List of Acronyms · Web viewIn Romania, the Labor and Social Justice Sector covers three associated...

Advisory Services Agreement on

Strengthening Planning and Budgeting Capacity and Supporting the Introduction of Performance Budgeting (P156889)

Output No. 3Institutional Strategic Plan 2017-2020 for the Ministry of Labor and Social Justice

June 2017

Project co-financed by the European Social Fund through the Operational Program for Administrative Capacity 2014-2020

This report has been delivered under the Advisory Services Agreement on Strengthening Planning and Budgeting Capacity and Supporting the Introduction of Performance Budgeting signed between the General Secretariat of the Government and the International Bank for Reconstruction and Development on June 8, 2016. It corresponds to Output 3 under the above-mentioned agreement.

Disclaimer

This report is a product of the International Bank for Reconstruction and Development / the World Bank. The findings, interpretation, and conclusions expressed in this paper do not necessarily reflect the views of the Executive Directors of the World Bank or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work.

This report does not necessarily represent the position of the European Union or the Romanian Government.

Copyright Statement

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For permission to photocopy or reprint any part of this work, please send a request with the complete information to either: (i) the General Secretariat of the Government (1 Victoriei Square, Bucharest, Romania); or (ii) the World Bank Group Romania (Vasile Lascăr Street, No 31, Et 6, Sector 2, Bucharest, Romania).

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Contents

List of Acronyms..............................................................................................................................3

List of Figures..................................................................................................................................4

List of Tables...................................................................................................................................4

List of Boxes....................................................................................................................................4

1. Context.......................................................................................................................................6

2. Mission and vision.....................................................................................................................10

3. Strategic objectives, programs, measures, indicators.................................................................11

Strategic objective 1: Increasing the employment rate of people aged 20-64, on an inclusive labor market, that would support competitive economic growth and lead to a reduction of in-work poverty and informal labor...............................................................................................................11

Strategic objective 2: An adequate and sustainable pension system...............................................31

Strategic objective 3: Reducing the number of people at risk of poverty and social exclusion in the context of creating a network of social services integrated, complex and well coordinated...........40

Strategic objective 4: Strengthening the capacity of the Ministry of Labor and Social Justice (MMJS) to fulfil its functions for the elaboration and the implementation of the public and regulatory policies in its field of activity............................................................................................................57

4. Framework for ISP implementation, monitoring and evaluation................................................64

5. Financial Resources...................................................................................................................67

Annex 1a: Budgetary Objectives and Programs 2017-2020.............................................................69

Annex 1b: Programs, Measures, and related Budgets for the period 2017-2020.............................70

Annex 2: Institutional Strategic Plan (summary table)....................................................................88

Annex 3: Programs and connected Measures, Output Indicators (summary table).........................97

Annex 4: Institutional Profile.......................................................................................................120

Annex 4.1: Legislation regulating the labor and social justice sector.............................................120

Annex 4.2: Treaties and conventions ratified by Romania.............................................................124

Annex 4.3: Model of service delivery.............................................................................................127

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List of Acronyms

ANC National Authority for Professional Qualifications (Autoritatea Națională pentru Calificări)

ANES National Agency for Equality of Chances between Women and Men (Agenția Națională pentru Egalitate de Șanse între Femei și Bărbați)

ANOFM National Employment Agency (Agenția Națională pentru Ocuparea Forței de Muncă)ANPD National Authority for People with Disabilities (Autoritatea Naţională pentru

Persoanele cu Dizabilităţi)ANPDCA National Authority for the Protection of the Rights of the Child and Adoption

(Autoritatea Naţională pentru Protecţia Drepturilor Copilului şi Adopţie)ANPIS National Agency for Payments and Social Inspection (Agenția Națională pentru Plăți și

Inspecție Socială)ASF Financial Supervisory (Authority Autoritatea de supraveghere financiară)CE European Commission (Comisia Europeană)CNP National Commission for Prognosis (Comisia Naționala de Prognoză)CNPP National House of Public Pensions (Casa Națională de Pensii Publice)DGASPC County Directorates of Social Assistance and Child Protection (Direcția Generală de

Asistență Socială și Protecția Copilului)EUROSTAT Statistical Office of the European Union (Oficul European de Statistică)EESSI Electronic Exchange of Social Security Information

FESI/ESIFEuropean Structural and Investment Funds (Fonduri Europene Sructurale și de Investiții)

G20Group of Twenty – Group of the world’s 20 most developed countries (Grupul celor 20 de state cele mai dezvoltate ale lumii)

IM Labor Inspection (Inspecția Muncii)INSSEE National Institute of Statistics (Institutul Național de Statistică) MEN Ministry of National Education (Ministerul Educației Naționale)

MCPDSMinistry of Public Consultation and Social Dialogue (Ministerul Consultării Publice și Dialogului Social)

MMSJ/MMJS/MLSJ

Ministry of Labor and Social Justice (Ministerul Muncii și Justiției Sociale)

MS Ministry of Health (Ministerul Sănătății)OIM/ILO International Labor Organization (Organizația Internațională a Muncii)ONU/UN United Nations (Organizația Națiunilor Unite)PG Governing Program (Program de guvernare)POCU/HCOP Human Capital Operational Program (Program Operațional Capital Uman)POR/ROP Regional Operational Program (Program Operational Regional)ISP Institutional Strategic PlanSPAS Public Social Assistance Services (Serviciu Public de Asistență Socială)SSM Occupational Health and Safety at work (Sănătate și securitate în muncă)

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UE/EU European Union (Uniunea Europeană)

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List of Figures

Figure 1. Employment rate and share of employees (%, 20-64 years).................................................11

Figure 2. In-work poverty (% of employed persons at poverty risk, 18-64 years)................................12

Figure 4. Current and projected levels of the minimum wage.............................................................13

Figure 4. Current and projected levels of the ratio between the gross wage in the public and private sectors..................................................................................................................................................14

Figure 5. Poverty rate among the elderly.............................................................................................32

Figure 6. Rate of severe material deprivation......................................................................................33

Figure 7. The expected evolution of the pension system in Romania..................................................34

Figure 8. Population at risk of poverty and social exclusion (% of total population)............................40

Figure 9. Other main indicators of poverty, 2008-2015, (% of the total population)...........................41

Figure 10. Monitoring cycle for MMJS ISP 2017-2020.........................................................................65

Figure 11. Structure of MMJS employees including in the institutions in subordination / under its authority, and the dignitaries.............................................................................................................134

List of Tables

Table 1. Broad groups of citizens targeted by MMJS..............................................................................6

Table 2. Financing of the programs from the Strategic Objective 1.....................................................15




Table 6. Financial resources for operationalizing the 2017-20 ISP (thousand RON).............................67

List of Boxes

Box 1. List of regulations regarding the pensions system.....................................................................38

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Acknowledgements

This report was drafted by a team consisting of Cătălin Păuna (TTL, Senior Economist), Geomina Turlea, Mihai Vîlnoiu, Costel Tudor and Victor Giosan (experts of the World Bank). The report was given careful comments by Mr. Gary Reid (The World Bank) and Mr. Gord Evans (Evans Consulting). Mr. Lucian Novak (National Commission for Prognosis), Mrs. Andrea Cambir (National Institute for Statistics) and Mr. Vlad Grigoraș (the World Bank) have provided support on data and forecasts.

The team would like to thank the staff at the Secretariat General of the Government (SGG) for the support and excellent collaboration provided throughout the elaboration of this Note, in particular to Secretary of State Radu Puchiu, and General Director Dragoș Negoiță, as well to the counselor Radu Iacob and the project team, who provided useful recommendations and achieved a proper project management.

At the same time, the team would like to thank the Minister of Labor and Social Justice for the excellent cooperation, especially Secretary of State Mrs. Daniela Morosanu and Mr. Ion Liviu Stochiţa.

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1. Context

1.1. Conceptual delimitation of the Labor and Social Justice sector and the broad groups of citizens served by policies promoted by the corresponding Ministry and the institutions in its subordination, under authority and in coordination

In Romania, the Labor and Social Justice Sector covers three associated fields of social policy, namely labor (occupation and mobility, professional training, occupational health and safety at work), family (child protection and family policies, social inclusion) and social protection (pensions and other special rights, social assistance, social inclusion, protection of the elderly and of people with disabilities) and social justice.

Table 1. Broad groups of citizens targeted by MMJS

2015 Number of persons, of which % at risk of poverty or social exclusion

Employed persons (15-64 y) 8 235 00018,8%

Unemployed 518 000 (2016) – unemployed according to ILO methodology75%418 500 (2016) – unemployed registered at ANOFM

Young NEETs (15-24 y) 380 500 (2016)

Women (over 15 y) 6 570 000 (2016)36,7% (2015)

Elderly (over 55 y) 6 108 000 (2016)34%

People at risk of poverty or social exclusion 7 435 000Disabled 752 9311 (2015)

39.1%2 (2015)Children 3 065 000 (2016)

46% (2015)

Data source: EUROSTAT

1 Source: National Authority for People with Disabilities)2 Source: EUROSTAT – having in view the differences in definition and methodology between alternative sources, the at-risk of poverty and social exclusion rate should be regarded as estimative only

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1.2. Main internal and external trends in the Labor and Social Justice Sector

In the latest report on global employment and social trends, the International Labor Organization (ILO) discusses the inter-dependency between a slowdown of global growth on the one hand and the evolution of the labor market and the social issues on the other. Deteriorating employment conditions is a trend seen in most regions of the world. The share of vulnerable jobs has slowed its decreasing pace and continues to remain at high levels. There is still gender discrimination, with high variations in terms of importance and intensity between different regions of the world. The middle class shrunk even in certain developed countries and inequalities have grown in the G20 countries.

In Europe, reducing unemployment among the young and long-term unemployment, as well as adaptable competencies represent priorities on the Juncker Commission Agenda. The EC’s Annual Growth Survey (2016) recommends all member states to double their efforts related to stimulating the three elements of the vicious circle of economic politics – investment, structural reforms and responsible budget policies. With these, the aim is for a deeper social justice and inclusive growth

In its latest annual report on the labor market and wage developments in Europe, the European Commission (EC) reaches the conclusion that, despite positive evolution on the markets of member countries of the European Union (EU) after 2013 and despite a continued economic growth thereafter, it is necessary to continue the implementation of measures to support the effective absorption of the unemployed, especially measures to prevent structural and long-term unemployment, such as a more comprehensive reform of markets, taxation and social welfare systems, but also specific measures such as professional training and supporting the creation of jobs

The Romanian paradox consists in a high economic growth, accompanied by a stagnating level of employment. In the second quarter of 2016, Romania had the highest GDP growth rate in the EU (almost 6%) together with an significant decline in the rate of at risk of poverty and social exclusion rate. Even beyond the assumed 2020 target but, on the other hand, it was one of the three EU countries where no increase was seen in terms of employment and the in-work poverty rate remained constant.

The economic growth of 2016 was especially reflected in profits and in wage increases for certain categories of employees following the restructuring of the economy towards sectors with a higher value added. Taxing these categories led to an increase in budget revenues. But in the same time, additional budget spending covered the increase in the pension point and children state allowance, changes in the criteria for granting certain social security benefits. These decisions were accompanied by comprehensive labor force activation measures, the results of which will be seen on short and medium term. Still, for 2017 and 2018 the prognosis is for a budget deficit level above the one stated in the budget planning and even above the sustainability limit set by the EC (-3.6%)3.

Poverty reduction took place in conditions of increasing inequalities in revenues and a higher budget deficit, including expenses with social security. Moreover, or certain vulnerable groups, like the youth, single parents, people with disabilities, persons of Roma ethnicity, the rate of poverty and social exclusion remains high. Providing integrated social services to these categories is limited, although some changes are foreseen4.

3 https://ec.europa.eu/info/publications/2017-european-semester-country-reports_en4 https://ec.europa.eu/info/publications/2017-european-semester-country-reports_en

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https://ec.europa.eu/info/publications/2017-european-semester-country-reports_en


This polarization is not specific to Romania. Although worldwide extreme poverty has decreased significantly since 2000, progress started to slow down since 2013, especially in the less developed countries. Increasingly more people live at an average poverty level, and in-work poverty rate has increased in Europe. Aging population and the ever higher old-age dependency rate complicates the situation further. Migration, which may be a way to bring balance back into the demographic situation, intensified recently on the backbone of liberalization and the current political situation. The higher flows of immigrants require, on the one hand an efficient absorption on the labor market and social integration of a large number of people in a relatively short time span in countries with a net inflow of immigrants, and on the other hand, policies to cope and respond to the vulnerability associated with the drain of, especially qualified, labor supply in countries facing a net outflow of immigrants, like Romania.

ILO draws attention on the necessity to reorient economic and employment policies towards strengthening labor market institutions, but also towards redesigning social protection systems given the conditions of a slowdown in the increase of minimum and medium wage revenues. ILO concludes that worldwide it is of crucial importance to engage into a focused effort to reduce social and economic inequality by increasing the number of jobs and the quality of jobs. Thus, placing decent labor conditions at the core of political strategies not only would reduce the impact of the crisis on the labor market, but it would also generate a better suited response to social problems and would contribute to repositioning the world economy on a sustainable growth path.

The EC’s country recommendation for Romania (2016), referring to the field of labor and social justice is “Strengthen the National Employment Agency's services to employers and jobseekers, in particular by tailoring services to jobseeker profiles, better linking them with social assistance, including social services, and reaching out to unregistered young people. Establish, in consultation with social partners, objective criteria for setting the minimum wage. […]. Take action to prevent early school leaving and increase the provision of quality education, in particular among Roma. Adopt the equalization of the pension age for men and women” .

In the analysis published on 22/02/2017 for the European Semester, the EC stated progress had been made in reducing the number of poor and people at risk of poverty and social exclusion, in strengthening the capacity of the public employment service and in linking social services to employment services. On the other hand, progress in creating a system to establish the minimum wage is limited and there has been no progress in the process to make equal the pension age for women and men.

The recent insertion of the concept of social justice in the name of the Ministry reflects the increasing preoccupation for strengthening social cohesion, assuring a decent life standard and equal and unhindered access to opportunities for all citizens. The governing program 2017-2020 continues the previous political trends where the focus on quality employment is at the core of social policies, and favoring integrated social policy measures. This orientation is fully aligned both with the situation on the domestic labor market and with modern international practices.

1.3. Analysis of political, economic, social and technological factors relevant for the Labor and Social Justice Sector

The analysis of political, economic, social and technological factors positions the activity of MMJS in a complex context, under multiple influences. By facilitating the adjustment to the European Single

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Market and to the reality of intensifying migratory flows, intra- and extra-European and in the conditions of the global instability, the European and UN Strategies ratified by Romania (Europe 2020, 2030 Sustainable Development Agenda) have a major impact in the focusing the policies in the MMJS portfolio. On the domestic market though, the lack of predictability in the legal and economic environment remains a challenge with sizable impact, especially given the repeated reorganization and restructuring of the public institutions in a short timeframe.

A certain optimization of the inter-institutional cooperation is under way, following a deeper collaboration of institutional actors in elaborating the legislation and a higher implication of the civil society and of other stakeholders interested in a better formulation and implementation of relevant policies, with the central government commitment towards adoption of better governance practices acting as a catalyzer of this process. On the other hand, the budgetary funds allocated to the Labor and Social Justice Sector are limited as compared with the needs identified and the use of external funding (European Social Funds) is not fully harmonized with the budgetary spending rules Rising awareness of the citizens, civil society and social partners regarding the need to improve the quality of services provided to the citizens is slow, and the institutional capacity of the social partners is limited.

Citizens are not fully aware of their and institutions’ responsibilities and obligations in solving social problems, nor of the rights and obligations established through the labor legislation. This lack of awareness fuels the lack of trust towards the institutions in general and at least for a part of the population, towards the proposed reforms in the field of employment and social protection.

The analysis of the economic context relevant for this field is centered on the phenomenon of labor relocation towards economic sectors with higher value added – there in turn follow the fast technological changes. However, the professional reconversion cannot always keep the pace with the technological changes. Moreover, the correlation between the labor market priorities, and their alignment with the target economic development on the one hand, and the curricula in the formal education system remains low. Social economy is under-developed and the discrimination and reduced physical accessibility of many sites impede the employability of persons from vulnerable groups. Part of the population has negative attitude towards work, which limits the employable labor supply.

Romanian labor market proved to be resilient to crisis, with the level of wage and the working time absorbing the shock before the employment. Such market behavior could maintain and even amplify in the future, if there will be no progress in the quantity and quality of labor supply, more precisely if rate of dropout maintains high, graduation rate in the secondary education low, and negative demographic trends (net external migration, low natality rate) continues to generate lower activity rate and higher old dependency rate. On the other hand, working conditions are stable and in process of improvement, with the dramatic decline in the rate of working accidents being only one of the supporting trends, and the low inflation gives a good signal of macroeconomic stability.

The Romanian society is characterized by significant regional and urban-rural disparities in economic development, employment rates, wages and poverty levels, and by communities affected by segregation and lack of solidarity and cohesion, although a certain increase in citizens involvement in voluntary activities is a noticeable trend and contributes to a better support network for people in vulnerable situations. The strong family support for people with disabilities favors the deinstitutionalization policy.

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2. Mission and vision

The Governing Program 2017-2020 presents the following vision of the government for the field of labor and social justice:

"Providing the highest life standard possible for all citizens must be Romania’s fundamental objective. We will continue our actions to make the labor market more inclusive and to reduce inequalities by promoting coherent and realistic public policies, which will determine a competitive, dynamic and flexible labor market, ensuring access of most citizen to good quality jobs, depending on their competence and skills, for decent incomes and without discrimination”5.

The mission of the Ministry of Labor and Social Justice and the institutions subordinated/under authority/under coordination is:

“The mission of the MMJS is to identify, develop and promote Government strategies and policies in the field of labor, family, social protection, senior citizens, equality of chances, employment relations by applying the principle of social justice and in full compliance with community policies, with the provisions of the Governing Program and the principles of the rule of law and democracy. Given the promoted principle of social justice, the MMJS acts to assure a positive and dynamic interaction of social policies and employment policies, in order to improve the quality of life of all citizens, to assure social cohesion and to reduce poverty and the risk of social exclusion by assuring a good quality social and employment system, which is fair for and accessible to everyone“6.

5 http://www.cdep.ro/pdfs/oz/Program%20de%20Guvernare.pdf6http://discutii.mfinante.ro/static/10/Mfp/proiect_buget_2017/Anexa_3/ Ministerul_Muncii_Familiei_Justitiei_Sociale.pdf

11

http://discutii.mfinante.ro/static/10/Mfp/proiect_buget_2017/Anexa_3/Ministerul_Muncii_Familiei_Justitiei_Sociale.pdf

http://discutii.mfinante.ro/static/10/Mfp/proiect_buget_2017/Anexa_3/Ministerul_Muncii_Familiei_Justitiei_Sociale.pdf

http://www.cdep.ro/pdfs/oz/Program%20de%20Guvernare.pdf

3. Strategic objectives, programs, measures, indicators

Strategic objective 1: Increasing the employment rate of people aged 20-64, on an inclusive labor market, that would support competitive economic growth and lead to a

reduction of in-work poverty and informal labor

The employment rate (67.7% in the 3rd quarter of 2016), significantly below the EU average, did not make any progress as compared to the same period of the previous year. However, estimates for 2016 show a modest increase (+3pp) compared to the previous year. There was an increase in the share of the employees in total employment and in the level of productivity

Figure 1. Employment rate and share of employees (%, 20-64 years)


There are significant gender differences in terms of employment rates (57.5% for women, constant since 2008, as opposed to 74.9% for men) and limited progress is made in stimulating employment of other disadvantaged categories: elderly, Roma (with an employment rate of only 33%) and people with disabilities, except for youth, in whose case unemployment dropped by 2.3pp between 2014 and 2015. However, the gender pay gap is remarkably low, more than three times smaller than the EU average.

On the other hand, in the same interval, the rate of NEET youth has increased (from 17% to 18.1%), as well as the share of long-term unemployed, but the number of persons discouraged in seeking a job has dropped. There are important disparities in how the labor market functions in the urban versus the rural areas and from one region to another, and the informal economy is still very high.

Regarded in isolation, unemployment in Romania does not seem a worrying phenomenon, compared to other countries. When measured according to the ILO methodology, the

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unemployment rate was in 2016 5.9%7, with the registered unemployment rate was 4.77%8 Only taken in conjunction with the high rate of inactivity and of vulnerable employment one can conclude that the reason of low unemployment is not a reflection of a high employment rate, but of a discouraged labor force. Moreover, the 6.1% unemployment rate given by the ILO (obtained from surveys)is higher than the unemployment rate given by ANOFM (4.7%). The difference between the two figures, about 100 though people, is to some extent due to methodological reasons, but it can be seem as approximating the number of those who, although their own declaration are searching for a job, do not register to ANOFM. Moreover, only by comparison with the rate of inactive population it appears that the explanation of the low unemployment is not a high employment, but a high share of discouraged jobseekers. Almost 310 though persons declare themselves discouraged9. Current activation policies put in place by ANOFM could contribute to am improvement in the current market situation.

The total inactivity rate in Romania (34,4% in 2016), is the second highest in EU.

The in-work poverty rate among employees is significantly below the one in the EU. Over the totality of the employed, the in-work poverty, (with a level double than the one in EU) is due to employed people with a different employment status than employee, namely: self-employed and contributing family workers, especially from the rural areas/subsistence agriculture, and including a part of informal workers (those that declare in the survey that they are paid for work), as well as to the high share of those categories in total employment. Besides low and volatile revenues, hence very high level of in-work poverty, a very high share of self-employed and contributing family workers do not participate to contributive schemes like unemployment and pensions and do not benefit of insurance against working accidents. Recently, the share of self-employed and contributing family workers have declined, but it is still very high (over 25% of total employment10).

Figure 2. In-work poverty (% of employed persons at poverty risk, 18-64 years)

7 EUROSTAT, http://appsso.eurostat.ec.europa.eu/nui/show.do?dataset=une_rt_a&lang=en8 ANOFM, @016 Activity Report 9 According to EUROSTAT, in 2016 4.6 mil persons in working age (15-64 years) were inactive in Romania, out of which, 6.8% (namely 310.5 thou) believe that there are no available jobs for them (Romania has the fourth highest share among the EU countries). These are the persons considered discouraged here, although it is very likely an estimated minimum. Romania is almost on the last place (26) in Europe in what concerns the share of inactive persons in education, and almost 20% of the inactive are included under the heading ‘other reasons. 10 Date EUROSTAT

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It should not be forgotten the fact that the in-work poverty rate is an indicator relative to the national average. Consequently, and according to the international best practice, policies to fight the in-work poverty are concentrated on three main lines11. Wage policy insures that the minimum wage remains over the absolute poverty line, and this with minimum effects on the wage-earning job creation, while the wage distribution in the public sector is expected to have an impact on the wage asymmetry in the private sector. Fighting the informal employment is essential, simply because it brings the informal workers into the formal employment. Moreover, the employment policy has, at least for the time being, a direct impact on in-work poverty, simply because it encourages the wage earning job creation. Not in the last run, the social benefits that support the workers family and/or those that supplement financially lower wages are redistributive measures with direct effect on the level of in-work poverty.

However, even if the policies to stimulate the formal employment remain a fundamental priority, they need to be corroborated with policies to stimulate internal supply, namely those aiming to increase business investments, and the growth of services and agriculture.

For the period 2017-2020 increases of the minimum wage are planned, but they are expected to be smaller than in the case of the medium wage, so that the ratio minimum wage / medium wage is stabilized to 40%, and economic growth will rather fuel the development of the middle class and the paid employment, as stated in the Governing Program.

Figure 3. Current and projected levels of the minimum wage

Data source: INSEE, CNP, Governing Program,, HG minimum wage, 2006-2017

Because the share of employees in the public sector in the total number of employees is high, the level and distribution of salaries per categories of employees (by education, positions, etc.) in the public sector have a direct impact not only on the average wage, but also on its distribution. The Governing Program aims for an important initial increase of salaries in the public sector, which will deepen the already existing gap, to consequently influence an almost equally important increase of salaries in the private sector and a reduction in the asymmetry of wage distribution. In addition, in

11 https://www.oecd.org/els/43650040.pdf

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Prognosis

https://www.oecd.org/els/43650040.pdf

order to reduce the external migration of qualified employees from the key public domains, a decision was recently made to increase the wages in education and health.

Figure 4. Current and projected levels of the ratio between the gross wage in the public and private sectors

Data source: INSEE, CNP, Governing Program

Structural reallocation between sectors is a positive development: the number of low skilled workers in agriculture and industry is reduced and total employment in services, constructions and the public-sector increases.

Romania is facing a deficit in certain skills and competences, in particular in information and communication technologies (ICT), education, health and services, due to low performance of the education and long-life learning system corroborated with less attractive wage and working condition when comparing with the external offer. In this respect, the training programs offered by ANOFM have an important role in harmonizing the labor demand and supply on the internal market.

There is a low internal mobility of labor12, but the reform of the measures to stimulate it may contribute to the balancing of the skills deficit.

Continuing and intensifying the ambitious reforms started in 2016 is essential for the future economic growth and poverty reduction. The result of these reforms depends on the existence of real social dialogue. Currently, there is limited collective negotiation at sector level, as well as various institutional weaknesses in this process.

On medium and long term, unemployment and the low rate of employment among the young, in conjunction with an aging population and an increase in the elderly dependency rate (expected to double by 2050) remain real threats.

12 https://ec.europa.eu/info/publications/2017-european-semester-country-reports_en

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Prognosis


Table 2. Financing of the programs from the Strategic Objective 1

Program level budget for Strategic Objective 1

Total value, thou RON

Value/year, thou RON

2017 2018 2019 2020

Program 1.1. Real opportunities for youth 550.691 141.674 138.435 136.367 134.216

Program 1.2. Employment for all 1.167.410 318.273 281.871 281.950 285.317

Program 1.3. Passive labor market measures 2.857.697 729.536 711.102 709.014 708.045

Program 1.4. Working conditions 573.876 100.796 154.624 157.715 160.741

Program 1.5. Insurance for work accidents and occupational diseases

411.772 94.617 102.619 107.268 107.268

Total OS 1 5.561.445 1.384.895 1.388.650 1.392.31

3 1.395.587

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Strategic obiective 1: Increasing the employment rate of people aged 20-64, on an inclusive labor market, that would support competitive economic growth and lead to a reduction of in-work poverty and informal labor

Program 1.1: Real opportunities for youth NEETs

Measures of Program 1.1.M1.1.1.1. Identification and registration of young NEETs in the integrated database of ANOFM (National Employment Agency) M1.1.1.2. Information and career counselling servicesM1.1.1.3. Labor matching servicesM1.1.1.4. Assistance and consultancy services for a business start-up or for starting a self-employed professional activityM1.1.1.5. Professional training coursesM1.1.1.6. Evaluation and certification of professional skills acquired through non-formal and informal learningM1.1.1.7. Apprenticeship vocational training schemesM1.1.1.8. Internship programs for higher-education graduatesM1.1.1.9. Mobility support schemes (commuting and resettlement grants)M1.1.1.10. Mobility support schemes (relocation grants)M1.1.1.11. Activation grants M1.1.1.12. Subsidies to employers for hiring graduates and young NEETsM1.1.1.13. Personalized social accompaniment

Program 1.2: Employment for all

Measures of Program 1.2.M1.2.1.1. Information and career counselling servicesM1.2.1.2. Labour matching servicesM1.2.1.3. Assistance and consultancy services for a business start-up or for starting a self-employed professional activity;M1.2.1.4. Partial unemployment benefits payed to the unemployed who take up employment prior to the expiration of the legal period for receiving unemployment benefit M1.2.1.5. Mobility support schemes (commuting grants)M1.2.1.6. Mobility support schemes (resettlement grants)M1.2.1.7. Mobility support schemes (relocation grants)M1.2.1.8. Employment grants for graduatesM1.2.1.9. Activation grants for the unemployed who do not collect unemployment benefits M1.2.1.10. Bonuses for graduates that register to ANOFMM1.2.1.11. Personalized social accompaniment M1.2.2.1. Internship schemes for higher-education graduatesM1.2.2.2. Temporary jobs scheme for pupils and students during the holidaysM1.2.2.3. Apprenticeship vocational training schemesM1.2.3.1. Professional training coursesM1.2.3.2. Evaluation and certification of professional skills acquired through non-formal and informal learningM1.2.4.1. Subsidies to employers who benefit from contracts for providing public interest community works or social servicesM1.2.4.2. Subsidies to employers who hire graduatesM1.2.4.3. Subsidies to employers who hire graduates with disabilitiesM1.2.4.4. Subsidies to employers who hire unemployed aged 45 or more M1.2.4.5. Subsidies to employers who hire persons from single-parent familiesM1.2.4.6. Subsidies to employers who hire long-term unemployedM1.2.4.7. Subsidies to employers who hire young NEETsM1.2.4.8. Subsidies to employers who hire people with disabilitiesM1.2.4.9. Subsidies to employers who hire people with less than 5 years to the retirementM1.2.4.10. Subsidies to employers who hire young persons at risk of marginalisation

Program 1.3: Passive labor market

measures

Measures of Program 1.3.

M1.3.1.1. Unemployment benefits, social security contributions and health insurance contributions for the recipients of unemployment benefitsM1.3.1.2. Redundancy payments

Program 1.4: Working conditions

Measures of Program 1.4.M1.4.1.1. Decent and motivating wagesM1.4.1.2. Implementation of a unitary wage system for the public sector employeesM1.4.2.1. Achieving the health and security at work objectives from the MMJS Sectoral R&D Framework Program M1.4.2.2. Ensuring the legal and organizational framework for supporting Romanian manufacturers of machinery, equipment and protection systems for use in environments with risks of explosion, individual protection equipment, explosives for civil use and pyrotechnic articles, in order to introduce these products on the EU single marketM1.4.3.1. Strengthen measures to prevent and reduce the undeclared work (annual plan of measures)M1.4.3.2. Fight against gender discrimination, harassment, and sexual harassment on the labour market M1.4.3.3. Increasing the safety of the workplaceM1.4.3.4. Increased control on the establishment and provision of statutory rights to employees as derived from labour legislation, relevant collective contract, and individual labour contractsM1.4.3.5. Rising awareness of the socio-economic environment regarding compliance with the legislation in force and ensuring working conditions

Program 1.5: Insurance for work accidents and occupational

diseases

Measures of Program 1.5.M1.5.1.1. Higher accessibility for the beneficiariesM1.5.1.2. Simplification and higher efficiency of the system for beneficiariesM1.5.1.3. Improving benefits to families of occupational accidents and occupational diseases victimsM1.5.2.1. Ensuring the flow of European documents without disruptionsM1.5.2.2. Reducing the response times of competent institutions according to the requirements of European regulationsM1.5.3.1. Diversification of annual prevention programs structured on EC Directives / national legislationM1.5.3.2. Focus of the preventive activities towards the SMEsM1.5.3.3. Progressive development of information / communication campaigns addressed to the business environment

Strategic objective1 targets long-term results in increasing the employment rate. This should be achieved through the implementation of the following programs.

Program 1.1: Real opportunities for youth

Youth unemployment (15-24 years), 20.6% in 2016, places Romania on position 18/28 (in ascending order) among EU countries, while in terms of employment for the same category, 24.5% in 2015, Romania ranks 10/28 (also in ascending order). The explanation is a low youth activity rate, 10pp below the European average. According to Eurostat, in 2015, only Spain and Greece had lower employment rates with respect to newly graduates of at least higher secondary education than Romania. Even when joining the labor market, the young are employed based on limited-term employment contracts, the contract period being used by companies to test their skills and productivity, before possibly offering them unlimited-term labor contracts. This practice leads to a segmentation of the labor market, many young people switching from temporary employment to

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Employment rate for persons aged 20 to 64. Target 2020: 70%In-work at risk of poverty rate. Target 2020: 16,59%Impacts

(1.1.1) Reducing and preventing of unemployment among the young NEETs: The share of young people under the age of 25 who take up employment, attend training courses, conclude an apprenticeship contract at the workplace or conclude an internship contract(1.2.1) Increasing the employment of the persons registered with ANOFM and preventing unemployment: Share of filled vacancies; Share of registered jobseekers who take up employment(1.2.2) Facilitating the transition from school to work: Share of registered jobseekers that conclude an apprenticeship contract; Share of higher education graduates that conclude an internship contract(1.2.3) Improving the skills of persons registered at the ANOFM through professional training: Share of the persons who take-up employment after no more than 6 months from graduating from a professional training course; Share of the persons who take up employment no more than 12 months qfter graduating from a professional training course (1.2.4) Stimulating labor demand: Share of the persons who take-up employment after no more than 6 months from graduating from a professional training course(1.3.1) Ensuring the protection of people in the unemployment insurance system: Share of unemployed receiving the unemployment benefit in the total number of unemployed(1.4.1) Reducing the in-work at risk of poverty rate and the asymmetry of the wage curve: Ratio between gross minimum wage and gross average wage(1.4.2) Improving the level of safety and security at work and insuring the legal framework for provision of products subject to MMJS approval, according to the essential safety requirements: Fatal accidents at work as share of total accidents at work(1.4.3) Insuring employers’ full compliance with the legislation in the field of labor relations, safety and security at work and fight against discrimination: Verification of employers’ compliance level(1.5.1) Focusing the occupational accidents and occupational diseases schemes towards better support for the beneficiaries: Diversification of benefits(1.5.2) Harmonizing the national legislation with the European Regulations as requested by the Electronic Exchange of Social Security Information (EESSI) : Level of employers ‘conformity with the requirements of the EU regulation(1.5.3) Supporting employers in prevention activity: Higher security and safety at work

Program results

unemployment (young women show higher risks), which in turn can lead to poverty and social exclusion. Young employees with limited-term labor contracts are relatively poorly paid, being involved to a lower extent in training for skill formation and development, which makes their transition to a good quality job difficult, generating at the same time reduced contributions to the pension funds13.

Program 1.1, Real opportunities for youth, reflects the obligations assumed by Romania following the Council Recommendations (2013/C 120/01) of April 22nd 2013 on financing a Youth Guarantee and includes a variety of measures targeting young persons (aged 15-24) measures combining employment with professional training, and aiming to open the possibility towards further development of skills acquired during the initial formal education and acquiring of new skills through apprenticeships and training; by this approach Program 1.1. continues the system of policies put in place during 2014-2015 under the name of Youth Guarantee.

This program only comprises the specific measures for youth – young people generally also have access to the active and passive labor market measures described in Program 1.2 and 1.3. But the paradigm in the case of youth is to apply integrated programs / service packages 14, which include case management and consist of: information and professional counseling; labor mediation, consultancy and assistance for starting an independent activity or for initiating a business; free access to professional training; services of assessment and certification of professional competences acquired through non-formal and informal learning; on-the-job professional training; stimulating mobility and personalized social accompaniment.

Policies in the field of youth employment are developed by the MMJS through the Employment Policies Department, in cooperation with various institutional partners. The measures included in Program 1.1 are mainly implemented by ANOFM, in partnership with institutions subordinated to the MMJS, the private sector, the local administration and the Ministry of National Education, under the monitoring and coordination of the MMJS. In order to improve implementation partnerships, the MMJS will consolidate the cooperation between institutions and relevant stakeholders for monitoring the transition of youth from school into the active life / career at the central and regional / local level by developing a system for monitoring these transitions.

Exerting its function of strategy making and planning in this field, the MMJS develops a new Youth Guarantee and, in partnership with implementation partners, initiates programs to support investments in the CDI, including in the rural sector, stimulating start-ups and spin-offs and attracting young researchers in CDI excellence centers. The MMJS will promote the transformation of internships into permanent labor contracts.

The implementation of these programs and other initiatives will be supported by adapting, completing and updating the legal framework. Through the current Governing Program, the focus is on promoting a legislation for the youth ensuring coherent transition from the educational system to the labor market, as well as the balance between the professional and personal life.

In cooperation with the Ministry of National Education and the National Authority for Professional Qualifications (ANC), the MMJS will implement certain clear procedures to recognize volunteering activities based on the National Framework of Qualifications and, by developing research, studies and prognoses, it will contribute to correlating the higher education curriculum to the structural

13 http://www.mmssf.ro/j33/images/Documente/Munca/2014-DOES/2014-03-31_YGIP_Ro_final.pdf 14 Governing Program 2017-2020 proposes the same principle for long-term unemployed persons. The integrated pack of measures for reintegrating long-term unemployd persons into the labor market is to include measures in the scope mentoring activities, assistance for seeking a job, continuing education and professional training, and also support for housing, transport, childcare services and medical or recovery care services

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http://www.mmssf.ro/j33/images/Documente/Munca/2014-DOES/2014-03-31_YGIP_Ro_final.pdf

changes on the labor market for the 2020-time frame. To the extent allowed by the mandate and current legislation, the MMJS will contribute to modernizing and establishing educational units / institutions and professional training centers.

Program 1.1 is financed from the following sources:

1. MMJS budget2. Unemployment Insurance Budget (BAȘ)3. Human Capital Operational Program (POCU)4. Other sources(potentially)

Objectives: Program 1.1 has one objective and its results are to be measured by 2020 via the following result indicators:

Specific Objective P1.1.1: Reducing and preventing of unemployment among the young NEETs

• (1.1.1) The share of young people under the age of 25 who take up employment, attend training courses, conclude an apprenticeship contract at the workplace or conclude an internship contract will increase from 45% in 2015 up to 75% in 2020

Measures. Program 1.1. includes actions planned by relevant sectorial strategies and will focus at the level of measure on those activities prioritized by the Governing Program 2017-2020. Corresponding budgets are detailed in the Annex 1, while the targets at measure level are presented in Annex 3.

(1.1.1) Reducing and preventing of unemployment among the young NEETs

1.1.1.1 Identification and registration of young NEETs in the integrated database of ANOFM (National Employment Agency)

1.1.1.2 Information and career counselling services

1.1.1.3 Labor matching services

1.1.1.4 Assistance and consultancy services for a business start-up or for starting a self-employed professional activity

1.1.1.5 Professional training courses

1.1.1.6 Evaluation and certification of professional skills acquired through non-formal and informal learning

1.1.1.7 Apprenticeship vocational training schemes

1.1.1.8 Internship programs for higher-education graduates

1.1.1.9 Mobility support schemes (commuting and resettlement grants)

1.1.1.10 Mobility support schemes (relocation grants)

1.1.1.11 Activation grants

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1.1.1.12 Subsidies to employers for hiring graduates and young NEETs

1.1.1.13. Personalized social accompaniment

Success factors. The main success factors of this program are as follows: a) efficient communication of programs to youth and potential employers; b) engaging implementation stakeholders and making them responsible; c) corroborating internal financing with external ones; d) drafting and implementing an integrated program of type Youth Guarantee; e) continuing the reforms implemented in the ANOFM. ANOFM holds a more important role in implementing integrated packages on employment measures, especially in the field of youth employment. For example, ANOFM has now a pivotal role in activation policies, which can be strengthened through intra-institutional cooperation. For activating NEET youth, but also other categories of inactive persons, ANOFM will act in cooperation with social workers and vocational counselors for a personalized approach.

Program 1.2: Employment for all

Motivation Diminishing the employment gaps between Romania and the EU and between the current and potential employment and the transformation of vulnerable employment into a sustainable one answers to the need of improving the use of labor resources, which is at a level that threatens, according to the EU, the continuation of economic growth (see also Figure 2 and the comments around it).

The target for employment rate of persons aged 20-64 was adopted by Romania within the Europe 2020 Strategy (COM(2010) 2020 final Communication from the Commission, EUROPE 2020 A strategy for smart, sustainable and inclusive growth). The main strategic document relevant for this program is the National Strategy for Employment 2014-2020, approved together with its implementation plan by the Government Decision (HG) 1071/2013. Programming and implementation details are also established through the EU-funded Human Capital Operational Program.

Program 1.2. aims at increasing the employability of jobseekers registered at ANOFM, by customized support, adapted to the individual profile. This program give priority to the more vulnerable categories: graduates, long term unemployed, unemployed over 45y, unemployed single parents, unemployed who, according to the law, could apply for early retirement in a timeframe of 5 years from taking up employment, people with disabilities, roma, people from the rural areas, youth leaving the orphanages, former convicts etc. To this could be added the redundant workers and those under the imminent risk to become unemployed.

The main policy directions of the Program 1.2. are: 1) stimulate the creation of sustainable jobs and prevent unemployment and 2) improvement of skills and competencies of jobseekers registered at ANOFM. The training programs are to be adopted to the market requests, including through apprenticeships and internships as well as through evaluation and certification of professional skills acquired through non-formal and informal learning.

Additional measures are foreseen by the Governing Program like the introduction of training vouchers in order to speed up the process of professional reconversion and reinsertion on the labour market.

Program 1.2., Employment for all, also refers to the transition from school to work, because these are measures that address not only to youth, but to all graduates.

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Policies in the field of employment are developed by the MMJS through the Employment Policies Department, in cooperation with various institutional partners. The measures included in Program 1.2 are mainly implemented by ANOFM, in partnership with other institutions subordinated to the MMJS, especially the ANPD, the private sector, NGOs, and the local administration under the monitoring and coordination of the MMJS.

The implementation of these programs and other initiatives will be supported by adapting, completing and updating the legal framework. A modification to the Labor Code could facilitate the access of elderly to employment by promoting flexible forms of labor organization. The current governing program proposes to adopt flexible and modern forms of employment like teleworking and to recognize activities of volunteering as work seniority. Amending Law no. 448/2006 on the protection and promotion of rights of persons with disabilities means to facilitate their integration in the society in a genuine way, including by increasing their share in the number of employees. This legislative action will be accompanied by stimulating the development of a network of specialists for counseling and information regarding jobs for the disabled.

Regarding the development of strategies, the Governing Program also includes the drafting of a National Strategy for green jobs. This will assure the transition to a Green Economy. The European Employment Observatory states in the study made in 2013 that in Romania ecological sectors could represent 25% in the total employment.

Existing strategies refer to numerous specific programs meant to stimulate persons belonging to disadvantaged categories. For example, one aim is to encourage social economy structures to hire elderly persons, while women could benefit from employment in the field of caretaking for old and dependent persons. The Governing Paz\lan includes stimulating the re-entry of women onto the labor market through such measures like increasing the quantum of the incentive for reinsertion by the end of the childcare period from 500 to 650 RON. In the field of activating and employing persons from disadvantaged categories, many of the actions are to be taken in cooperation with NGOs. It will be important to create the Insured Person’s Card in the Social Security System – the basic element of the integrated single social security system.

Discouraging the dependency on the social security measures is seen as the main means to combat inactivity; this will be done by: a) strengthening the connection with employment measures, gradual diminishing passive measures and developing active measures of social assistance; b) making beneficiaries of social assistance measures priority categories for active employment measures (see also Objective 3).


