The minimum wage is a key issue for both employees and employers in Romania, significantly influencing workers’ net incomes and the costs incurred by companies. In this article, we aim to analyze the updated level of the minimum wage in 2025, taking into account recent legislative changes and special legal provisions applicable to certain economic sectors.
What is the minimum wage in 2025 in Romania?
Gross minimum wage 2025 in Romania
According to the Government Decision no. 1506/2024 for the establishment of the minimum gross basic salary guaranteed in payment, starting January 1, 2025, the minimum gross basic salary is set at 4,050 lei per month. This value applies for a normal working schedule of 165,334 hours per month, equivalent to 24,496 lei/hour.
Note that the gross minimum wage does not include allowances, bonuses or other bonuses.
So, from January 1, 2025, employees paid the minimum wage will receive about 300 lei more in their hands.
EXCEPTIONS TO THE APPLICATION OF THE MINIMUM WAGE OF 4.050 LEI IN ROMANIA
It is important to note that the gross minimum wage of 4,050 lei does not apply to employees in the agricultural, food industry and construction sectors. These sectors have specific minimum wage regulations, established by Government Emergency Ordinance No. 93/2023 for the establishment of the minimum gross basic wage guaranteed in payment for the construction, agricultural and food industry sectors.
According to art. (1) of GEO 93/2023, for the construction sector, the basic gross minimum wage guaranteed in payment is set at 4,582 lei per month, not including allowances, bonuses and other allowances. This value applies for a normal working week of 165,333 hours per month, representing on average 27,714 lei/hour.
For the agricultural and food industry sector, Art. 2 para. (1) of OUG 93/2023 establishes that the minimum gross basic salary guaranteed in payment is 3,436 lei per month, not including allowances, bonuses and other bonuses. This value is applied for a normal work schedule of 165,333 hours per month, representing on average 20,782 lei/hour.
NET MINIMUM WAGE 2025 IN ROMANIA
Based on the new gross minimum wage level of 4,050 lei, the net minimum wage in 2025 will be around 2,547.8 lei. This amount is calculated after deduction of compulsory social security contributions, including social insurance contributions (CAS), health insurance contributions (CASS) and income tax.
Moreover, according to the Government Emergency Ordinance no. 59/2024 for the amendment and completion of Law no. 227/2015 on the Tax Code, as of July 1, 2024, the amount that is not taxable from the minimum wage and is not included in the basis of calculation of mandatory social contributions has increased from 200 lei/month to 300 lei/month.
MINIMUM WAGE – PART-TIME IN ROMANIA
In accordance with the provisions of Article 164 of the Labor Code, if the normal work schedule is less than 8 hours per day, the minimum gross hourly basic wage is calculated by dividing the minimum gross basic wage by the average number of hours per month according to the approved legal work schedule. Thus, for the new minimum gross wage of 4,050 lei, the minimum gross hourly wage is 24.496 lei.
HOW MUCH DOES THE EMPLOYER PAY TO THE STATE FOR A MINIMUM WAGE IN ROMANIA?
For the minimum wage, the employer is obliged to pay certain taxes and social security contributions to the state. The taxes paid by the employer include:
- Social Insurance Contribution (CAS) – although this is borne by the employee, it is the employer who withholds it and remits it to the state.
- Social Health Insurance Contribution (CASS) – like CAS, this is paid by the employee.
- Contribution for work insurance (CAM) – 2.25% of gross pay, paid by the employer.
The calculation for the insurance contribution for the new minimum wage of 4,050 lei is:
CAM = 4.050 x 2,25% = 91,12 lei
