase is likely to generate positive effects on the local economy, the Ministry of Labour explained. In particular, the most significative outcomes are the following:
- A reduction in undeclared work;
- An increase in employment rates among young people and women;
- An increase in domestic consumption, due to a higher demand for goods and services.
Furthermore, according to government forecasts, over 1.7 million employees will benefit from the minimum wage increase. In addition, the estimated impact of wage adjustments on the national budget is at approximately 622 million lei, considering the period from July to December 2026.
Conclusions
Overall, the established wage increase is expected to constitute a driving force for Romanian economy, increasing the workers’ purchasing power. Moreover, this measure could manage to align Romanian national minimum wage with broader wage policy objectives and adapt to economic developments.