1. MMJS budget2. Social insurance budget (BAS)3. POCU4. Other sources (potentially)

Objective: Program 1.2 has four objectives and their results are to be measured by 2020 via the following result indicators:

Specific Objective P1.2.1: Increasing the employment rate of registered jobseekers and prevention of unemployment

(1.2.1) Share of filled vacancies

(1.2.2) Share of registered jobseekers who take up employment

Specific Objective P1.2.2: Facilitating the transition from school to work

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(1.2.3) Share of registered jobseekers that conclude an apprenticeship contract

(1.2.4) Share of higher education graduates that conclude an internship contract

Specific Objective P1.2.3: Improving the skills of persons registered at the ANOFM through professional training

(1.2.5) Share of the persons who take-up employment after no more than 6 months from graduating from a professional training course

(1.2.6) Share of the persons who take-up employment after no more than 12 months from graduating from a professional training course

Specific Objective P1.2.4: Stimulating labor demand

(1.2.7) Share of people employed as a result of incentives to employers


(1.2.1) Increasing the employment rate of registered jobseekers and prevention of unemployment

1.2.1.1 Information and career counselling services

1.2.1.2 Labor matching services

1.2.1.3 Assistance and consultancy services for a business start-up or for starting a self-employed professional activity

1.2.1.4 Partial unemployment benefits payed to the unemployed who take up employment prior to the expiration of the legal period for receiving unemployment benefit

1.2.1.5 Mobility support schemes (commuting grants)

1.2.1.6 Mobility support schemes (resettlement grants)

1.2.1.7 Mobility support schemes (relocation grants)

1.2.1.8 Employment grants for graduates

1.2.1.9 Activation grants for the unemployed who do not collect unemployment benefits

1.2.1.10 Bonuses for graduates that register to ANOFM

1.2.1.11 Personalized social accompaniment

(1.2.2) Facilitating the transition from school to work

1.2.2.1 Internship schemes for higher-education graduates

1.2.2.2 Temporary jobs scheme for pupils and students during the holidays

1.2.2.3 Apprenticeship vocational training schemes

(1.2.3) Improving the skills of persons registered at the ANOFM through professional training

1.2.3.1 Professional training courses

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1.2.3.2 Evaluation and certification of professional skills acquired through non-formal and informal learning

(1.2.4) Stimulating labor demand

1.2.4.1 Subsidies to employers who benefit from contracts for providing public interest community works or social services

1.2.4.2 Subsidies to employers who hire graduates

1.2.4.3 Subsidies to employers who hire graduates with disabilities

1.2.4.4 Subsidies to employers who hire unemployed aged 45 or more

1.2.4.5 Subsidies to employers who hire persons from single-parent families

1.2.4.6 Subsidies to employers who hire long-term unemployed

1.2.4.7 Subsidies to employers who hire young NEETs

1.2.4.8 Subsidies to employers who hire people with disabilities

1.2.4.9 Subsidies to employers who hire people with less than 5 years to the retirement

1.2.4.10 Subsidies to employers who hire young persons at risk of marginalisation

Success factors. The main success factors of this program are the following: a) efficient communication of programs so that target group can understand the benefits; b) optimal budgeting and sequencing to apply these measures; c) engaging implementation stakeholders and making them responsible. The success of these measures depends first of all on the response of the private sector to the incentives offered for creating jobs.

It is worthwhile to mention that in the last years the coverage and complexity of the set of active policies increased, owing to legal changes, integration of national and European funds and a better coordination of national and European funds. At implementation level, in 2016, ANOFM completed an important reform of its model of service delivery and developed a complex jobseeker profiling procedure, which application is currently compulsory by law. Those reforms bear the potential to generate long-lasting changes if they are deepened.

Program 1.3: Passive labor market measures

Motivation: According to the Law no. 76/2002, and in certain conditions, the unemployed are entitled to receive unemployment benefit. More precisely is about those that have no employment and their revenues from other sources are below the social reference indicator (ISR) 15. Redundancy payments is granted to people subject to collective redundancies, and it’s a revenue of compensatory nature. Both the unemployment benefit and the redundancy payments are granted only within the legal conditions and aim at protecting the financial stance of the unemployed and his family from the negative shocks as well as from psychological consequences.

15 ISR is a reference value for the majority of social benefits including unemployment benefit defined by Law 76/2002. It can be modified by Government decision according to the evolution of the value of the minimum basket. Currently is at a level of acbout 1/3 of the minimum wage.

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418 552 people was registered as jobseekers at the ANOFM in 2016, a lower number than in the previous year. 83 698 (app. 20%) do not receive benefits – they are normally persons that are no longer entitled to receiving benefits, or they do not fulfil the legal conditions, but are looking for a job. They are usually people with low skills, mostly from the rural areas who need to apply to receive the minimum guaranties income from the local authorities. Most of them become long-term unemployed (young below 25 that are unemployed for more than 6 months, adults over 25 that are unemployed for more than 12 months16.

Program 1.3., Passive labor market measures pays the unemployment benefits and the redundancy payments and its implemented by ANOFM.

Program 1.3 is financed from the following source:

1. Social insurance budget (BAS)

Objective: Program 1.3 has one specific objective and its results are to be measured by 2020 via the following result indicators:

Specific Objective P1.3.1: Ensuring the protection of people in the unemployment insurance system

• (1.3.1) Share of unemployed receiving the unemployment benefit in the total number of unemployed

Measures: Program 1.3. Includes actions provided for by Law 76/2002 with subsequent amendments and GEO 36/2013. The allocated budgets are shown in Annex 1 and the indicators of the measures are presented in Annex 3.

(1.3.1) Ensuring the protection of people in the unemployment insurance system

1.3.1.1 Unemployment benefits, social security contributions and health insurance contributions for the recipients of unemployment benefits

1.3.1.2 Redundancy payments

Success factors. Just like in previous programs, the main success factors are: a) efficient communication of programs so that target groups can understand the benefits; b) optimal budgeting and sequencing to apply these measures; c) engaging implementation stakeholders and making them responsible; d) continuing measures to strengthen the institutional capacity of ANOFM started last year, as a result of the effort to fulfill the ex-ante conditionalities for EU funds.

It should be noted that the projection used in this ISP, which envisages a reduction in the number of persons benefiting from social benefits by 2020, is based not only on the recent trend of lowering the unemployment rate and on the fact that in 2016 the number of people who have registered with ANOFM through redundancy has been low and their share in total outflows has increased. At the same time, however, the number of vacancies registered at ANOFM during the year 2016 was by 33.25% lower than in 2015.

Program 1.4: Working conditions

Motivation: The concept of good quality working conditions that is used in this document includes the following aspects:

16 ANOFM, Activity report 2016

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a. decent and motivating wages; b. lack of discrimination and sexual harassment at the workplace; c. low level of informal employment; d. good level of safety and security at work and a fully functional legal framework for provision of

products subject to MMJS approval (technical equipment – machinery, equipment, protection systems for use in environments with risks of explosion, individual protection equipment, explosives for civil use and pyrotechnical articles), according to the essential safety requirement

Decent and motivating wages

Within the legal requirements, the wage is freely established on the market. Still, the MMJS has at hand two policy instruments by which it can influence the wage dynamics, namely the level of minimum wage and the public-sector salaries. Moreover, the fiscal policies can ensure a fine readjustment of the market. In the past 10 years, the share of the minimum wage in the medium wage had an ascending trend, but it is still below the European average. The wage distribution is asymmetric towards the small salaries, which is confirmed by the fact that the share of employees with wages below 2/3 of the national average, although slightly decreasing, still remains close to 25%, the second in the EU. This means that even at this relatively low level, the minimum wage as a policy instrument has a limited capacity to influence the evolution of the medium wage, on which the distribution of public wages could have instead an impact.

The wage policy is developed by the MMJS through the Wage Policies Department, after comprehensive consultation with social partners17 and its implementation is monitored by the Labor Inspection.

Currently, the salaries of staff paid from public funds is regulated by Framework Law no. 284/2010 on unitary wage systems of employees paid from public funds, as further amended and Government Emergency Ordinance no. 103/2013 on salaries of employees paid from public funds in year 2014, as well as other measures in the field of public spending. These documents laid down the basis for a wage system that assures a maximum level of social justice and equity between employees in the public sector. The 2017 version of the unitary wage law is to be implemented starting with the second half of 2017

According to the regulations of the Labor Code, the minimum guaranteed wage is decided (half)yearly through Government Decision (HG), signed by the Minister of Labor and Social Justice, the Minister of the Economy and the Minister of Finances, after consultation with social partners. Currently there is no automatic adjustment mechanism of the minimum wage. HG no. 1/2017 sets the guaranteed gross minimum base wage at the country level for 2017 in accordance with the Governing Program. One of the recommendations of the la EC Country Report 2016 regards the need to establish, together with the social partners, objective criteria for establishing the minimum wages. In January 2016, the Government has created a tripartite working group for this purpose, and the first proposal of an automatic adjustment of the minimum wage was to be delivered for discussion in the first quarter of 2017.

17 The context in which the social dialogue is held has a pivotal role both in setting the minimum wage in the economy and in sharing added value between production factors: capital and labor. According to the ILO, the Social Dialogue includes “any type of negotiation, consultation or the simple exchange of information between the representatives of the government, of employer’s associations and workers on topics of common interest regarding economic and social policies and it is a component of the European Social Model. The Government has the role of facilitator of the social dialogue process, thus assuring social justice across this level as well. Until 2017 the Social Dialogue was coordinated by the MMJS, currently it is under the supervision of the Ministry of Public Consultation and Social Dialogue.

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Lack of discrimination and sexual harassment at the workplace

Regarding women discrimination at work, in Romania this is especially visible in employment rates: 17.1 pp gender gap for the age bracket 20-64, fourth in Europe in 2015. However, the gender gap is close to non-existent when it comes to wage, 5.8pp, only Italy and Luxembourg having slightly lower differences (5.5pp). When it comes to the level of managers and top managers, Romania is a European leader with the lowest gender pay gap. 40% of Romanian managers are women, Romania thus ranking fourth among EU countries based on this indicator18

Harassment and sexual harassment at work have low visibility and are difficult to prove, having physical and psychological consequences with a negative impact on the victims’ professional life, on their performance at work. This phenomenon takes various forms and, even if it makes the victim feel uncomfortable and unsafe at work, the feelings of fear and guilt lead most often to avoiding complaining about it. If, on average, in Europe 55% of women experience a form of sexual harassment, in Romania only 11% of the respondents admitted to have been the target of sexual harassment19. Thus, stimulating women employment (see Program 1.2), analyzing the causes of discrimination in employment and the awareness of employees, employers and IM inspectors (Labor Inspection) on the manifestations and consequences of discrimination and sexual harassment are the main lines of action against these phenomena.

Promoting equality of chances is fundamental in terms of strategy and regulation by the ANES, which also aims to eliminate all forms of gender-based discrimination, in all national policies and programs. ANES thus exerts control on the active and visible integration of the gender perspective in all national policies and programs, while the actual control of compliance with the law under implementation is exerted by the IM. ANES works with other institutional partners, including the local administration, in achieving these specific programs.

Low level of informal employment

According to various estimations, between 1,200,000 and 1,500,000 people work without a contract, especially in services and constructions20. According to the Governing Program, the fight against the undeclared work will intensify and will be supported by an increase in the number of Labor Inspectors by 5,000.

Good level of safety and security at work and a fully functional legal framework for provision of products subject to MMJS approval (technical equipment – machinery, equipment, protection systems for use in environments with risks of explosion, individual protection equipment, explosives for civil use and pyrotechnical articles), according to the essential safety requirement

In 2016 the average loss of working days/person that suffered a work accident was 56,5 days, 7,7% lower than in 2015, (61,2 days). The total day lost due to working accidents by 1000 employees was 43,4 ‰, 17% lower than in 2015, (52,3 ‰).

In 2016 4.571 persons suffer work accidents 6,8 % less than in 2015, (4.903 persons). The incidence rate (number of persons suffering a work accident per 1000 employees) was 0,91 ‰, 0,97 ‰ in 2015. 163 suffered a fatal accident in 2016, 49,2% less than in the previous year . In 2014, according to EUROSTAT Romania had the highest incident rates in EU when it came to fatal accidents, but the lowest on total accidents. A careful analysis of this findings is needed to focus better the efforts to define/register/report working accidents, as well as a refining of standards and prevention measures

18 http://ec.europa.eu/eurostat/documents/2995521/7896990/3-06032017-AP-EN.pdf/ba0b2ea3-f9ee-4561-8bb8-e6c803c2408119 ISP MMJS 2014-202020 http://www.capital.ro/munca-la-negru-peste-15-milioane-de-romani-lucreaza-fara-forme-legale.html

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at sector level. In 2016, most of the fatal working accidents were recorded in constructions, forestry, trade and transport21.

A correct approach of the issues related with health and security are opportunities for better efficiency of the enterprise not only for the protection of the employees. At macroeconomic level, the costs estimated for the member states vary between 1% and 3% per year. Prevention is found to play an important role in mitigation of these costs.

Formulation of policies and strategies on occupational health and safety at work are the attributions of the MMJS through the Occupational Health and Security department. The MMJS established the legislative framework for introducing on the market the products in its area of competence and issues orders to appoint bodies in order to notify orders of approval of harmonized national standard lists.IM, the competent authority regarding the control of enforcement of the law referring to occupational health and security, as well as market supervision.

The MMJS and the subordinated institutions work together with the Ministry of Health and County Health Departments, the National Institute of Research-Development for Labor Protection “Alexandru Darabont” (INCDPM), the National Institute of Research and Development for Mine Security and Anti-explosive protection Petroşani (INSEMEX), the National Public Health Institute (INSP), the national accreditation body – RENAR and the national standardization body – ASRO. The MMJS R&D plan has an important role in promoting the policies in the field of health and safety.

During 2007-2016, Romania did not have a national strategy approved by the Government, but there were the objectives of the European Strategy 2007-2012 on occupational health and safety at work, adopted by Council Resolution on June 25th 2007, which were considered as priorities by each of the institutions with attributions of implementation in this field and were to a great extent achieved. A National Strategy is currently being developed.



Objective. Program 1.4 has three specific objectives and its results are to be measured by 2020 via the following result indicators:Specific Objective P1.4.1: Reducing the in-work at risk of poverty rate and the asymmetry of the wage curve

• (1.4.1) Ratio between gross minimum wage and gross average wage

Specific Objective P1.4.2: Improving the level of safety and security at work and insuring the legal framework for provision of products subject to MMJS approval, according to the essential safety requirements

• (1.4.2). Share of fatal accidents in total number of work accidents

Specific Objective P1.4.3: Insuring employers’ full compliance with the legislation in the field of labor relations, safety and security at work and fight against discrimination

• (1.4.3). Number of petitions/1000 employees

21 Data on working accidents have as source the MMJS Statistical Bulletinhttp://www.mmuncii.ro/j33/images/buletin_statistic/conditii_an_2016.pdf

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(1.4.1) Reducing the in-work at risk of poverty rate and the asymmetry of the wage curve

1.4.1.1 Decent and motivating wages

1.4.1.2 Implementation of a unitary wage system for the public-sector employees

(1.4.2) Improving the level of safety and security at work and insuring the legal framework for provision of products subject to MMJS approval, according to the essential safety requirements

1.4.2.1 Achieving the health and security at work objectives from the MMJS Sectoral R&D Framework Program

1.4.2.2

Ensuring the legal and organizational framework for supporting Romanian manufacturers of machinery, equipment and protection systems for use in environments with risks of explosion, individual protection equipment, explosives for civil use and pyrotechnic articles, in order to introduce these products on the EU single market

(1.4.3) Insuring employers’ full compliance with the legislation in the field of labor relations, safety and security at work and fight against discrimination

1.4.3.1 Strengthen measures to prevent and reduce the undeclared work (annual plan of measures)

1.4.3.2 Fight against gender discrimination, harassment, and sexual harassment on the labour market

1.4.3.3 Increasing the safety of the workplace

1.4.3.4 Increased control on the establishment and provision of statutory rights to employees as derived from labour legislation, relevant collective contract, and individual labour contracts

1.4.3.5 Rising awareness of the socio-economic environment regarding compliance with the legislation in force and ensuring working conditions

Success factors. The main factor of success of this program is the financial sustainability of the measures to increase salaries. This objective cannot be achieved without an economic growth accompanied by job creation in the private sector, a problem which until now does not seem easy to solve. A second factor of success is creating a solid institutional framework for social dialogue.

A factor of success for IM programs in general will thus be a very good targeting of the nature and subjects of periodic controls in all IM sub-domains. For example, in the field of occupational health and safety at work, the SMEs face difficulties and the lack of incentives to comply with the law, while the complaining process and the process to discover cases of harassment and discrimination is long and without immediate and visible results.

And, in the case of this program, it is very important to assure a successful cooperation with the intra- and extra-institutional partners, considering the complex implementation structure, with

29

multiple ramifications. Establishing a successful collaboration between the MMJS and the Ministry of Public Consultation and Social Dialogue becomes utterly important.

SSM legislation is harmonized with EC directives and ILO conventions in the field, including insurance for work accidents and occupational diseases. Further review of occupational health and safety legislation in relation to EU policy and the relevant issues identified at national level, as planned, are an additional success factor. Moreover, in order to support the enterprises, the MMSJ provides them with additional sources of information in the form of guidelines for the application of the provisions of the SSM normative acts - the Sectoral Plan of the MMSJ.

Program 1.5: Insurance for work accidents and occupational diseases

As discussed above, work accidents and professional diseases can become an important burden for the employers, workers themselves and the society as whole.

In Romania, the system of insurance for work accidents and occupational diseases is a part of the social insurance system and it’s a system dedicated to mitigate the respective specific risks. This insurance activity is regulated by the Law nr.346/2002, which came into force at 01.01.2005.

National Pensions House (CNPP) is the competent authority in the field. The specific activity of insurance for work accidents and occupational diseases is organized at the level of General Directorate within CNNP and has territorial representation at county level. Current policy lines refer to further development of an efficient and transparent system as well as to achieving higher efficiency and transparency.

Program 1.5. is financed from the following sources:

1. Social insurance budget (BAS)

2. Other sources (potentially

Objective. Program 1.5 has two specific objectives and its results are to be measured by 2020 via the following result indicators:

Specific Objective P1.5.1.: Focusing the occupational accidents and occupational diseases schemes towards better support for the beneficiaries

(1.5.1) Diversification of benefitsSpecific Objective P1.5.2.: Harmonizing the national legislation with the European Regulations as requested by the Electronic Exchange of Social Security Information (EESSI)

(1.5.2) Level of employers ‘conformity with the requirements of the EU regulations

Specific Objective P1.5.3.: Incentives to employers to place prevention measures (1.5.3) Higher security and safety at work

Measures. Program 1.5. include actions defined by the legislation and other relevant documentation. Corresponding budgets are detailed in the Annex 1, while the targets at measure level are presented in Annex 3

(1.5.1) Focusing the occupational accidents and occupational diseases schemes towards better support for the beneficiaries

1.5.1.1 Higher accessibility for the beneficiaries

1.5.1.2 Simplification and higher efficiency of the system for beneficiaries

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1.5.1.3 Improving benefits to families of occupational accidents and occupational diseases victims

(1.5.2) Harmonizing the national legislation with the European Regulations as requested by the Electronic Exchange of Social Security Information (EESSI)

1.5.2.1 Ensuring the flow of European documents without disruptions

1.5.2.2 Reducing the response times of competent institutions according to the requirements of European regulations

(1.5.3) Incentives to employers to place prevention measures

1.5.3.1 Diversification of annual prevention programs structured on EC Directives / national legislation

1.5.3.2 Focus of the preventive activities towards the SMEs

1.5.3.3 Progressive development of information / communication campaigns addressed to the business environment

Success factors: An increase focus on prevention corroborate with adopting international best practices and a more efficient control of application of legal measures would allow reduction in spending.

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Strategic objective 2: An adequate and sustainable pension system

Social justice and equity mean, in the context of the pension system, that persons who retire must have the same rights (including the amount of money received during the retirement period), for the same level of contributions paid during the active life. The notion “contribution” is not to be taken strictly financially, but also in terms of opportunity costs. The lack of equity is perceived both at inter-generation level (due to successive modifications in the calculation of the pension point), and between different categories of pensioners (due to the special pension system) 22. Inter-generation equity is seen as an explicit objective of the current Governing Program.

Gender equity means that all citizens, men of women have the right to the same contributive period. The different standard retirement for men and women, is a gender discrimination which appear when ”a person is automatically treated less favorably due to gender” - art. 2 par. 1 Directive 2002/73/CE.

In the last Country Report for Romania, CE recommends equalizing the retirement age for men and women. This recommendation is not only a measure that supports social justice, but also a solution for sustainability, as extending the employment age for women means a longer contributive span.

On the other hand, system readjustments – sometimes with adverse effects on equity – are generated by the need to maintain the living standard of all citizens (in the case of the elderly, this is measured through the degree of pension adequacy), corroborated with the need to respond to the loss of sustainability, both the cyclic one (related to the general evolution of the economy), and the long term one (mainly induced by the process of demographic changes)23. This will unavoidably lead to increasing pressure on budget resources. According to the EC’s ageing report for 2015, Romania ranks among the countries where the total increase in spending related to ageing (pensions, health and care, education) by 2060 is considered moderate, compared to the other member states. Regarding the pension system exclusively, the budget spending is even forecasted to reduce its share in the GDP, if reforms are properly continued and implemented24

The pensions system in Romania is structured on three pillars, thus:

Pillar I – public pensions system, namely the state social insurance system and independent systems (professions, lawyers, military)

Pillar II – mandatory privately-administered pension funds Pillar III – optional pensions.

The public pension system is a redistribution–type of system, based on inter-generation solidarity, working according to the principle of contribution, meaning that social insurance funds are constituted based on contributions owed by natural persons and legal entities participating in the public system, social insurance rights being owed based on the paid social insurance contributions.

The mandatory privately-administered pension system is also contribution-based and mandatory for certain categories of employees, but it is not based on inter-generation solidarity, but on efficiency of investments.

Optional pensions are also based on the principle of efficiency of investments, but have a purely optional nature.

22 http://store.ectap.ro/articole/514_ro.pdf, and text quotes23 http://www.tandfonline.com/doi/full/10.1080/1331677X.2016.1169705, and text quotes24 http://ec.europa.eu/economy_finance/publications/european_economy/2015/pdf/ee3_en.pdf

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http://ec.europa.eu/economy_finance/publications/european_economy/2015/pdf/ee3_en.pdf

http://www.tandfonline.com/doi/full/10.1080/1331677X.2016.1169705

http://store.ectap.ro/articole/514_ro.pdf

According to INSSEE data, in 2015 the average number of pensioners was 5,305 thousand persons. Social insurance pensioners hold the majority (99.9%) and state social insurance pensioners represent 88.3% of the total number of social insurance pensioners. The monthly average pension was in 2015 of 892 RON, almost 35% of the gross medium wage. Although the share of women in the total number of pensioners is higher than men, the average pension is lower for women.

The number of contribution payers in Pillar I was in 2016 of 5.341.3 thousand persons and, according to the analyses of the National Commission for Prognosis (CNP), it is expected to drop by 2060. According to the Financial Supervisory Authority (ASF), contribution payers to Pillar II, on the other hand, registered at the end of 2014, amounted to 3,972.8 thousand persons, while for Pillar III there were 346.5 thousand persons, both categories showing a climbing trend.

After the reforms in 2011, the rate of poverty among the elderly decreased close to the EU average. But while the latter continue to decrease slowly, even during the crisis, in Romania the risk of poverty rate started to climb again.

Figure 5. Poverty rate among the elderly

2007 2008 2009 2010 2011 2012 2013 2014 20150.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

26.924.5

20.1

16.2

11.112.5 13.0

14.5

18.3

29.426.5

21.4

17.614.8 14.4 14.5

15.7

19.4

At-risk-of-poverty rate for pensioners - EUAt-risk-of-poverty rate of older people - EUAt-risk-of-poverty rate for pensioners - RomaniaAt-risk-of-poverty rate of older people - Romania


Material deprivation rate among pensioners25, place Romania above the EU average, but close to the general population places Romania's pensioners far below the EU average but close to the average of the population in general. Material deprivation rate is an indicator of absolute poverty. More appropriate than other for targeting certain groups.

25 The material deprivation rate indicator expresses the lack of capacity of targeted individuals to acquire certain goods / services they need or want from the following categories: 1 - rent, real estate, utility payments, 2 – heating, 3 - unexpected expenses, 4 – holidays, 5 - TV set, 6 - washing machine, 7 - motor vehicles, 8 – phone. The rate of severe material deprivation is defined as the impossibility of acquiring four of these items.

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Figure 6. Rate of severe material deprivation

2007 2008 2009 2010 2011 2012 2013 2014 20150.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

40.0

45.0

50.0

8.9 8.1 7.8 7.9 8.4 9.3 9.1 8.4 7.6

43.6

34.6

31.530.3

26.9 28.0 27.625.8

20.6

Population over 18 years - EU Population over 18 years - RomaniaPensioners over 65 years - EU Pensioners over 65 years - Romania


In the same time, the coverage of the pension budget spending from contributions is on an upper trend and the impact on the nationwide budget deficit is declining.

The balance between assuring sustainability, equity and adequacy of pensions remains in Romania’s case a social and political objective that is difficult to achieve.

This problem is shown by the comparison between two fundamental indicators in analyzing the pension adequacy degree26: aggregate replacement rate (ration of the average revenue from pensions for elderly persons aged 65-74 and average of revenue from employment of persons aged 50-59) used by the EC to assess the potential of inter-generation equity potential, and the retirement replacement rate (first pension related to the first wage) which assesses on individual level the capacity of the pension to maintain a proper living standard of a person who is retiring.

ILO and WB standards place optimal replacement rates between 45% and 60%. Depending on the calculation formula, in 2013 the retirement replacement rate was in Romania’s case between 35.6% and 40.9%27 and it is expected to be maintained by 2060 to roughly 38% (but only in the forecasted conditions of offsetting the effect of private pensions). On the other hand, at a level of 63% in 2015, the aggregate replacement rate is one of the highest in the EU, until not long ago only surpassed by Luxembourg, which, together with the increasing deficit of the public pensions system, determined the EC to raise alarm signals on sustainability risks. The source of these apparent gaps is a cohort

26 http://eprints.lse.ac.uk/51270/1/__Libfile_repository_Content_Grech,%20AG_Grech_How_best_measure_2013.pdf 27 Data provided by the National Commission for Prognoses

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http://eprints.lse.ac.uk/51270/1/__Libfile_repository_Content_Grech,%20AG_Grech_How_best_measure_2013.pdf

http://eprints.lse.ac.uk/51270/1/__Libfile_repository_Content_Grech,%20AG_Grech_How_best_measure_2013.pdf

effect, also generated by a trend of wage decrease and another trend of increase in the asymmetry of how it is distributed.

Figure 7. The expected evolution of the pension system in Romania 2013 2020 2030 2040 2050 2060

0.00

0.20

0.40

0.60

0.80

1.00

1.20

0

10

20

30

40

50

60

24.128.8

32.7

41.8 41.7

51.8

Net deficit of the pension system (Contributions - Gross spending, % of GDP)

Net deficit of the public pension system (Contributions - Gross spending, % of GDP)

Old-age dependency rate (population >65 y/population 15-64 y, %)

Source: Analysis of the National Commission for Prognosis, 2016. Note: these analyses do not reflect the measures included in the Governing Programme 2017-2020





2017 2018 2019 2020

Program 2.1. Adequacy and equity 335.284 83.821 83.821 83.821 83.821

Program 2.2. Management of the pension system 320.047.856 78.699.181 80.084.136 80.812.003 80.452.536

Total OS 2 320.383.140 78.783.002 80.167.957 80.895.824 80.536.357

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Strategic objective 2: An adequate and sustainable pension system

Program 2.1: Adequacy and equity

Measures of Program 2.1.M2.1.1.1. Increase of average gross pensionM2.1.1.2. Increase of minimum social allowance for the pensioners M2.1.1.3. Incentives to the development of the private pension systemM2.1.2.1. Harmonisation of requirements and proper application of legal requirements for reducing the level of inequality and inconsistency in the pension system

Program 2.2: Management of the pension system

Measures of Program 2.2.M2.2.1.1. Legal stability and coherence for a period of a minimum 5 yearsM2.2.1.2. Pensions and associated benefits

Strategic objective 2 aims at increasing the revenues of pensioners, while maintaining the sustainability of the pensions system and its fairness. This should be achieved through the implementation of the following programs.

Program 2.1: Adequacy and equity

Motivation: The risk of poverty among pensioners in Romania is estimated by EUROSTAT at 17.3% in 2015, 3pp above the European average. Among EU countries, Romania thus occupies position 18/28 in the ascending order of this indicator. Pensioners are not among the population categories that are considered as being at major risk, but their risk of poverty has been continuously increasing since 2011. The material deprivation rate among pensioners stay very high, despite of the diminishing trend lately.

Pensions are calculated using a point-based formula, by multiplying the annual average number of points accumulated by an employee with the value of a pension point. Since 2013, the value of the pension point must be increased annually by 100% of the average annual inflation rate, according to the Pension Law, to which 50% of the real increase of the achieved gross medium wage is added.

Both in 2015 and in 2016, by way of derogation, a higher percentage than the one that would result from this calculation was implemented. The Governing Program 2017-2020 deviates from this principle and proposes concrete values of the evolution of the medium pension. Some other initiatives in this program are expected to lead to an increase in the net state pension and decrease in the amplitude of distribution. Also, the aim is to create proper conditions for the development of the private pensions system, and also to create the legal framework required to pay the pensions owed to the participants to the private pensions systems.

The policy in the field of pensions, which includes not only the level of the pension point, but also all the measures meant to insure equity and sustainability, is developed by the MMJS through the Department of Social Insurance, with the consultation of CNPP and ASF and it is implemented by CNPP.

37

Average replacement rate total/public scheme. Target: 2020: 36.6/36.7%Impacts

(2.1.1) A decent life for pensioners: Material deprivation rate among pensioners(2.1.2) Complying with the principles of equity: Gender gap in average replacement rate(2.2.1) A stable and efficient system for the citizens: Coverage of net payments through contributions

Program results

Law no. 263/2010 on the unitary pension system, as amended and supplemented, establishes in art. 53 par. 1 a standard retirement age of 63 years for women and 65 years for men. For men, the 65-year standard age limit was reached on January 1, 2015, while for women the 63-year-old standard age limits will be gradually reached over time by 2030. Beginning with the year 2030, the standard retirement age for women is expected to gradually increase over a period of 5 years, reaching a maximum of 65 years in 2035.

A measure that leads to ensuring the sustainability and effectiveness of the public pension system requires a rapid change of the existing legal framework represented by Law no. 53/2003 on the Labor Code and Law no. 188/1999 on the Statute of Civil Servants, to allow women to opt either for retirement or for remaining in activity until they reach the age of 65. Such legislative intervention responds favorably to the call of the European institutions for equalizing the standard retirement ages of men and women, and at the same time removes the gender discrimination found by the jurisprudence in terms of labor rights.


1. MMJS budget2. Social insurance budget (BAS)

Objective: Program 2.1 has two specific objectives and its results are to be measured by 2020 via the following result indicators:

Specific Objective P21_1: A decent life for pensioners• (2.1.1) Material deprivation rate among pensioners

Specific Objective P21_2: Complying with the principles of equity (2.1.2) Gender gap in average replacement rate

Measures: Program 2.1. includes actions planned by relevant sectorial strategies and will focus at the level of measure on those activities prioritized by the Governing Program 2017-2020. The effects of Program 2.1 will be supported and amplified by fiscal measures in favor of pensioners, namely: from 1 January 2017, income tax 0 for pensions less than or equal to 2,000 lei per month; from 1 January 2018, 10% tax for pensions over 2,000 lei per month (calculated at sums over 2,000 lei); starting with the first quarter of 2017, the elimination of the social health insurance contribution for all pensioners, regardless of the level of the pension. The social health insurance contribution is covered by the state budget.

Corresponding budgets are detailed in the Annex 1, while the targets at measure level are presented in Annex 3.

(2.1.1) A decent life for pensioners

2.1.1.1 Increase of average gross pension

2.1.1.2 Increase of minimum social allowance for the pensioners

2.1.1.3 Incentives to the development of the private pension system

(2.1.2) Complying with the principles of equity

2.1.2.1 Harmonisation of requirements and proper application of legal requirements for reducing the level of inequality and inconsistency in the pension system

Success factors. The main factor of success of these measures is being financed without affecting sustainability and without being accompanied by an increase of inflation pressure

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Program 2.2: Management of the pension system

Motivation: The framework solutions to the pension system sustainability problem are the following: stimulating the degree of employment and increasing the minimum wage28 (as long as no inflation effects are generated and excessive asymmetry in the wage curve is avoided), improving the collection rate for contributions, and implementing / extending / making efficient the systems of alternative and additional pensions (private and occupational pensions), as well as other saving instruments 29.

Regarding the further reforming of the mandatory pensions system, the survey conducted by Expert Forum and titled “Working Paper 3. „Cine va plăti pensiile „decrețeilor” în 2030? Situația României în contextul comparativ UE și 7 scenarii de evoluție ale sistemului public de pensii” 30 („Who will pay for the pensions of the persons subject to the Decree 770 in 2030? Romania’s standing within the EU and 7 scenarios of evolution considering the public pensions system) argues that in Romania’s case, it is recommended, depending on the ideological orientation, to follow one of the two strategies with a maximum potential of success, respectively:

a) if the priority objective is to increase the degree of adequacy of the medium pension, the most suited measure would be to increase the shares of contributions to Pillar II of pensions; and

b) if the priority is to reduce deficit, the best alternative is to increase the retirement age based on life expectancy.

The strategy adopted by Romania in this budget programming period is to prioritize the degree of pension adequacy based on the expected increase in the number of tax payers and in the medium revenues, continuing the process of equalization of the retirement age between women and men and an improved administrative efficiency. A fundamental initiative is creating the occupational pensions system. Secondly, attention can also turn to solving aspects related to gender equity between occupational categories.

Not in the last run, the stability and coherence of the legislation could avoid situation of inequity and creates conditions for concentration on impact analysis and higher administrative efficiency. Very important in this respect is the modification of the Law 263/2010, for simplifying and correlation with other legal acts.

Box 1. List of regulations regarding the pensions system

1) Law no. 41/1991 on granting indemnities and allowances to invalids, war veterans and widows, 2) Law no. 49/1999 regarding IOVR pensions, 3) Law no. 44/1994 regarding war veterans, 4) Decree Law no. 118/1990 and 5) Law no. 189/2002, both regarding granting rights to persons persecuted due to political reasons instated by the dictatorship started as of March 6, 1945, as well as for persons deported abroad or taken as prisoners, 6) Law no. 309/2002 regarding the recognition and granting of rights to persons that performed the military service within the General Director for Labor Service during the period 1950-1961, 7) Law no. 341/2004 on granting certain rights to the martyr heroes and fighters that contributed

28 https://www.ce-re.ro/upload/Alternative%20si%20compromisuri%20%C3%AEn%20sistemul%20romanesc%20de%20pensii%20pentru%20urmatorii%2020%20de%20ani.pdf 29 http://www.tandfonline.com/doi/full/10.1080/1331677X.2016.1169705 30 Quoted by: https://www.ce-re.ro/upload/Alternative%20si%20compromisuri%20în%20sistemul%20romanesc%20de%20pensii%20pentru%20urmatorii%2020%20de%20ani.pdf

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https://www.ce-re.ro/upload/Alternative%20si%20compromisuri%20%C3%AEn%20sistemul%20romanesc%20de%20pensii%20pentru%20urmatorii%2020%20de%20ani.pdf


http://www.tandfonline.com/doi/full/10.1080/1331677X.2016.1169705



to the victory of the Romanian revolution of December 1989, 8) Law no. 109/2005 regarding the establishment of the indemnity for freelance activity of interpreter artists or operational freelancers in Romania, 9) Law no. 8/2006 regarding the establishment of the indemnity for pensioners from the public pensions system, members of the unions of creators, legally established and recognized as legal persons of public utility, 10) Law no. 578/2004 on granting monthly aid to the surviving spouse, 11) Law no. 196/2009 on establishing the minimum guaranteed pensions, 12) Law no. 216/2015 on granting the service pension to the members of the diplomatic corps, 13) Law no. 215/2015 regarding the statute of parliamentary civil servants, 14) Law no. 83/2015 regarding the Statute of the civil professional aeronautic personnel in civil aviation, 15) Law no. 303/2004 regarding the Statute of judges and prosecutors, Law no. 47/1992 regarding the organization and operation of the Constitutional Court, 16) Law no. 130/2015 regarding the statute of the auxiliary specialized personnel of the courts and prosecutor’s offices attached to them, and of the personnel working within the National Institute of Forensic Expertise, 17) Law no. 7/2016 on the organization and operation of the Court of Accounts and 18) Decision of the Constitutional Court of Romania 297/2012, regarding the admission of the exception of non-constitutionality of provisions of art. 1 letter h) of the Law no. 119/2010 regarding the establishment of certain measures in the field of pensions and of art. 196 letter j) of the Law no. 263/2010 regarding the unitary public pensions system.

Program 2.2. is implemented by CNPP, following the current legislation and the exiting strategies elaborated by or in collaboration with MMJS

Program 2.2. is financed from the following sources:

1. MMJS budget2. Social Insurance Budget (BAS)3. Other sources (potentially)

Objective: Program 2.2. has one specific objective and its results are to be measured by 2020 via the following result indicators:

Specific Objective P22_1: A stable and efficient system for the citizens

(2.2.1) Coverage of net payments through contributions

Measures: Program 2.2. includes measures for system stability and payment of pensions.

(2.2.1) A stable and efficient system for the citizens

2.2.1.1 Legal stability and coherence for a period of a minimum 5 years

2.2.1.2 Pensions and associated benefits

Success factors: Maintaining the sustainability of the pensions system crucially depends on reaching the objective related to a sustainable economic growth that generates jobs, especially regarding wage-paid employment. It is also up to the success of further implementing / developing the private pensions system. The National Commission for Prognoses estimated that, by 2060, the rate of coverage for private pensions will reach more than 75%, and this without considering occupational pensions.

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Strategic objective 3: Reducing the number of people at risk of poverty and social exclusion in the context of creating a network of social services integrated, complex and

well coordinated

Since 2008 and until the present day, at the European level, Romania and Bulgaria have ranked last in terms of poverty in an order that depends on the used indicator.

Figure 8. Population at risk of poverty and social exclusion (% of total population)

2008 2009 2010 2011 2012 2013 2014 201515

20

25

30

35

40

45

50

23.7 23.3 23.7 24.2 24.7 24.5 24.4 23.7

44.243

41.5 40.943.2

41.940.3

37.4

Media UE România


For Romania, the marked reduction of the rate of population at risk of poverty and social exclusion in 2015 is owed to the reduction of persons at risk of social exclusion, while the population at risk of poverty has slightly increased. If we consider as poverty threshold the equivalent of 60% of the medium revenue on national level (after social transfers), in 2015 there were in Romania 7.435 million persons at risk of poverty and social exclusion, i.e. more than 37% of the population, but nearly 1.5 million less than in 2014. Of these, 5.05 million are at risk of poverty, meaning roughly 40 thousand more than in the previous year.

But it is not the scale of poverty itself that constitutes a major problem, but its persistence and structure.

The nature of economic growth that is not redistributed towards the poor categories of the society risks to affect the long-term growth potential of the country and the social cohesion.

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The differences between the urban and rural area, as well as between the regions of the country are maintained at the same level or are increasing, and poverty is generally persistent31.

Figure 9. Other main indicators of poverty, 2008-2015, (% of the total population)

2007 2008 2009 2010 2011 2012 2013 2014 201515.0

17.0

19.0

21.0

23.0

25.0

27.0

23.6

17.6

16.5

18.2

21.4 21.5

22.8

21.2

24.6

23.6

22.121.6

22.322.9 23.0

25.1 25.4

18

17.5

18.7

17.1

19.5 19.3

At-risk-of-poverty rate anchored at a fixed moment in time (2008)

At risk of poverty rate (cut-off point: 60% of median equivalised income after social trans-fers)

Persistent at-risk of poverty rate


Regarding the structure of the population at risk of poverty, close to one quarter, meaning more than 1.2 million, are children (under 16), and 13% are persons above 65. Of the 3.1 million working-age persons at risk of poverty, almost half are working, but mostly on a non-wage basis. Adults from mono-parental families show a significantly higher risk of poverty.

The rate of poverty risk is much smaller among pensioners, 17.8% as opposed to 19.4% for the overall population above 65, but both rates have increased significantly in 2015 as opposed to 2014. Close to 1 million Romanians with disabilities are at risk of poverty. Children, with a poverty risk of 37.3% (in relative poverty) are in 2015 the most affected category32.

These structural characteristics emphasize the need to speed up the transition from granting social benefits, which have no direct action on the cycle of poverty in the family and in the community, to a system based on social services focused on assisting persons and their families for their active integration in society.

Reducing the rate of poverty is the overarching objective of the actions of the MMJS. If Strategic objective 1 refers to measures to fight poverty in employment and Strategic objective 2 speaks of reducing poverty among pensioners, Strategic objective 3 will refer to comprehensive measures to integrate poor persons and persons in vulnerable situations, with a focus on children and persons with disabilities.

31 http://www.mmuncii.ro/j33/images/Documente/Familie/2016/SF_BancaMondiala_RO_web.pdf32 EUROSTAT data

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2017 2018 2019 2020

Program 3.1. Child protection 764.346 2.218 194.136 140.481 427.512

Program 3.2. Social protection and inspection 53.596.688 11.908.756 13.273.290 13.981.697 14.432.945

Program 3.3. Social services 85.915 76.915 3.600 4.200 1.200

Program 3.4. Disability rights 92.217 8.618 18.806 45.986 18.806

Program 3.5. Gender equality and fight against domestic violence

185.601 24.344 73.869 77.983 9.405

Total OS 3 54.724.767 12.020.851 13.563.701 14.250.347 14.889.869

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Strategic objective 3 aims at long-term reduction in the rate of poverty and social exclusion. This should be achieved through the implementation of the following programs.

Program 3.1: Child protection

Motivation. The demographic trends in the last two decades show a decrease in the number and share of children, emphasizing an increasing process of demographic ageing. But the problem of poverty among Romanian children is overwhelming. Almost half of all children (46% in 2015) live at risk of poverty and social exclusion, the highest rate in Europe.

The legislation on the protection and promotion of children’s rights is currently aligned with the international and European requirements in this field. On the implementation level, which is run by the General Departments of Social Assistance and Child Protection (DGASPC) and the Public Services of Social Assistance (SPAS), there is a high level of heterogeneity of organizational structures in the

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Relative at risk of poverty gap. Target 2020: 22,3%At risk of poverty rate among children. Target: 33%Impacts

(3.1.1) Improving children’s access to quality social services: Coverage of social services for children (aged 0-17 years)(3.1.2) Observing the rights and promoting the social inclusion of children in vulnerable situations: Share of beneficiaries placed in classical (old type) residential centers(3.2.1) Unique data management system for payment of social benefits and for management of programs financed through the state budget: Share of benefits payments verified electronically in total number of payments(3.2.2) Reducing error and fraud in the social assistance system by rigorous inspection and verification of application of legal measures concerning granting of social benefits and provision of the social services: Share of fraudulent/erroneous social benefits payments in total social benefits payments(3.3.1) Strenghtening the national system of social assistance in view of insuring the access of all disadvantaged groups to quality social services, with a focus to developing the capacity of SPASs to provide the minimum package of integrated services at the level of each administrative territorial unit: Share of accredited public providers of social services in total public providers under the local authorities(3.3.2) Increasing the access of the elderly to dedicated social services: Coverage of social services for elderly (aged over 65 years)(3.4.1) Promoting accessibility in all areas of life to ensure that persons with disabilities enjoy the fundamental human rights and freedoms; eliminating discrimination: Employees of public institutions trained/ informed on the need to ensure the accessibility of the physical, informational, and communicational environment (3.4.2) Gradual deinstitutionalization of people with disabilities placed in classical residential centers in stages, simultaneously with the development of community services: Deinstitutionalization of adults with disabilities and their transfer to shelter houses financed through POR - % of the total target (516 persons until 2023)(3.5.1) Reducing and preventing the cases of discrimination, harassment, and violence: Share of population aware of the existence of legal framework and the sanctions applicable in cases of discrimination, harassment, and violence

Program

results

field and of the work procedures used by them, mostly owed to the lack of human resources and administrative capacity, which are required to fully apply the current legislative framework33.

Child protection takes place along a few major lines of action. In order to prevent the separation of the child from family, beginning with 1997, the following have been achieved: reforming the law framework in the field, decentralizing activities of child protection, restructuring and diversifying child protection institutions, development of family-type alternatives to residential-type protection and increasing the focus on policies to prevent child separation from the family. Further, the aim will be to assure the framework required for developing social services in relation to granting direct financial benefits and also for developing social services destined to support the upbringing and caretaking of children and teenagers in the family, at the same time facilitating the promotion of mechanisms to support parents in order to assure a balance between family and professional life. Adoption is the best solution to offer a permanent family to a child for whom no proper environment can be found to live in his/her family of origin.

These two lines of action, under the responsibility of the MMJS, respectively the ANPDCA, are supplemented by complex measures of improving access to education services (including the fight against dropping out of school) and health services, especially covered by the relevant ministries, in cooperation and consultation with the ANPDCA.

The Governing Program lays a special emphasis on measures to lead to an improvement of educational performance, of skills and competences of all children and youth and to reducing school drop-out, including by introducing the Guaranteed Social Package for Education. Secondly, the aim is to support families with children by granting between 1,200 and 1,600 RON/year for every child who does not skip school, depending on parent revenues and the number of children and also by granting fiscal discounts. Health services will also be better directed towards children, with a focus on prevention. Integrated services provided by local administration will be a priority, with implementation during period 2017-2020. De-institutionalization and the transition towards community care is one of the measures comprised both in the National Strategy for the Protection and Promotion of Children’s Rights, in the strategy on social inclusion and poverty reduction and in the Governing Program 2017-2020 and the successful outcome of this process must be in close connection with the development and financing of services addressed to children separated from their families.


1. MMJS budget2. POCU3. Other sources

Objectives. Program 3.1 has two specific objectives and their results are to be measured by 2020 via the following result indicators:

Specific Objective P3.1_1: Improving children’s access to quality social services (3.1.1) Coverage of social services for children (aged 0-17 years)

Specific Objective P3.1_2: Observing the rights and promoting the social inclusion of children in vulnerable situations

(3.1.2) Share of beneficiaries placed in old type residential centers

33 http://www.copii.ro/anpdca-content/uploads/2015/01/Anexa-1-Strategia-nationala-aprobata-de-Guvern.pdf

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Measures: Program 3.1. includes actions planned by relevant sectorial strategies and will focus at the level of measure on those activities prioritized by the Governing Program 2017-2020. Corresponding budgets are detailed in the Annex 1, while the targets at measure level are presented in Annex 3.

(3.1.1) Improving children’s access to quality social services

3.1.1.1 Establishment of at least one day-care service for each administrative-territorial unit

3.1.1.2 Extension of the area in which the minimum services package is provided

3.1.1.3 Higher quality of the social services targeting children

(3.1.2) Observing the rights and promoting the social inclusion of children in vulnerable situations

3.1.2.1 Closing down the placement institutions from the child protection system operating in the structure established during 1997, and 2000 (classic placement centers), and providing the service through family-type foster houses and apartments

3.1.2.2 Establishment of 8 regional centers specialized on assisting children with behavioral issues

3.1.2.3 Establishment of the Children’s Ombudsman

Success factors: Factors that would ensure the success of these programs are mainly related to the availability of necessary human resources, but also to a better cooperation between sectors or the authorities in implementing the existing legislative framework. The social protection system in Romania is still overly oriented towards the sizing of financial benefits and therefore it is required to additionally develop the social assistance in the family and community, with a focus on prevention. For this purpose, it is useful to stimulate the transfer of good practices in the field of services and policies for children.

Program 3.2: Social protection and inspection

Motivation: Social benefits (both financial and in kind) must provide beneficiaries with a secure revenue and, therefore, any reform of the system will have to consolidate and optimize this type of support. Financial support is fundamental considering the high level of poverty and material deprivation in Romania, as well as the high-risk present in families with young members and children. But if in Romania the redistribution reduces the share of population at risk of poverty from 49% to 25.4%, in the EU, on average, the difference after the social transfers is higher – from 48% up to slightly over 17%.

ANPIS manages three main categories of social assistance benefits: 1) support to low-income families 2) family policies and 3) support for disabled people. The largest number of beneficiaries are those receiving child allowances, over 3.6 million people, a universal right granted to children. In

47

2016, more than 1.4 million benefits of social assistance for people with disabilities were paid, and over 500 thousand home heating aids were given.

The social assistance system, as a component of the social protection system, contributes through its elements – social assistance benefits (financial transfers) and social services – to the promotion, compliance with and guarantee of beneficiary rights to an independent, fulfilled and dignified life, as well as to facilitating the participation thereof to the social, economic, political and cultural life, as an integral part of the social inclusion process.

The corresponding budget, administrated by the Ministry of Labor, Family, Social Protection and the Elderly for the field of social assistance has grown continuously since 2005 and the programs in this field have been revised on conditions of efficiency, effectiveness and economy.

Since 2010 until present day, two reforms left their mark onto this field, namely:

adopting the Strategy on the Reform in the field of Social Assistance in 2011, and

approving the National Strategy for Social Inclusion and Poverty Reduction 2015-2020 and the Action Plan of the Romanian Government through HG no. 383 of May 27 th 2015.

The Governing Program 2017-2020 focuses on a more accurate targeting of vulnerable groups and on promoting “active inclusion”, together with the development of an efficient monitoring and assessment system of social inclusion policies and of a national system of social inclusion indicators, including annual calculation of such indicators. The aim is also to integrate and correlate all databases in the field of social assistance and to create the "e-social assistance" system

The payment of social benefits is an important budgetary element and its control is fundamental to eliminate the risk of fraud and error. The control is conducted especially of benefits that have higher risk of fraud, like the Minimum Guaranteed Revenue, child allowance or the disability rights. The Anti-Poverty Strategy recommends developing a system of signaling fraud suspicion, strengthening the control capacity and publicly communicating the results of anti-fraud campaigns.

Concretely, the inspection activity refers to:

- thematic control, according to the MMJS plan

- unannounced controls to verify the way in which rights are granted and respected

- evaluation of the social services.

In 2015 most of the controls were thematic (95%), but the unannounced ones have the highest efficiency in identifying fraud (37%), followed by the ones requested by those requested by the Court of Auditors (22%). Consequently, ANEPIS aims at encouraging the citizens to report nonconformities in order to reduce gradually the practice of thematic controls34

The policy in the field of social assistance is developed by the MMJS, especially in cooperation with MEN and MS and is implemented by ANPIS, in cooperation with local authorities. Social Inspection activity is performed by a dedicated direction in ANEPIS, and has representation at local level through the social inspectors


1. MMJS budget2. Social insurance budget (BAS)3. POCU

34 Activity Report ANPIS, 2015

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4. Other sources (potentially)

Beginning with 2011, social assistance costs have been integrally covered from the central budget, which had positive consequences both on distribution as well as on the administration. The rate of error and fraud declined from 25% in 2010, to 12% in 201435.

Objective: Program 3.2 has two specific objectives and their results are to be measured by 2020 via the following result indicators:

Specific Objective P3.2_1: Unique data management system for payment of social benefits and for management of programs financed through the state budget

(3.2.2) Share of benefits payments verified electronically in total number of payments

Specific Objective P3.2_2: Reducing error and fraud in the social assistance system by rigorous inspection and verification of application of legal measures concerning granting of social benefits and provision of the social services

(3.2.3) Share of fraudulent/erroneous social benefits payments in total social benefits payments

Measures: Program 3.2. includes actions planned by relevant sectorial strategies, namely the Antipoverty Strategy and will focus at the level of measure on those activities prioritized by the Governing Program 2017-2020. Corresponding budgets are detailed in the Annex 1, while the targets at measure level are presented in Annex 3

(3.2.1) Unique data management system for payment of social benefits and for management of programs financed through the state budget

3.2.1.1

Benefits granted as support for low-income families (social aid/ heating utilities subsidies)

3.2.1.2

Benefits granted according to family support policies (child allowance/ child rearing benefit/maternity allowance/back-to-work bonus)

3.2.1.3

Disability benefits

1. Disability benefits granted according to the Law 448/2006:

a. Monthly complementary personal budget for persons with severe, major or average disability

b. Monthly indemnity for adults with severe or major disability

c. Allowance for the caregiver of the visually impaired, with major disability

d. Monthly food allowance for children with HIV/AIDS

2. Monthly food allowance for HIV/AIDS patients granted according to the Law 584/2002.

3.2.1.4

Increased share of social benefits paid through the Minimum Social Insertion Income (VMI)

3.2.1.5

Ex-ante verification of benefits for low-income families, to reduce the number of non-eligible applications (social aid/ heating utilities subsidies/family allowance)

35 PSI 2014

49

3.2.1.6

Ex-ante verification of benefits granted according to family support policies, to reduce the number of non-eligible applications (child allowance/ child rearing benefit/maternity allowance/back-to-work bonus )

3.2.1.7

Increased share of people granted a disability benefit according to the Law 448/2006 paid through ANPIS (at least 90% of disability benefits are paid through ANPIS, according to art. IV of the draft Law no. 448/ 2006 (art. 57, par. (2))

3.2.1.8

Granting social benefits and access to social services through the new Social Assistance Data Management System (DIAMANT)

(3.2.2) Reducing error and fraud in the social assistance system by rigorous inspection and verification of application of legal measures concerning granting of social benefits and provision of the social services

3.2.2.1

Strengthening the efficiency of the social inspection, by diversification of verification techniques (risk profiling, databases crosscheck, widening of the sample, better sampling etc.), targeting beneficiaries of social aid, heating utilities subsidies, child allowance, child rearing benefit, maternity allowance, back-to-work bonus as well as disability benefits

3.2.2.2 Efficient social inspection activity – unannounced inspections

3.2.2.3

Strengthening the efficiency of the social inspection by verifications of the way in which public and private providers of social services comply with the minimum quality standards

3.2.2.4

Strengthening the efficiency of the social inspection by evaluation of social services against the minimum quality standards, for their licensing

3.2.2.5

Strengthening the efficiency of the social inspection by verifications of the way in which public institutions ensure unrestricted access of disabled people

Success factors: The main success factor related to social assistance is linked to the precise targeting of beneficiaries and reducing fraud through an advanced social inspection program. Introducing complex and personalized system like insertion / inclusion revenue required a precise and complex control of information, case by case, and so the quality of the computer system is fundamental.

Program 3.3: Social services

Motivation: Social services represent the activity or the set of activities conducted to answer social needs, as well as to special needs, individual, family or group needs, so as to overcome difficult situations, to prevent and fight against the risk of social exclusion, to promote social inclusion and to increase quality of life36. Financial poverty deepens vulnerabilities further, but only by granting social benefits current social problems cannot be eliminated. The fight against poverty and social exclusion entails approaching individual needs from the perspective of life cycles, in family and community context. This cannot be achieved without a complex network of social services which is well coordinated and integrated in order to combat Romania's most persistent social problems, like precarious nutrition of children, child neglect and abuse, early school drop-outs and poor development of early child education programs. These problems can also include youth unemployment, insufficient primary and preventive medical services, small number of social houses

36 Social assistance Law no. 292/2011

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and the lack of supporting services meant to answer various needs (like disabilities, drug addiction and alcohol addiction, domestic violence, the lack of shelter and the needs of former convicts).

There is already a wide spectrum of policies, programs and sector interventions aiming to reduce poverty and social exclusion and the experience and instruments required to identify persons and areas affected by poverty have been improved in the last years. The key missing ingredient is the coordination of these policies, programs and interventions in order to render social interventions efficient, providing the population with access to employment, financial support and services.

This section only refers to the social services in the social assistance system, but consideration must also be given to the other types of services as well (like those related to employment, education, health, justice and housing).

The policy in the field of social assistance is developed by the MMJS, especially in cooperation with MEN and MS and is implemented by ANPIS, in cooperation with local authorities. Social services in the field are provided to citizens by public and private service providers authorized / licensed by the MMSJ along with ANPDCA, ANES and ANPD. In December 2016, there were 2,550 licensed social services, from which 1,396 – public (1,696 at the end of the year) and 1154 – private, and 2947 licensed suppliers.37

The current policy lines, as defined by both the Anti-Poverty Strategy and the Governance Program, relate to: a) changing the focus from supporting the person to family support, b) the transition to active inclusion, which combines integration policies on the labor market with sufficient income and with the development of a social services system, and c) the development of an effective system for monitoring and evaluating social inclusion policies.

In terms of the attributions of the MMJS as the central public authority that elaborates the social assistance policy and promotes the rights of the family, the child, the elderly, the disabled and any other persons in need during 2017-2020, it is to be elaborated and / or revised normative acts in the field of social assistance, namely: amending and completing the Law no. 17/2000 on social assistance for the elderly, including the introduction of the dependency benefit according to the European models, and amending and supplementing the Law on social assistance no. 292/2011 to review/ create the legislative framework for the implementation of the above-mentioned measures of the Governance Program 2017-2020.



Objective: Program 3.3 has two specific objectives and its results are to be measured by 2020 via the following program indicators:

Specific Objective P3.3_1: Strengthening the national system of social assistance in view of insuring the access of all disadvantaged groups to quality social services, with a focus to developing the capacity of SPASs to provide the minimum package of integrated services at the level of each administrative territorial unit

(3.3.1) Share of accredited public providers of social services in total public providers under the local authorities

Specific Objective P3.3_2: Increasing the access of the elderly to dedicated social services

37 https://harta-furnizori.mmuncii.ro/

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(3.3.2) Coverage of social services for elderly (aged over 65 years)


(3.3.1) Strengthening the national system of social assistance in view of insuring the access of all disadvantaged groups to quality social services, with a focus to developing the capacity of SPASs to provide the minimum package of integrated services at the level of each administrative territorial unit

3.3.1.1 Ensuring, maintaining, and improving the quality of the social services

3.3.1.2 Improving the legal framework for services of identification and intervention at the level of local communities, given the drafted Regulatory Framework for social assistance services at village level and the revised Regulatory Framework at town, city and county level

3.3.1.3 Elaboration/revision of the cost and quality standards in the social services field

3.3.1.4 Development and implementation of a national program dedicated to the professional training of the staff in the field of social assistance and to hiring at least one social assistant for each administrative territorial unit

3.3.1.5 Strengthening the capacity of the public social assistance services to provide social services by elaboration of instruments and methodological tools t

3.3.1.6 Development of a national system of social inclusion

(3.3.2) Increasing the access of the elderly to dedicated social services

3.2.2.1 Elaboration/revision of the legislation regarding social assistance for elderly

3.2.2.2 Elaboration of the cost standards for public retirement homes according to the occupants’ level of dependence

3.2.2.3 Supporting the public-private partnership. Development of the mixed social services market

Success factors: For the functional success of social services, it is required to have a coordinated approach in terms of implementation of policies, programs and interventions destined to the poor and vulnerable population, as well as to marginalized areas. It is also required to improve the capacity to correctly asses the needs at any level and to harmonize and align various programs and investments with the aid of well-trained social workers with competence both at individual and community level. In implementing interventions, it is important to tackle challenges both related to supply and demand. In poor and marginalized communities from the rural or urban sector, but also

52

among Roma and non-Roma population, providing new infrastructure or services does not mean that they will be used38.

Program 3.4: Disability rights

Motivation: On December 31, 2016, the total number of persons with disabilities in Romania was 786.546 people, or 3.54% of the population. Of these, 97.7% (768.456 persons) are cared for in their families and / or live independently and 2.3% (18.090 persons) are assisted in public residential care units for adults with disabilities coordinated MMJS. The number of public institutions of social care for adults with disabilities was 448, including 388 residential and 60 nonresidential (daycare). In the centers of care and support live 6510 beneficiaries, and in sheltered houses 914 beneficiaries. A significant number of persons are to be found in the 67 centers for neuropsychiatric recovery and rehabilitation. In 2016 there were 62.066 39. children with disabilities Program 3.4 Disability Rights aims at creating and developing the necessary legal and institutional framework for the full and effective exercise of rights and fundamental freedoms by disabled persons. The two guiding principles of the support and integration policy for persons with disabilities are the following: 1) promoting access (including to education, training and health) and accessibility, and eliminating discrimination; and 2) de-institutionalizing persons with disabilities from outdated residential centers, in stages, simultaneously with the development of community services. These guidelines correspond to the political objectives of the Program 3.4. and reflects the philosophy and structure of the National Strategy “A barriers-free society for people with disabilities”, approved by Government Decision no. 655/2016. The strategy aims to ensure the implementation of the UN Convention on the Rights of Persons with Disabilities, adopted in New York by the United Nations General Assembly on December 13, 2006, signed by Romania on 26 September 2007 and ratified by Law no. 221/2010.The 2017-2020 Governing Program reiterates the importance of the two policy guidelines above. Additional measures include measures of labor market counseling, alternative training (sheltered workshops, vocational workshops, occupational therapy centers, etc.) for young people with disabilities and support for diversification of employment growth: supported employment, work at home, coaching services (see objective 1), a plan for the construction and efficiency of social housing for disadvantaged families (the homeless, those having as members persons with disabilities, etc.), support newscasts on the television by covering the costs of interpreters and of introducing dual presentations, increasing CNAS subsidies for rehabilitation services, assistive devices, assistive technologies, especially for children, developing social services and better regulations referring to the role of the social assistant, improved support for families caring for persons with disabilities, developing adapted transport services and sanctioning entities which do not respect the access rights of persons with disabilities. Greater emphasis will be put on regular consultation of organizations representing people with disabilities.The Governing Program proposes the constitution of the National Ability Fund, of which 50% will be financed through the tax on disability collected from employers with at least 50 employees that do not have among their employees 4% people with disabilities in order to support the integration of disabled people into the labor market. In terms of strategies and legal framework, the Governing Program indicates the drawing up of a National Accessibility Plan for improving the accessibility to the physical, informational and communicational environment for disabled persons and amending Law no. 448/2006 on the protection and promotion of rights of persons with disabilities so that their

38 http://www.mmuncii.ro/j33/images/Documente/Familie/2016/SF_BancaMondiala_RO_web.pdf39 MMJS Statistical bulletin, http://www.mmuncii.ro/j33/images/buletin_statistic/dizabilitati_an2016.pdf

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social integration be done effectively through the increase of their share in the category of employees.The policy in this sector is centered on implementation of the measures listed above and is developed by MMJS in collaboration with ANPD and a variety of institutional partners. The implementation is carried out by DGASPC / SPAS and ANPIS.Program 3.4 is financed from the following sources:

1. MMJS budget2. Social insurance budget (BAS)3. POCU4. POR5. Other sources (potentially)

Objectives: Program 3.4 has two specific objectives and their results are to be measured by 2020 via the following result indicators:

Specific Objective P3.4_1: Supporting the public-private partnership. Development of the mixed social services market

(3.4.1) Employees of public institutions trained/informed on the need to ensure the accessibility of the physical, informational, and communicational environment

Specific Objective P3.4_2: Gradual deinstitutionalization of people with disabilities placed in classical residential centers in stages, simultaneously with the development of community services

(3.4.2) Deinstitutionalization of adults with disabilities and their transfer to shelter houses financed through POR - % of the total target (516 persons until 2023)


(3.4.1) Supporting the public-private partnership. Development of the mixed social services market

3.4.1.1 Introducing notions of accessibility and “universal design” into initial and continuous training programs for civil servants and professionals in the fields of: design and realization of the physical environment, access to the public transport system, communication, information and communication technologies and systems

3.4.1.2 Rising awareness on the role of accessibility, including at the community level

3.4.1.3 Professional training and informative workshops for the staff who interacts or is involved in the assistance and protection of people with disabilities, including from the NGOs

(3.4.2) Gradual deinstitutionalization of people with disabilities placed in classical residential centers in stages, simultaneously with the development of community services

3.4.2.1 Identification of locations in the communities appropriate for the development of the modern social support infrastructure; elaboration of the restructuring plan for the classical institution

3.4.2.2 Placement of people whose degree of disability allows them to life independently, have a social life and be employable to alternative family-type homes (sheltered houses)

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3.4.2.3 Prevention of institutionalization and support of deinstitutionalization by setting up and/or diversifying the structures providing social services

3.4.2.4 Establishing and monitoring of mobile teams for community intervention for people with disabilities

3.4.2.5 Grants to NGOs according to the art. 99/Law 448/2006

Success factors: The successful implementation of accessibility measures depends on the effect of awareness raising sessions and on the ability to apply effective sanctions for non-compliance. The success factors essential for de-institutionalization are the efficient management of available funds and the establishment of a successful collaboration with the local administration.

Program 3.5: Gender equality and fight against domestic violence

Motivation: Equal opportunities and equal treatment between women and men is a fundamental principle of human rights, implemented at legislative level and in public policy. Recent studies in this area showed that the introduction of the gender perspective in public policies lead to significant increases in the economy and living standards of citizens. In recent years it has been observed that gender differences have diminished, but not enough to achieve de facto equality between women and men. Equality can be viewed from many perspectives. If at present there is no discrimination against women in education and health in Romania, considerable differences in access to employment are notable (see Objective 1).

The rate of poverty and social exclusion among women in Romania stood at 38.2% in 2015, well above the European average of 24.4%, with a greater difference between women and men (1,7pp to 1,4pp in the EU). Romania’s peculiarity is that this difference is due mostly to differences in employment, fueled at their turn by the family model and family-work balance, which are more detrimental to women in Romania than in other countries, and not by the differences in salaries.

In Romania the share of women's representation in decision-making positions in government at both levels – central and local, has been increasing from 27% in 2003 to 56% in 2011 and dropped to 51% in 2012, in line with the downward trend in the European Union. In fact, the percentage of women occupying decision-making positions in central government is significantly above the overall average in the EU, which places our country on the top in the EU40.On the other hand, although the public opinion and the collective consciousness consider it certain that harassment is a manifest phenomenon, at this time there isn’t sufficient awareness of the rights and obligations related to the fight against this phenomenon at the level of both the victims and society in general.Therefore, given that the measures to promote gender equality in the labor market are covered by Objective 1, and various social measures are included in Objective 2, the measures covered by Program 3.5. target education, training and awareness. These correspond to the National Strategy for equality between women and men 2014-2017, approved by Government Decision 1050/2014, which is the main strategic document in this area.

40 ISP MMJS 2014

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It should be noted that the Romanian experience in the field of gender equality legislation already includes well-structured institutional arrangements to implement this principle, growing civil society and an important academic segment41.Regarding domestic violence, this is one of the most serious problems facing the Romanian society. Recent data show that the contemporary Romanian society tends to regress in terms of building relations between women and men in the family towards a patriarchal model, influenced, unfortunately, by lower living standards and education and the negative social developments of Romanian transition. In this context, preventing domestic violence is a priority in terms of promoting patterns of relationships based on gender equality.The Convention on preventing and combating violence against women and domestic violence, adopted in Istanbul on May 11, 2011 and ratified in Romania by the Law 30/2016 led to the National Strategy for preventing and combating domestic violence 2013-2017, which is the main strategic document for combating violence.The main policy guidelines for combating domestic violence are: 1) education and training activities, including of the personnel having to deal with these cases; and 2) the development of an integrated network of services for the victims and aggressors. The Governing Program reiterates the importance of sending a clear signal considering the need to fight violence against women.ANES is the main institution responsible with the policies related to discrimination and violence. The implementation of these policies is made in collaboration with ANOFM, IM, MEN, MS and local administration bodies.

Program 3.5 is financed from the following sources:1. MMJS budget2. POCU, Axes ???3. Other sources (potentially)

Objectives: Program 3.5 has one specific objective and its results are to be measured by 2020 via the following result indicators:

Specific Objective 3.5_1: Reducing and preventing the cases of discrimination, harassment, and violence

(3.5.1) Share of population aware of the existence of legal framework and the sanctions applicable in cases of discrimination, harassment, and violence

Measures: Program 3.6. Includes measures from the "National Strategy for Preventing and Combating the Domestic Violence for the Period 2013-2017". The allocated budgets are shown in Annex 1 and the indicators of the measures are presented in Annex 3.

includes actions planned by relevant sectorial strategies and will focus at the level of measure on those activities prioritized by the Governing Program 2017-2020. Corresponding budgets are detailed in the Annex 1, while the targets at measure level are presented in Annex 3

(3.5.1) Reducing and preventing the cases of discrimination, harassment, and violence

3.5.1.1 Informing and rising awareness among pupils on gender discrimination

3.5.1.2 Informing and rising awareness among public sector employees on gender discrimination

41http://anes.gov.ro/cs/groups/public/documents/document/mjaw/mda1/~edisp/1010115116200005220.pdf

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3.5.1.3 Informing and rising awareness among general population on gender discrimination

3.5.1.4 Financial support for training of employees from state institutions, and from public or private organizations on equal treatment between men and women

3.5.1.5 Events for rising awareness on the benefits of gender budgeting and on the fiscal facilities for the companies that provide day-care services to their employees

3.5.1.6 Informing and rising awareness among general population on domestic violence and its serious consequences

3.5.1.7 Informing and rising awareness among general population on legal framework protecting the victims of domestic violence

3.5.1.8 Organising events to mark the International Day against Domestic Violence

3.5.1.9 Informing and rising awareness among pupils on gender discrimination

3.5.1.10 Development of an integrated network of services dedicated to the victims and aggressors

3.5.1.11 Continuous training of experts: policemen, courts staff, employees of DGASPS/SPAS, probation officers, career counsellors, medical staff, teaching staff, social assistants, in the field of fighting domestic violence

Success factors: The main success factors of this program are the following: a) effective communication of the programs to the target audience; B) Engaging and empowering the implementing partners, especially local governments.

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Strategic objective 4: Strengthening the capacity of the Ministry of Labor and Social Justice (MMJS) to fulfil its functions for the elaboration and the implementation of the public and

regulatory policies in its field of activity

The institutional context governing the labour and social justice sector in Romania is complex and presents a notable volatility. The policies, respectively the legislation and the strategic framework, are elaborated within or under the coordination of the MMJS. Joint measures are taken especially in collaboration with the Ministry of Education, the Ministry of Health and with the local authorities.

In order to implement the adopted public policies, the ministry uses the resources of the national budget, the social insurance budget, its own income, the European Structural and Investment Funds, loans and grants from other international financial institutions. The funds allocated from the state budget for the MMJS, together with the expenses of the social insurance budget (SIB), net of transfers from the budget, amounts to 80 billion RON or 9.7% of the GDP forecasted for the year 2017. Takin this into account, the MMJS needs the tools and the resources to effectively manage these funds and to successfully implement the sectoral policies.

The priorities arising from the institutional challenges refer to: (i) the development of the capacity to formulate policies and strategies and their operationalization; (ii) the improvement of the provision of services with the help of information and communication technology; (iii) the development of an integrated approach in the field of social policies, including the development of social inclusion monitoring and evaluation systems and of all persons benefiting from services and/or receiving benefits; (iv) the development of a modern system for payment of the benefits; (v) the development of the mechanisms and the procedures for funding, coordinating and harmonizing among the funding mechanisms in various sectors (health, education, housing and employment); (vi) the development of a continuous vocational training system for the professionals who work in the labour and social justice sector.

This strategic objective is based on Programme 4.1 and the Programme 4.2 and proposes to create a public administration in the labour and social justice sector, calibrated to the needs of operating in the field, based on knowledge and information in order to: (i) perform its strategic function more efficiently (through better mechanisms for formulating the policies` framework) and (ii) deliver more efficient sector policies and services to the beneficiaries (through an improved institutional framework). The programmes of this strategic objective are based on measures for the improvement of the administrative capacity of management and implementation of the sectoral policies with the purpose to obtain a better functional performance of the ministry and of the structures subordinated to the ministry. Among these included: (i) improving the roles, procedures and functional mechanisms for the establishment of the labour and social justice strategy and for the implementation of the ISP; (ii) solving the deficiency regarding human resources; (iii) solving the problems related to easy access to sectoral data and information; (iv) solving the problems related to the lack of certain tools for the evaluation of the performance of the public sector policies and the performance of the staff employed; (v) improving the coordination with other government institutions that manage a portfolio that impacts on the performance of the labour and social justice sector; (vi) greater transparency and involvement of the stakeholders in the public policy process.

The Structure of Strategic Objective 4 includes two (2) Programmes and eighteen (18) Measures corresponding to the expected results.

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Strategic objective 4: Strengthening the capacity of the Ministry of Labor and Social Justice (MMJS) to fulfill its functions for the elaboration and the implementation of the public and regulatory policies in its field of activity

Program 4.1: Strengthening the administrative capacity of the institutions in the labour and social

justice sector

Measures of Program 4.1.M4.1.1.1. Revision of the organizational responsibilities and of the related procedures in order to allow an improved strategy formulation and an easy implementation of the ISPM4.1.1.2. Efficient provision of licensing and accreditation activities specific to the labour and social justice sectorM4.1.1.3. Ensuring a performing management at the level of the MMJS, in accordance with the existing objectives and with the legal regulations, in order to ensure that public funds are managed economically, efficiently and effectively by applying the internal/managerial control system standardsM4.1.2.1. Strengthening of policy making capacity, planning, and management services in all relevant sectors, fully integrating all social innovation initiativesM4.1.2.2. Strengthening of monitoring and evaluation systemsM4.1.2.3. Consultation with beneficiaries and stakeholders involved in the labour and social justice sector, for the formulation and publication of public policiesM4.1.2.4. Transparency in the decision-making process and the formulation of public policies and legal frameworkM4.1.3.1. Human resources management and adaptation to the needs of the organizationM4.1.3.2. Increasing the level of knowledge, understanding and application of the integrity standards by the employees and the beneficiaries of public services

Program 4.2: IT systems in the labour and social justice sector

Measures of Program 4.2.M4.2.1.1. Maintenance of the current IT infrastructureM4.2.1.2. Improvement of the correlation mechanisms for the business processes with the development of the IT systemsM4.2.1.3. Improvement of the services provision with the help of ICT technology, including the development of a modern payment system, especially by developing the inter-operability between the current systems and/or those to be developedM4.2.2.1. Elaboration and approval of the Strategy regarding the Information and Communication Technology within the MMJS, updated according to the Governng Program and the ISPM4.2.2.2. Implementation of a document management systemM4.2.2.3. Digitization of processes, procedures and services at institutional level and insuring of the interoperaility

The strategic objective 4 aims at long-term results in improving the public governance of the labour and social justice sectors. These are based on the results generated by the programmes presented below.


Program level budget for Strategic Objective4



2017 2018 2019 2020

Program 4.1. Strengthening the administrative capacity of the institutions in the labour and social justice sector

26.465.356 6.598.314 6.986.183 6.720.31

9 6.160.540

Program 4.2. IT systems in the labour and social justice sector 98.250 9.700 23.000 40.250 25.300

Total OS 4 26.563.606 6.608.014 7.009.183 6.760.569 6.185.840

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Degree of compliance with the state budget:The difference between the planned budget on January 1 and the definitive rectified budget on December 31. Target: 2020: 98%The difference between the planned budget on January 1 and the budget’s execution on December 31. Target 2020: 100%

Impacts

(4.1.1) Improving the functional stability of MMJS and of institutions in its coordination, insuring a performant management of the public funds by applying standards of internal/managerial control: Number of annual changes in institutional structure; Number of conforming standards(4.1.2) Increasing the efficiency and transparency of the processes of elaboration, evaluation and implementation of quality public policies based on impact studies: Share of public policies / legal documents based on impact studies in total public policies / legal documents issued by MMJS(4.1.3) Increasing the professional quality of the human resources in the labour and social justice sector, of the degree of knowledge, understanding and application of the integrity standards: Share of MMJS employees graduating from training programs in the Ministry priority domains; Number of integrity incidents(4.2.1) Improving the functioning of the IT systems in the labour and social justice sector: Share of digitized procedures and services at institutional level(4.2.2) Development of the MMSJ hub at national level: Level of IT integration

Program

results

Program 4.1: Strengthening the administrative capacity of the institutions in the labour and social justice sector

Motivation: The provision of services in the labour and social justice system relies mainly on the existing human capital. The development of this human capital is the foundation for improving the quality of these services. Another important factor is the implementation of good practice tools in the management of this system, such as: public policies, performing management of human resources, strategic planning, monitoring and evaluation systems, efficient funding and reimbursement mechanisms.

Programme 4.1 supports the measures for improving the management administrative capacity and implementation of sectoral policies in order to obtain the optimal operation of the ministry and its subordinated structures in the implementation of the Institutional Strategic Plan. Its successful fulfilment will be reflected in the stability of the institutional structure, in the public sectoral policies developed and successfully implemented, in the extent and the quality of using the national and European budgetary funds.

These results will be observed if within the process for the implementation of the measures, the beneficiaries and the stakeholders involved will request and will collaborate, and the decision makers and the specialists of the administration will act consistently to: i) reduce the frequency of changes in the functional structure; ii) reduce the turnover of specialized staff and of the de-professionalization; iii) develop coherent public policies based on certain procedures that are well-defined and adequately informed with statistical data, analyses and forecasts; iv) use the participatory and consultative methods in the elaboration of public policies; v) facilitate the access to information, informing and consulting the direct beneficiaries of the sectoral public policies; vi) open to partnerships and collaborations at local, national, European and international level; vii) computerizing the data and documents flows; viii) legally and efficiently use the ministry’s operational budget; and (ix) processes and instruments for periodic monitoring and evaluation, for reviewing the implementation of the strategic plan measures and for publishing the results.

Objectives: Program 4.1 has three specific objectives and its results are to be measured by 2020 via the following result indicators:

Specific Objective 4.1_1: Improving the functional stability of MMJS and of institutions in its coordination, insuring a performant management of the public funds by applying standards of internal/managerial control

• (4.1.1.) Number of annual changes in institutional structure; • (4.1.2.) Number of conforming standards

Specific Objective 4.1_2: Increasing the efficiency and transparency of the processes of elaboration, evaluation and implementation of quality public policies based on impact studies

• (4.1.3) Share of public policies/legal documents based on impact studies in total public policies / legal documents issued by MMJS

• Specific Objective 4.1_3: Increasing the professional quality of the human resources in the labour and social justice sector, of the degree of knowledge, understanding and application of the integrity standards

• (4.1.4) Share of MMJS employees graduating from training programs in the Ministry priority domains; Number of integrity incidents.

The programme aims to ensure an effective leadership, strategic management and administrative support for the MMJS, by continuously improving the strategy and the organizational structure, in

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accordance with the applicable legislation and with the good practices. The programme is also responsible for providing a comprehensive legal advice service, in order to ensure the coherence and the consistency of the regulatory framework, and in order to allow the Ministry to execute its mandate efficiently, within the limits of the law. The programme also aims to ensure an effective and efficient management of the human resources, including planning and management of the workforce, and also the recruitment, transfer and training of the staff, depending on the needs of the MMJS activity. At the same time, by implementing the measures it is aimed to ensure a budgetary substantiation and planning in order to observe the principles of good financial management, of a healthy financial management, especially of the economy and the efficiency of expenses. This programme provides support services for all the other programmes.

Measures. The main measures that will contribute to the achievement of the objectives of the programme are presented hereinafter. The allocated budgets are shown in Annex 1, and the targets of the indicators related to the measures are presented in Annex 3:

(4.1.1) Improving the functional stability of MMJS and of institutions in its coordination, insuring a performant management of the public funds by applying standards of internal/managerial control

4.1.1.1 Revision of the organizational responsibilities and of the related procedures in order to allow an improved strategy formulation and an easy implementation of the ISP

4.1.1.2 Efficient provision of licensing and accreditation activities specific to the labour and social justice sector

4.1.1.3 Ensuring a performing management at the level of the MMJS, in accordance with the existing objectives and with the legal regulations, in order to ensure that public funds are managed economically, efficiently and effectively by applying the internal/managerial control system standards

(4.1.2) Increasing the efficiency and transparency of the processes of elaboration, evaluation and implementation of quality public policies based on impact studies

4.1.2.1 Strengthening of policy making capacity, planning, and management services in all relevant sectors, fully integrating all social innovation initiative s

4.1.2.2 Strengthening of monitoring and evaluation systems

4.1.2.3 Consultation with beneficiaries and stakeholders involved in the labour and social justice sector, for the formulation and publication of public policies

4.1.2.4 Transparency in the decision-making process and the formulation of public policies and legal framework

(4.1.3) Increasing the professional quality of the human resources in the labour and social justice sector, of the degree of knowledge, understanding and application of the integrity standards

4.1.3.1 Human resources management and adaptation to the needs of the organization

4.1.3.2 Increasing the level of knowledge, understanding and application of the integrity standards by the employees and the beneficiaries of public services

Success factors. The successful implementation of this programme depends on a series of external factors, such as the progress of wider public administration reforms, including the revision of the current statute regarding the civil service. The main internal success factors of this programme are

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the following: a) an effective and efficient communication of the specialists in the field of labour and social justice; b) performing an efficient management of the human resources; c) the use/implementation of the ICT solutions to support the decision; d) the development of the operational plan for the implementation of the ISP; e) the appointment of senior professionals with proven experience in the management of Budgetary Programmes.

Program 4.2: IT systems in the labour and social justice sector

Motivation: The provision of services in the labour and social justice system is also based on information technologies in order to increase the productivity of the employees in the sector and also in order to increase the quality of services provided by the labour and social justice system. Moreover, the programme aims to gradually develop the electronic information management systems (EIMS) to support the activity of the social workers and social service providers. The “e-social assistance” system will include all social assistance and social services programs and will integrate the information from a series of different IT systems and databases. The “e-social assistance” system would become the backbone of the social assistance system in Romania. EIMS will allow a more efficient use of existing human capital by carrying out more activities in the same time unit.

Objectives: Program 4.2 has two specific objectives and its results are to be measured by 2020 via the following result indicators:

Strategic Objective 4.2_1: Improving the functioning of the IT systems in the labour and social justice sector.

• (4.2.1) Share of digitized procedures and services at institutional level

Strategic Objective 4.2_2: Development of the MMJS hub at national level

• (4.2.2) Level of IT integration

The purpose of the programme is to provide adequate ICT solutions that support the management functions carried out by the entire MMJS organization. For that purpose, by the implementation of this programme it is intended to provide the functioning of the IT system of the MMJS, unitary and integrated, in order to meet the requirements of its internal beneficiaries – MMJS and subordinated institutions and external beneficiaries, but also its expansion through the development of new systems, necessary due to the change in the business needs and/or technological developments worldwide. The programme 4.2 aims to also ensure the alignment of the IT system of the MMJS with the requirements for the development and management of the sector’s budget, to ensure the interoperability with the other institutions of the public administration, as well as with the requirements for alignment with the new technologies This programme provides support services for all the other programmes.

Measures. Programme 4.2. includes actions provided by the relevant sectoral strategies, and will focus, at the level of measure, on those activities prioritized by the Governance Programme 2017-2020. Corresponding budgets are detailed in the Annex 1, while the targets at measure level are presented in Annex 3

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(4.2.1) Improving the functioning of the IT systems in the labour and social justice sector

4.2.1.1 Maintenance of the current IT infrastructure

4.2.1.2 Improvement of the correlation mechanisms for the business processes with the development of the IT systems

4.2.1.3 Improvement of the services provision with the help of ICT technology, and development/modernization of payment systems

(4.2.2) Development of the MMJS hub at national level

4.2.2.1 Elaboration and approval of the Strategy regarding the Information and Communication Technology within the MMJS, updated according to the Governing Program and the ISP

4.2.2.2 Implementation of a document management system

4.2.2.3 Digitization of processes, procedures and services at institutional level and insuring of their interoperability

Success factors: Achieving the program’s objectives depends on how the ICT strategy will deal in general and on the measures to be taken in order to ensure an efficient ICT management at the level of the structure of the Ministry of Labour and Social Justice and in order to improve the ICT function both from the qualitative point of view - increasing the performance of the ICT specialists, and from the quantitative point of view - increasing the number of specialists in all the necessary ICT fields.

The main success factors of this programme are the following: a) an effective and efficient communication of the labour and social justice specialists; b) carrying out a performing management of information systems; c) the use/implementation of ICT solutions to support the decision-making process; d) the improvement of the existing information systems by accessing the e-inclusion and the e-social assistance instruments provided for in the Competitiveness Operational Programme 2014-2020 and in the National Strategy on the Digital Agenda for Romania 2020.

A special importance in the success of this programme is represented by the measures to ensure the functioning of the IT system at the capacity necessary in order to meet the requirements of the internal and external users, both measures related to its maintenance, including measures to acquire the necessary services and products in time, according to the needs identified together with the functional directions, and measures for further development. There can be no success without the harmonious interlacing of the technological factors with the human and procedural ones. The success is ensured by a good training of the staff who is the end user of the implemented system, and by the rationalization and implementing new working processes. A follow-up to the action begun with the high-level definition of the Enterprise Architecture will formalize better this approach.

The development, expansion and optimization of the IT applications that allow the collection, processing and making available for the internal and external users the financial, patrimonial, etc. data from the level of the entire public administration will ensure the development of the hub in the field of labour and social justice.

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4. Framework for ISP implementation, monitoring and evaluation

To be relevant, an institutional strategic plan should associate public policies and financial planning processes. As a consequence, the Institutional Strategic Plan 2017-2020 for MMJS should support budget planning for each of the following years. It is important to note that although the budget contains spending projections for three years, it provides details of related activities and resources for only one year.

Responsibility: Implementation of the Strategic Plan begins with Parliament's approval of the state budget law. The PSI Working Group, through the MMJS Public Policy Unit and with the help of technical units, will prepare annual operational plans for the implementation of the Plan, which will serve as a basis for monitoring. This activity is extremely important because it allows senior management to identify and solve potential challenges in advance.

Monitoring and evaluation framework: A monitoring and evaluation framework is set out in Annexes 2 and 3, which presents indicators and targets for different levels of planning (see table below). Annex 1 includes an overview of financial planning for the 2017-2020 period. As far as possible and in order to avoid overloading the MMJS, the PSI monitoring framework has been designed to fully integrate into the Joint Monitoring and Evaluation Framework, which is mandatory for European programs in 2017-2020.

Data collection and management: An IT system for strategic planning and performance assessment was developed on the basis of the Institutional Strategic Plan architecture. The application will illustrate the key functions of the PSI and will allow assessment of progress in implementation at all levels of execution and management. The state of implementation compared to the planned levels of the indicators will be accessible to all stakeholders and citizens through an interface available to the general public.

Reporting: In determining the content and frequency of monitoring, it is important not to overburden the specialized departments of MMJS. Therefore, different categories of performance indicators require different reporting time intervals:

- Input and process / product indicators will be measured monthly, or at least quarterly;

- Immediate result indicators will be measured quarterly;

- Result indicators will be measured bi-annually;

- Impact indicators will be measured annually.

A chart of the ISP monitoring cycle is provided in the figure below:

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Figure 10. Monitoring cycle for MMJS ISP 2017-2020

It is important to report to the general public on the state of affairs and the progress made in achieving the planned outcomes, according to the impact indicators and targets set. Although the annual progress reports are not currently available, it will be essential for them to be prepared and presented to the public by the MMJS in the future.

Evaluation: In addition to EU-funded programs subject to ex-ante, intermediate and ex-post evaluations, the MMJ has not developed a formal approach to ex-post evaluations of other programs and policies. In the future, this activity will provide important information to make changes regarding with respect to delivering programs and policies. These changes will not significantly affect the strategic plan.

It would be desirable to strengthen the periodic evaluation of the entire portfolio of programs that the MMJS manages and which are included in the PSI, and preferably synchronize with the timetable for evaluating the European programs. This activity could be outsourced to the same evaluators who will be working on the Human Capital Operational Program, thus creating synergies in the evaluation work, while having a holistic view of policy outcomes.

Updating: A complete strategic planning exercise will be carried out every four years. In the other years, the MMJS will, through the PSI working group, prepare an annual update to determine whether changes to the strategic plan are necessary. The update will consist of three activities:

- comparing the actual results of the previous year versus the planned ones based on the targets set in the strategic and operational plans;

- reviewing the internal and external environment to determine whether significant changes to the underlying assumptions are required; and

- adding an extra year to the plan.

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BI-ANNUAL ANALYSIS OF RESULTS: RESULT, OUTPUT

AND INPUT INDICATORS

TRIMESTER ANALYSIS: PROCESS/OUTPUT AND

INPUT INDICATORS


INPUT INDICATORS


INPUT INDICATORS


INPUT INDICATORS

ANNUAL ANALYSIS OF RESULTS: ALL INDICATORS

OCT.JUL.APR.IAN.

Year Setting new targets

2017 For 2021

2018 For 2022

2019 For 2023

As its duration is less than three years in addition to the planning year, the updated Strategic Plan can continue to respond to the three-year budgetary requests and forecasts. Often, vision, strategic goals and program objectives do not change unless a major event, such as an unforeseen economic crisis, occurs. The update exercise should be completed by May 30th of each year, which provides time for the collection and analysis of the results obtained in the previous year.

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5. Financial Resources

The viability of the 2017-20 ISP is determined by the availability of financial resources required for the implementation of the measures underneath each specific objective.

Despite the generous EU programmes envelope, securing adequate funding has remained a challenge to date when pursuing the institutional reforms. Certain relevant areas and services, either within the sector administration or under the portfolio of other government agencies remain under-funded.

Both for policy areas, as well as for pursuing institutional reform priorities, MMJS would be well served by a transition to program budgeting. This should be useful for achieving a better articulation between the general sector goals, corresponding action plans and the resources that need to be allocated.

Lastly, Romania needs to clearly identify and prioritize, by policy areas, an adequate balance between public and private resources that need to contribute to the development of the education sector.

A budget outline that summarizes the core strategic objectives and the main measures is presented in Annex 1.

Table 9 below illustrates the financial envelopes per year needed for the operationalization of the ISP over the 2017-20 period.

Table 6. Financial resources for operationalizing the 2017-20 ISP (thousand RON)

Year Total 2017 2018 2019 2020

Estimated sums 407,232,958 98,796,762 102,129,491 103,299,053 103,007,653

The financial resources have been classified into three main categories: (i) resources from the state budget for national policies and administrative expenses (99,5%), (ii) resources from the state budget for co-financing EU policies (0,07%) and (iii) resources from the EU budget (0,43%).

The 2017 budget and the 2016-18 Fiscal-Budgetary Strategy were taken into account when planning the state budget allocations for national policies and EU programmes co-financing. The established ceilings were taken into account both for the level of co-financing and for the other types of expenses - classified under the state budget category for national policies. The EUR - RON exchange rate used is the same one used to substantiate the 2016 budget.

The number of programs has increased significantly compared to the previous ISP. Despite its obvious complexity, this new ISP shows an increased consistency in terms of programs and facilitates the implementation and monitoring process.

Over 78.6 % of the total resources allocated to the sector are directed towards the achievement of the Strategic objective 2 related to an adequate and sustainable pension system, while Strategic objective 3 related to reducing the number of people at risk of poverty and social exclusion has an allocation of over 13.4% of the total resources. Strategic Objectives 2 and 3 cover about 92 % of the total resources, while the other strategic objectives are allotted less than 8 % of the total resources.

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Strategic Objective 2017 2018 2019 2020

SO 1 1,384,895 1,388,650 1,392,313 1,395,587

SO 2 78,783,002 80,167,957 80,895,824 80,536,357

SO 3 12,020,851 13,563,701 14,250,347 14,889,869

SO 4 6,608,014 7,009,183 6,760,569 6,185,840

One important institutional challenge is the ability to implement the ISP, including through budget execution based on defined programs. From an organizational and managerial perspective, this represents the main challenge for the next period. Budget execution by programs will also bring important changes in the management of MMJS structures, namely the budget directorate.

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Annex 1a: Budgetary Objectives and Programs 2017-2020

Strategic Objective / Program


Value/year, thou RON2017 2018 2019 2020

Total 407.232.958 98.796.762 102.129.491 103.299.053 103.007.653Strategic objective 1 5.561.445 1.384.895 1.388.650 1.392.313 1.395.587Program 1.1. Real opportunities for youth 550.691 141.674 138.435 136.367 134.216

Program 1.2. Employment for all 1.167.410 318.273 281.871 281.950 285.317

Program 1.3. Passive labor market measures 2.857.697 729.536 711.102 709.014 708.045

Program 1.4. Working conditions 573.876 100.796 154.624 157.715 160.741

Program 1.5. Insurance for work accidents and occupational diseases

411.772 94.617 102.619 107.268 107.268

Strategic objective 2 320.383.140 78.783.002 80.167.957 80.895.824 80.536.357Program 2.1. Adequacy and equity 335.284 83.821 83.821 83.821 83.821

Program 2.2. Management of the pension system

320.047.856 78.699.181 80.084.136 80.812.003 80.452.536

Strategic objective.3 54.724.767 12.020.851 13.563.701 14.250.347 14.889.869Program 3.1. Child protection 764.346 2.218 194.136 140.481 427.512

Program 3.2. Social protection and inspection

53.596.688 11.908.756 13.273.290 13.981.697 14.432.945

Program 3.3. Social services 85.915 76.915 3.600 4.200 1.200

Program 3.4. Disability rights 92.217 8.618 18.806 45.986 18.806

Program 3.5. Gender equality and fight against domestic violence

185.601 24.344 73.869 77.983 9.405

Strategic objective 4 26.563.606 6.608.014 7.009.183 6.760.569 6.185.840Program 4.1. Strengthening the administrative capacity of the institutions in the labour and social justice sector

26.465.356 6.598.314 6.986.183 6.720.319 6.160.540

Program 4.2. IT systems in the labour and social 98.250 9.700 23.000 40.250 25.300

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justice sector

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Annex 1b: Programs, Measures, and related Budgets. Breakdown by financial resources for 2017-2020

Strategic Objective / Program / Measure 2017, thou RON 2018, thou RON 2019, thou RON 2020, thou RON

Total 98.796.762 102.129.491 103.299.053 103.007.653

Strategic Objective 1: 1.384.895 1.388.650 1.392.313 1.395.587

Program 1.1. Real opportunities for youth 141.674 138.435 136.367 134.216

Measure 1.1.1.1.:Identification and registration of young NEETs in the integrated database of ANOFM (National Employment Agency) 44.300 44.300 44.300 44.300

Measure 1.1.1.2.: Information and career counselling services 0 0 0 0

Measure 1.1.1.3.:Labor matching services 0 0 0 0

Measure 1.1.1.4.:Assistance and consultancy services for a business start-up or for starting a self-employed professional activity 254 254 346 356

Measure 1.1.1.5.: Professional training courses 0 0 0 0

Measure 1.1.1.6.:Evaluation and certification of professional skills acquired through non-formal and informal learning 0 0 0 0

Measure 1.1.1.7.: 296 297 297 297

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Apprenticeship vocational training schemes

Measure 1.1.1.8.:Internship programs for higher-education graduates 3.240 3.240 3.240 3.240

Measure 1.1.1.9.:Mobility support schemes (commuting and resettlement grants) 3.475 3.475 3.475 3.475

Measure 1.1.1.10.:Mobility support schemes (relocation grants) 2.015 2.015 2.015 2.015

Measure 1.1.1.11.: Activation grants 20.000 20.000 20.000 20.000

Measure 1.1.1.12.:Subsidies to employers for hiring graduates and young NEETs 68.094 64.854 62.694 60.534

Measure 1.1.1.13.:Personalized social accompaniment 0 0 0 0

Program 1.2. Employment for all 318.273 281.871 281.950 285.317

Measure 1.2.1.1.:Information and career counselling services; 88.522 62.174 62.174 62.174

Measure 1.2.1.2.:Labor matching services; 0 0 0 0

Measure 1.2.1.3.:Assistance and consultancy services for a business start-up or for starting a self-employed professional activity; 254 254 346 356

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Measure 1.2.1.4.:Partial unemployment benefits payed to the unemployed who take up employment prior to the expiration of the legal period for receiving unemployment benefit 13.976 13.976 13.976 13.976

Measure 1.2.1.5.:Mobility support schemes (commuting grants) 6.300 735 735 1.082

Measure 1.2.1.6.:Mobility support schemes (resettlement grants) 11.670 19.400 17.850 17.500

Measure 1.2.1.7.:Mobility support schemes (relocation grants) 3.820 6.800 6.150 5.800

Measure 1.2.1.8.:Employment grants for graduates 2.050 11.750 11.750 18.250

Measure 1.2.1.9.:Activation grants for the unemployed who do not collect unemployment benefits 13.429 10.000 10.000 10.000

Measure 1.2.1.10.:Bonuses for graduates that register to ANOFM 1.250 1.750 1.750 4.500

Measure 1.2.1.11.:Personalized social accompaniment 0 0 0 0

Measure 1.2.2.1.:Internship schemes for higher-education graduates 0 0 0 0

Measure 1.2.2.2.: 0 0 0 0

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Temporary jobs scheme for pupils and students during the holidays

Measure 1.2.2.3.:Apprenticeship vocational training schemes 0 0 0 0

Measure 1.2.3.1.:Professional training courses 0 0 0 0

Measure 1.2.3.2.:Evaluation and certification of professional skills acquired through non-formal and informal learning 0 0 0 0

Measure 1.2.4.1.:Subsidies to employers who benefit from contracts for providing public interest community works or social services 2.978 2.500 2.500 2.500

Measure 1.2.4.2.:Subsidies to employers who hire graduates 49.800 28.860 28.860 28.860

Measure 1.2.4.3.:Subsidies to employers who hire graduates with disabilities 3.240 1.080 1.080 1.080

Measure 1.2.4.4.:Subsidies to employers who hire unemployed aged 45 or more 102.000 102.000 104.187 98.648

Measure 1.2.4.5.:Subsidies to employers who hire persons from single-parent families 554 360 360 360

Measure 1.2.4.6.:Subsidies to employers who hire long-term unemployed 1.395 360 360 360

Measure 1.2.4.7.: 3.375 3.150 3.150 3.150

76


Subsidies to employers who hire young NEETs

Measure 1.2.4.8.:Subsidies to employers who hire people with disabilities 2.430 2.430 2.430 2.430

Measure 1.2.4.9.:Subsidies to employers who hire people with less than 5 years to the retirement 3.402 3.402 3.402 3.402

Measure 1.2.4.10.:Subsidies to employers who hire young persons at risk of marginalisation 7.829 10.890 10.890 10.890

Program 1.3. Passive labor market measures 729.536 711.102 709.014 708.045

Measure 1.3.1.1.:Unemployment benefits, social security contributions and health insurance contributions for the recipients of unemployment benefits 555.730 531.147 528.728 528.062

Measure 1.3.1.2.:Redundancy payments 19.968 22.272 19.853 17.123

Measure 1.3.1.3.:Administrative support measure

Program 1.4 Working conditions 100.796 154.624 157.715 160.741

Measure 1.4.1.1.:Decent and motivating wages 0 0 0 0

Measure 1.4.1.2.:Implementation of a unitary wage system for the public-sector 0 0 0 0

77


employees

Measure 1.4.2.1.:Achieving the health and security at work objectives from the MMJS Sectoral R&D Framework Program 0 0 0 0

Measure 1.4.2.2.:Ensuring the legal and organizational framework for supporting Romanian manufacturers of machinery, equipment and protection systems for use in environments with risks of explosion, individual protection equipment, explosives for civil use and pyrotechnic articles, in order to introduce these products on the EU single market 0 0 0 0

Measure 1.4.3.1.:Strengthen measures to prevent and reduce the undeclared work (annual plan of measures) 62.676 96.238 98.154 100.029

Measure 1.4.3.2.:Fight against gender discrimination, harassment, and sexual harassment on the labour market 0 0 0 0

Measure 1.4.3.3.:Increasing the safety of the workplace 38.011 58.386 59.561 60.712

Measure 1.4.3.4.:Increased control on the establishment and provision of statutory rights to employees as derived from labour legislation, relevant collective contract, and individual labour contracts 0 0 0 0

Measure 1.4.3.5.: 109 0 0 0

78


Rising awareness of the socio-economic environment regarding compliance with the legislation in force and ensuring working conditions

Program 1.5 Insurance for work accidents and occupational diseases 94.617 102.619 107.268 107.268

Measure 1.5.1.1.:Higher accessibility for the beneficiaries 0 0 0 0

Measure 1.5.1.2.:Simplification and higher efficiency of the system for beneficiaries 838 920 966 966

Measure 1.5.1.3.:Improving benefits to families of occupational accidents and occupational diseases victims 81.659 89.466 93.566 93.566

Measure 1.5.2.1.:Ensuring the flow of European documents without disruptions 3.000 3.500 4.000 4.000

Measure 1.5.2.2.:Reducing the response times of competent institutions according to the requirements of European regulations 0 0 0 0

Measure 1.5.3.1.:Diversification of annual prevention programs structured on EC Directives / national legislation 9.120 8.733 8.736 8.736

Measure 1.5.3.2.:Focus of the preventive activities towards the SMEs 0 0 0 0

Measure 1.5.3.3.: 0 0 0 0

79


Progressive development of information / communication campaigns addressed to the business environment

Strategic Objective 2 78.783.002 80.167.957 80.895.824 80.536.357

Program 2.1 Adequacy and equity 83.821 83.821 83.821 83.821

Measure 2.1.1.1.:Increase of average gross pension 0 0 0 0

Measure 2.1.1.2.:Increase of minimum social allowance for the pensioners 0 0 0 0

Measure 2.1.1.3.:Incentives to the development of the private pension system 83.821 83.821 83.821 83.821

Measure 2.1.2.1.:Harmonisation of requirements and proper application of legal requirements for reducing the level of inequality and inconsistency in the pension system 0 0 0 0

Program 2.2 Management of the pension system 78.699.181 80.084.136 80.812.003 80.452.536

Measure 2.2.1.1.:Legal stability and coherence for a period of a minimum 5 years 299.710 266.621 265.749 265.749

Measure 2.2.1.2.:Pensions and associated benefits 78.399.471 79.817.515 80.546.254 80.186.787


Program 3.1 Child protection 2.218 194.136 140.481 427.512

Measure 3.1.1.1.: 0 111.600 55.800 419.350

80


Establishment of at least one day-care service for each administrative-territorial unit

Measure 3.1.1.2.:Extension of the area in which the minimum services package is provided 0 635 6.350 8.162

Measure 3.1.1.3.:Higher quality of the social services targeting children 208 0 0 0

Measure 3.1.2.1.:Closing down the placement institutions from the child protection system operating in the structure established during 1997, and 2000 (classic placement centers), and providing the service through family-type foster houses and apartments 0 73.901 73.901 0

Measure 3.1.2.2.:Establishment of 8 regional centers specialized on assisting children with behavioral issues 2.000 8.000 4.430 0

Measure 3.1.2.3.:Establishment of the Children’s Ombudsman 10 0 0 0

Program 3.2. Social protection and inspection 11.908.756 13.273.290 13.981.697 14.432.945

Measure 3.2.1.1.:Benefits granted as support for low-income families (social aid/ heating utilities subsidies/family support allowance) 1.481.560 493.928 173.431 503.280

Measure 3.2.1.2.:Benefits granted according to family support policies (child allowance/ 7.602.047 8.134.475 8.272.987 8.411.499

81


child rearing benefit/maternity allowance/back-to-work bonus)

Measure 3.2.1.3.:Disability benefits:1. Disability rights granted according to the Law 448/2006:a. Monthly complementary personal budget for persons with severe, major or average disability;b. Monthly indemnity for adults with severe or major disabilityc. Allowance for the caregiver of the visually impaired, with major disabilityd. Monthly food allowance for children with HIV/AIDS 2.747.292 2.929.722 2.963.725 2.997.271

Measure 3.2.1.4.:Increased share of social benefits paid through the Minimum Social Insertion Income (VMI) 0 1.595.197 2.411.505 2.411.505

Measure 3.2.1.5.:Ex-ante verification of benefits for low-income families, to reduce the number of non-eligible applications (social aid/ heating utilities subsidies/family allowance) 0 0 0 0

Measure 3.2.1.6.:Ex-ante verification of benefits granted according to family support policies, to reduce the number of non-eligible applications (child allowance/ child rearing benefit/ maternity allowance/ back-to-work bonus) 0 0 0 0

82


Measure 3.2.1.7.:Increased share of people granted a disability benefit according to the Law 448/2006 paid through ANPIS (at least 90% of disability benefits are paid through ANPIS, according to art. IV of the draft Law no. 448/ 2006 (art. 57, par. (2)) 0 0 0 0

Measure 3.2.1.8.:Granting social benefits and access to social services through the new Social Assistance Data Management System (DIAMANT) 0 0 0 0

Measure 3.2.2.1.:Strengthening the efficiency of the social inspection, by diversification of verification techniques (risk profiling, databases crosscheck, widening of the sample, better sampling etc.), targeting beneficiaries of social aid, heating utilities subsidies, child allowance, child rearing benefit, maternity allowance, back-to-work bonus as well as disability benefits 77.857 84.298 106.883 107.729

Measure 3.2.2.2.:Efficient social inspection activity – unannounced inspections 0 0 0 0

Measure 3.2.2.3.:Strengthening the efficiency of the social inspection by verifications of the way in which public and private providers of social services comply with the minimum quality standards 0 35.670 53.166 1.661

Measure 3.2.2.4.:Strengthening the efficiency of the social inspection by evaluation of social services against the minimum quality standards, for their licensing 0 0 0 0

83


Measure 3.2.2.5.:Strengthening the efficiency of the social inspection by verifications of the way in which public institutions ensure unrestricted access of disabled people 0 0 0 0

Program 3.3 Social services 76.915 3.600 4.200 1.200

Measure 3.3.1.1.:Ensuring, maintaining, and improving the quality of the social services 0 0 0 0

Measure 3.3.1.2.:Improving the legal framework for services of identification and intervention at the level of local communities, given the drafted Regulatory Framework for social assistance services at village level and the revised Regulatory Framework at town, city and county level 0 3.600 4.200 1.200

Measure 3.3.1.3.:Elaboration/revision of the cost and quality standards in the social services field 0 0 0 0

Measure 3.3.1.4.:Development and implementation of a national program dedicated to the professional training of the staff in the field of social assistance and to hiring at least one social assistant for each administrative territorial unit 0 0 0 0

Measure 3.3.1.5.:Strengthening the capacity of the public social assistance services to provide social services by elaboration of instruments and methodological tools 0 0 0 0

84


Measure 3.3.1.6.:Development of a national system of social inclusion 0 0 0 0

Measure 3.2.2.1.:Elaboration/revision of the legislation regarding social assistance for elderly 0 0 0 0

Measure 3.2.2.2.:Elaboration of the cost standards for public retirement homes according to the occupants’ level of dependence 0 0 0 0

Measure 3.2.2.3.:Supporting the public-private partnership. Development of the mixed social services market 76.915 0 0 0

Program 3.4 Disability rights 8.618 18.806 45.986 18.806

Measure 3.4.1.1.:Introducing notions of accessibility and “universal design” into initial and continuous training programs for civil servants and professionals in the fields of: design and realization of the physical environment, access to the public transport system, communication, information and communication technologies and systems 100 0 0 0

Measure 3.4.1.2.:Rising awareness on the role of accessibility, including at the community level 40 0 0 0

Measure 3.4.1.3.:Professional training and informative workshops for the staff who interacts or is involved in the assistance and protection of people with 0 0 0 0

85


disabilities, including from the NGOs

Measure 3.4.2.1.:Identification of locations in the communities appropriate for the development of the modern social support infrastructure; elaboration of the restructuring plan for the classical institution 0 0 0 0

Measure 3.4.2.2.:Placement of people whose degree of disability allows them to life independently, have a social life and be employable to alternative family-type homes (sheltered houses) 3.510 8.640 25.920 8.640

Measure 3.4.2.3.:Prevention of institutionalization and support of deinstitutionalization by setting up and/or diversifying the structures providing social services 0 4.950 14.850 4.950

Measure 3.4.2.4.:Establishing and monitoring of mobile teams for community intervention for people with disabilities 0 0 0 0

Measure 3.4.2.5.:Grants to NGOs according to the art. 99/Law 448/2006 4.968 5.216 5.216 5.216

Program 3.5 Gender equality and fight against domestic violence 24.344 73.869 77.983 9.405

Measure 3.5.1.1.:Informing and rising awareness among pupils on gender discrimination 3.040 80 0 0

Measure 3.5.1.2.:Informing and rising awareness among public sector employees on 3.000 0 0 0

86


gender discrimination

Measure 3.5.1.3.:Informing and rising awareness among general population on gender discrimination 3.806 4.600 8.817 833

Measure 3.5.1.4.:Financial support for training of employees from state institutions, and from public or private organizations on equal treatment between men and women 3.000 60.690 60.690 90

Measure 3.5.1.5.:Events for rising awareness on the benefits of gender budgeting and on the fiscal facilities for the companies that provide day-care services to their employees 3.000 0 0 0

Measure 3.5.1.6.:Informing and rising awareness among general population on domestic violence and its serious consequences 2.624 2.625 2.625 2.626

Measure 3.5.1.7.:Informing and rising awareness among general population on legal framework protecting the victims of domestic violence 4.000 4.000 4.000 4.000

Measure 3.5.1.8.:Organising events to mark the International Day against Domestic Violence 0 0 0 0

Measure 3.5.1.9.:Informing and rising awareness among pupils on gender discrimination 25 25 0 5

87


Measure 3.5.1.10.:Development of an integrated network of services dedicated to the victims and aggressors 600 600 600 600

Measure 3.5.1.11.:Continuous training of experts: policemen, courts staff, employees of DGASPS/SPAS, probation officers, career counsellors, medical staff, teaching staff, social assistants, in the field of fighting domestic violence 1.249 1.249 1.251 1.251


Program 4.1 Strengthening the administrative capacity of the institutions in the labour and social justice sector 6.598.314 6.986.183 6.720.319 6.160.540

Measure 4.1.1.1.:Revision of the organizational responsibilities and of the related procedures in order to allow an improved strategy formulation and an easy implementation of the ISP 0 0 0 0

Measure 4.1.1.2.:Efficient provision of licensing and accreditation activities specific to the labour and social justice sector 0 0 0 0

Measure 4.1.1.3.:Ensuring a performing management at the level of the MMJS, in accordance with the existing objectives and with the legal regulations, in order to ensure that public funds are managed economically, efficiently and effectively by applying the internal/managerial control system standards 6.352.125 6.638.753 6.367.545 5.802.536

Measure 4.1.2.1.: 14.405 0 0 0

88


Strengthening of policy making capacity, planning, and management services in all relevant sectors, fully integrating all social innovation initiatives.

Measure 4.1.2.2.:Strengthening of monitoring and evaluation systems 0 0 0 0

Measure 4.1.2.3.:Consultation with beneficiaries and stakeholders involved in the labour and social justice sector, for the formulation and publication of public policies 0 0 0 0

Measure 4.1.2.4.:Transparency in the decision-making process and the formulation of public policies and legal framework 0 0 0 0

Measure 4.1.3.1.:Human resources management and adaptation to the needs of the organization 231.784 347.430 352.774 358.004

Measure 4.1.3.2.:Increasing the level of knowledge, understanding and application of the integrity standards by the employees and the beneficiaries of public services 0 0 0 0

Program 4.2 IT systems in the labour and social justice sector 9.700 23.000 40.250 25.300

Measure 4.2.1.1.:Maintenance of the current IT infrastructure 0 0 0 0

Measure 4.2.1.2.: 9.700 0 0 0

89


Improvement of the correlation mechanisms for the business processes with the development of the IT systems

Measure 4.2.1.3.:Improvement of the services provision with the help of ICT technology, and development/modernization of payment systems 0 23.000 23.000 11.500

Measure 4.2.2.1.:Elaboration and approval of the Strategy regarding the Information and Communication Technology within the MMJS, updated according to the Governing Program and the ISP 0 0 0 0

Measure 4.2.2.2.:Implementation of a document management system 0 0 5.750 2.300

Measure 4.2.2.3.:Digitization of processes, procedures and services at institutional level and insuring of their interoperability 0 0 11.500 11.500

90

Annex 2: Institutional Strategic Plan (summary table)

Unit Reference value (2016) Target 2019

Target 2020

Objective 1: Increasing the employment rate of people aged 20-64, on an inclusive labor market, that would support competitive economic growth and lead to a reduction of in-work poverty and informal labor

Impact indicator 1: Employment rate for persons aged 20 to 64 % of population aged 20 to 64 66.30% 68.80% 70%

Impact indicator 2: In-work at risk of poverty rate % of employed population aged over 18, poverty threshold = 60 % of the national median equivalized disposable income (after social transfers)

18.90% 17.04% 16.59%

Program 1.1.: Real opportunities for youth NEETs

Objective 1.1.1.: Reducing and preventing of unemployment among the young NEETs Result indicator: The share of young people under the age of 25 who take up employment, attend training courses, conclude an apprenticeship contract at the workplace or conclude an internship contract.

% of overall youth under 25 registered with ANOFM (National Employment Agency)

61.40% 73% 75%

Program 1.2.: Employment for all

Objective 1.2.1.: Increasing the employment rate of registered jobseekers and prevention of unemploymentResult indicator: Share of filled vacancies % of vacancies declared 79.2% 75% 75%

91

by the employers at the ANOFM

Result indicator: Share of registered jobseekers who take up employment

% of jobseekers registered at the ANOFM 33.15% 38% 40%

Objective 1.2.2.: Facilitating the transition from school to workResult indicator: Share of registered jobseekers that conclude an apprenticeship contract

% of the jobseekers registered at ANOFM 0.02% 0.02% 0.02%

Result indicator: Share of higher education graduates that conclude an internship contract

% of tertiary education graduates registered as jobseekers at the ANOFM in the reference year

1.50% 1.50% 1.50%

Objective 1.2.3.: Improving the skills of persons registered at the ANOFM through professional trainingResult indicator: Share of the persons who take-up employment after no more than 6 months from graduating from a professional training course

% of people graduating professional training programs organized by the ANOFM

34.99% 34% 35%

Result indicator: Share of the persons who take up employment no more than 12 months after graduating from a professional training course

% of people graduating professional training programs organized by the ANOFM

47.42% 45% 50%

Objective 1.2.4: Stimulating labor demandResult indicator: Share of the persons who take-up employment after no more than 6 months from graduating from a professional training course

% of people graduating professional training programs organized by

8.80% 13% 15%

92

the ANOFM

Program 1.3. Passive labor market measures

Objective 1.3.1.: Ensuring the protection of people in the unemployment insurance systemResult indicator: Share of unemployed receiving the unemployment benefit in the total number of unemployed

% of the total number of the unemployed (averge stock)

20% 20% 20%

Program 1.4.: Working conditions

Objective 1.4.1.: Reducing the in-work at risk of poverty rate and the asymmetry of the wage curve

Result indicator: Ratio between gross minimum wage and gross average wage % 48.90% 42% 40%

Objective 1.4.2.: Improving the level of safety and security at work and insuring the legal framework for provision of products subject to MMJS approval, according to the essential safety requirements

Result indicator: Fatal accidents at work as share of total accidents at work % 3.6% 2.20% 1.75%

Objective 1.4.3: Insuring employers’ full compliance with the legislation in the field of labor relations, safety and security at work and fight against discrimination

Result indicator: Verification of employers’ compliance level

Number of petitions/1000 employees

14.15% 14.15% 14.15%

Program 1.5.: Insurance for work accidents and occupational diseases

Objective 1.5.1.: Focusing the occupational accidents and occupational diseases schemes towards better support for the beneficiariesResult indicator: Diversification of benefits Share of benefits granted

per 100 employees 3.50% 4% 4.50%

93

Objective 1.5.2. Harmonizing the national legislation with the European Regulations as requested by the Electronic Exchange of Social Security Information (EESSI)

Result indicator: Level of employers ‘conformity with the requirements of the EU regulation

Share of mon-conforming cases in total requests %

30.00% 25% 20.00%

Objective.1.5.3. Incentives to employers to place prevention measuresResult indicator: Higher security and safety at work Share of implemented

measures in total recommended %

25.00% 30% 35.00%

Objective 2: An adequate and sustainable pension systemImpact indicator 1: Average replacement rate total/public scheme

% of the last gross wage35.6%/35.6% (2013) 36.5/36.5% 36.6/36.7%

Program 2.1.: Adequacy and equity

Objective 2.1.1.: A decent life for pensionersResult indicator: Material deprivation rate among pensioners

% of retired people aged 65 and over 21.30% 18.60% 16%

Objective 2.1.2.: Complying with the principles of equity

Result indicator: Gender gap in average replacement rate % 8% (2015) 6% 5%

Program 2.2.: Management of the pension system

Objective 2.2.1.: A stable and efficient system for the citizens

Result indicator: Coverage of net payments through contributions % 71% 78% 78%

94

Objective 3: Reducing the number of people at risk of poverty and social exclusion in the context of creating a network of social services integrated, complex and well coordinated

Impact indicator 1.: Relative at risk of poverty gap % of population, poverty threshold = 60 % of the national median equivalized disposable income (after social transfers)

25.4% (2015) 22.92% 22.30%

Impact indicator 2: At risk of poverty rate among children % of population aged 16 or below, poverty threshold = 60 % of the national median equivalized disposable income (after social transfers)

37.20% 35% 33%

Program 3.1.: Child protection

Objective 3.1.1.: Improving children’s access to quality social services

Result indicator: Coverage of social services for children (aged 0-17 years)

% of population aged 18 and below 1.20% 1.40% 1.50%

Objective 3.1.2.: Observing the rights and promoting the social inclusion of children in vulnerable situations

Result indicator: Share of beneficiaries placed in classical (old type) residential centers

% of population aged 18 and below

0.085% 0.060% 0.047%

Program 3.2. Protection and social inspection

Objective 3.2.1.: Unique data management system for payment of social benefits and for management of programs financed through the state budget

95

Result indicator: Share of benefits payments verified electronically in total number of payments % 55% 75% 90%

Objective 3.2.2.: Reducing error and fraud in the social assistance system by rigorous inspection and verification of application of legal measures concerning granting of social benefits and provision of the social services

Result indicator: Share of fraudulent/erroneous social benefits payments in total social benefits payments % 10% 7% 4.0%

Program 3.3. Social services

Objective 3.3.1.: Strengthening the national system of social assistance in view of insuring the access of all disadvantaged groups to quality social services, with a focus to developing the capacity of SPASs to provide the minimum package of integrated services at the level of each administrative territorial unit

Result indicator: Share of accredited public providers of social services in total public providers under the local authorities

% 33.70% 50% 70%

Objective 3.3.2. Increasing the access of the elderly to dedicated social services

Result indicator: Coverage of social services for elderly (aged over 65 years)

% of people aged 65 and over, without serious health issues of in incapacity of independent living having access to day-care centers dedicated to the elderly

1.9 (2015) 2.5 3

Program 3.4.: Disability rights

Objective 3.4.1: Promoting accessibility in all areas of life to ensure that persons with disabilities enjoy the fundamental human rights and freedoms; eliminating discrimination

96

Result indicator: Employees of public institutions trained/informed on the need to ensure the accessibility of the physical, informational, and communicational environment

% 0% 0% 30%

Objective 3.4.2: Gradual deinstitutionalization of people with disabilities placed in classical residential centers in stages, simultaneously with the development of community services

Result indicator: Deinstitutionalization of adults with disabilities and their transfer to shelter houses financed through POR - % of the total target (516 persons until 2023)

% 0% (program nou) 15% 35%

Program 3.5.: Gender equality and fight against domestic violence

Objective 3.5.1.: Reducing and preventing the cases of discrimination, harassment, and violence

Result indicator: Share of population aware of the existence of legal framework and the sanctions applicable in cases of discrimination, harassment, and violence

% 78% 83% 85%

Objective 4: Strengthening the capacity of the Ministry of Labor and Social Justice (MMJS) to fulfil its functions for the elaboration and the implementation of the public and regulatory policies in its field of activity

Impact indicator 1: Degree of compliance with the state budget: The difference between the planned budget on January 1 and the definitive rectified budget on December 31

Impact indicator 1: Degree of compliance with the state budget: The difference between the planned budget on January 1 and the definitive rectified budget on December 31

92% 95 98%

97

Impact indicator 2: Degree of compliance with the state budget: The difference between the planned budget on January 1 and the budget’s execution on December 31

Impact indicator 2: Degree of compliance with the state budget: The difference between the planned budget on January 1 and the budget’s execution on December 31

94% 96 100%

Program 4.1: Strengthening the administrative capacity of the institutions in the labour and social justice sector

Objective 4.1.1: Improving the functional stability of MMJS and of institutions in its coordination, insuring a performant management of the public funds by applying standards of internal/managerial control

Result indicator: Number of annual changes in institutional structure

Number 3 2 1

Result indicator: Number of conforming standards Number 15 16 16

Objective 4.1.2: Increasing the efficiency and transparency of the processes of elaboration, evaluation and implementation of quality public policies based on impact studies

Result indicator: Share of public policies/legal documents based on impact studies in total public policies / legal documents issued by MMJS

% 10% 15% 20%

Objective 4.1.3: Increasing the professional quality of the human resources in the labour and social justice sector, of the degree of knowledge, understanding and application of the integrity standards

Result indicator: Share of MMJS employees graduating from training programs in the Ministry priority domains or number of training days per civil servant

% NA42 80% 85%

Result indicator: Result indicator: Number of integrity Number 8 5 2

42 For this indicator, data collection begins with the strategic planning process and consequently there is no history of it, and therefore no benchmark for 2016

98

incidents

Program 4.2.: IT systems in the labour and social justice sector

Objective 4.2.1.: Improving the functioning of the IT systems in the labour and social justice sectorResult indicator: Share of digitized procedures and services at institutional level

% 0% 10% 15%

Objective 4.2.2.: Development of the MMJS hub at national levelResult indicator: Level of IT integration % 0 10 15%

99

Annex 3: Programs and connected Measures, Output Indicators (summary table)

Budgetary Program & Measure Output indicator & Unit Reference value

Target 2017

Target 2018

Target 2019

Target 2020

Program 1.1.: Real opportunities for youth

Specific Objective1.1.1.: Reducing and preventing of unemployment among the young NEETs

Measure 1.1.1.1.:Identification and registration of young NEETs in the integrated database of ANOFM (National Employment Agency)

Number of NEETs registered in the ANOFM database 52256

20000 people (project indicator

POCU AP2, PI 8ii,

OS 2.3.)

60000 people (project indicator

POCU AP2, PI 8ii,

OS 2.3.)

60000 20000

Measure 1.1.1.2.: Information and career counselling services

Number of young people aged below 25, who, in the first 4 months after the registration, benefited from information and career counselling services

86794 146000 146000 146000 146000

Measure 1.1.1.3.:Labor matching services

Number of young people aged below 25, who, in the first 4 months after the registration, benefited from labor matching services

146000 146000 146000 146000 146000

Measure 1.1.1.4.:Assistance and consultancy services for a business start-up or for starting a self-employed professional activity

Number of young people aged below 25, who, in the first 4 months after the registration, launched a business start-up or started a self-employed professional activity

148 600 600 600 600

100

Measure 1.1.1.5.: Professional training courses

Number of young people aged below 25, who, in the first 4 months after the registration, attended professional training courses

6957 11500 11500 11500 11500

Measure 1.1.1.6.:Evaluation and certification of professional skills acquired through non-formal and informal learning

Number of young people aged below 25, who, in the first 4 months after the registration, benefited from evaluation and certification of professional skills acquired through non-formal and informal learning

16 80 80 80 80

Measure 1.1.1.7.:Apprenticeship vocational training schemes

Number of apprenticeship contracts signed by young people aged below 25 in the first 4 months after the registration

31 214 214 214 214

Measure 1.1.1.8.:Internship programs for higher-education graduates

Number of internship contracts signed by young people aged below 25 in the first 4 months after the registration

46 270 270 270 270

Measure 1.1.1.9.:Mobility support schemes (commuting and resettlement grants)

Number of young people aged below 25, who, in the first 4 months after the registration, benefited from (a) commuting grants and (b) resettlement grants

52 (a)134 (b)

115 (a)220 (b)

115 (a)220 (b)

115 (a)220(b)

115 (a)220 (b)

Measure 1.1.1.10.:Mobility support schemes (relocation grants)

Number of young people aged below 25, who, in the first 4 months after the registration, benefited from relocation grants

0 130 130 130 130

Measure 1.1.1.11.: Activation grants

Number of young people aged below 25, who, in the first 4 months after the registration, benefited from activation grants

0 40000 35000 30000 25000

101

Measure 1.1.1.12.:Subsidies to employers for hiring graduates and young NEETs

Number of young people aged below 25, who, in the first 4 months after the registration, got a subsidized job

4451

5.305 young

graduates + 1.000 young NEETs

5.305 young

graduates + 700 young NEETs

5.305 young

graduates +500

young NEETs

5.305 young

graduates + 300 young NEETs

Measure 1.1.1.13.:Personalized social accompaniment

Number of young people aged below 25, who, in the first 4 months after the registration, benefited from personalized social accompaniment

297 600 600 600 600

Program 1.2.: Employment for all

Specific Objective 1.2.1.: Increasing the employment rate of registered jobseekers and prevention of unemployment

Measure 1.2.1.1.:Information and career counselling services;

Number of people benefiting from professional information and counseling

385291 379600 350000 350000 350000

Measure 1.2.1.2.:Labor matching services;

Number of people employed through labor matching services 254956 280577 280000 270000 250000

Measure 1.2.1.3.:Assistance and consultancy services for a business start-up or for starting a self-employed professional activity;

Number of people who launched a business start-up or started a self-employed professional activity

100 170 160 150 150

Measure 1.2.1.4.:Partial unemployment benefits payed to the unemployed who take up employment prior to the expiration of the legal period for receiving unemployment benefit

Number of people who take up employment before the expiry of the legal period for receiving unemployment benefits and receive partial unemployment benefits

16973 13915 13091 12727 11818

Measure 1.2.1.5.: Number of people benefiting from 411 1676 1700 1700 1700

102

Mobility support schemes (commuting grants) commuting grants

Measure 1.2.1.6.:Mobility support schemes (resettlement grants)

Number of people benefiting from resettlement grants 695 873 900 900 900

Measure 1.2.1.7.:Mobility support schemes (relocation grants)

Number of people benefiting from relocation grant 0 586 600 600 600

Measure 1.2.1.8.:Employment grants for graduates

Number of graduates benefiting from employment grants 2544 3180 3000 3000 3000

Measure 1.2.1.9.:Activation grants for the unemployed who do not collect unemployment benefits

Number of unemployed people who do not collect unemployment benefits receiving activation grants

0 14280 14500 14500 14500

Measure 1.2.1.10.:Bonuses for graduates that register to ANOFM

Number of graduates benefiting of registration bonuses 10098 12074 14049 16025 18000

Measure 1.2.1.11.:Personalized social accompaniment

Number of young people at risk of social marginalization who concluded solidarity contracts

425 718 700 700 700

Specific Objective1.2.2.: Facilitating the transition from school to work

Measure 1.2.2.1.:Internship schemes for higher-education graduates

Number of internship contracts concluded by higher-education graduates

55 372 300 300 300

Measure 1.2.2.2.:Temporary jobs scheme for pupils and students during the holidays

Number of pupils and students employed during holidays 2527 1872 2000 2000 2000

Measure 1.2.2.3.:Apprenticeship vocational training schemes

Number of people who concluded apprenticeship contracts 167 379 250 250 250

103

Specific Objective 1.2.3.: Improving the skills of persons registered at the ANOFM through professional training

Measure 1.2.3.1.:Professional training courses

Number of people attending free training courses offered by ANOFM 26837 39241 35000 35000 35000

Measure 1.2.3.2.:Evaluation and certification of professional skills acquired through non-formal and informal learning

Number of people benefiting from services of evaluation and certification of professional skills acquired through non-formal and informal learning

131 322 200 200 200

Specific Objective 1.2.4.: Stimulating labor demand

Measure 1.2.4.1.:Subsidies to employers who benefit from contracts for providing public interest community works or social services

Number of people temporarily employed in public-interest community works

0 5955 5000 5000 5000

Measure 1.2.4.2.:Subsidies to employers who hire graduates

Number of graduates employed with the subsidies 4898 6380 6000 6000 6000

Measure 1.2.4.3.:Subsidies to employers who hire graduates with disabilities

Number of disabled graduates employed 7 10 10 10 10

Measure 1.2.4.4.:Subsidies to employers who hire unemployed aged 45 or more

Number of unemployed people aged above 45 who have been employed 17744 15125 15500 15500 15500

Measure 1.2.4.5.:Subsidies to employers who hire persons from single-parent families

Number of unemployed persons from single parent families who take up employment

218 615 400 400 400

Measure 1.2.4.6.: Number of long-term unemployed persons who take up employment

0 1550 400 400 400

104

Subsidies to employers who hire long-term unemployed

Measure 1.2.4.7.:Subsidies to employers who hire young NEETs

Number of young NEETs who get a subsidized job 0 3750 3500 3500 3500

Measure 1.2.4.8.:Subsidies to employers who hire people with disabilities

Number of disabled people who get a subsidized job 141 225 150 150 150

Measure 1.2.4.9.:Subsidies to employers who hire people with less than 5 years to the retirement

Number of unemployed people with 5 years before retirement who get a subsidized job

300 315 300 300 300

Measure 1.2.4.10.:Subsidies to employers who hire young persons at risk of marginalisation

Number of young people at risk of social marginalization, employed by insertion employers

297 583 300 300 300

Program 1.3.: Measures passive

Specific Objective 1.3.1 Ensuring the protection of people in the unemployment insurance system

Measure 1.3.1.1.:Unemployment benefits, social security contributions and health insurance contributions for the recipients of unemployment benefits

Number of people collecting unemployment benefits (average annual stock)

83698 80000 72000 70000 65000

Measure 1.3.1.2.:Redundancy payments

Number of people who collect redundancy payments 11047 6000 2000 2000 2000

Program 1.4.: Working conditions

Specific Objective 1.4.1.: Reducing the in-work at risk of poverty rate and the asymmetry of the wage curve

Measure 1.4.1.1.: Minimum wage level 1250 1450 1550 1650 1750

105

Decent and motivating wages

Measure 1.4.1.2.:Implementation of a unitary wage system for the public-sector employees

RON 2923 3928 4713 5091 5091

Specific Objective 1.4.2.: Improving the level of safety and security at work and insuring the legal framework for provision of products subject to MMJS approval, according to the essential safety requirements

Measure 1.4.2.1.:Achieving the health and security at work objectives from the MMJS Sectoral R&D Framework Program

Number of implemented projects 3 3 3 3 3

Measure 1.4.2.2.:Ensuring the legal and organizational framework for supporting Romanian manufacturers of machinery, equipment and protection systems for use in environments with risks of explosion, individual protection equipment, explosives for civil use and pyrotechnic articles, in order to introduce these products on the EU single market

Number of standards 35 35 35 35 35

Specific Objective 1.4.3: Insuring employers’ full compliance with the legislation in the field of labor relations, safety and security at work and fight against discrimination

Measure 1.4.3.1.:Strengthen measures to prevent and reduce the undeclared work (annual plan of measures)

Number of national campaigns for identifying and fighting undeclared work

10 11 11 11 11

Measure 1.4.3.2.:Fight against gender discrimination, harassment, and sexual harassment on the labour market

Number of inspections carried out 23429 23429 23429 23429 23429

Number of measures disposed to remedy nonconformities 852 852 852 852 852

106

Measure 1.4.3.3.:Increasing the safety of the workplace

Number of awareness sessions 433 443 453 463 473

Number of economic inspections carried out 58100 63910 70301 77331 85064

Measure 1.4.3.4.:Increased control on the establishment and provision of statutory rights to employees as derived from labour legislation, relevant collective contract, and individual labour contracts

Number of inspections carried out 76690 80525 80525 80525 80525

Number of thematic inspections 5 5 5 5 5

Number of measures disposed to remedy nonconformities 5 5 5 5 5

Measure 1.4.3.5.:Rising awareness of the socio-economic environment regarding compliance with the legislation in force and ensuring working conditions

Number of awareness actions addressed to workers and to their representatives

594 608 622 636 650

Number of awareness actions addressed to economic agents 1006 1031 1056 1081 1106

Number of specific training courses for the labor inspectors 134 143 152 161 170

Program 1.5.: Insurance for work accidents and occupational diseases

Specific Objective 1.5.1.: Focusing the occupational accidents and occupational diseases schemes towards better support for the beneficiaries

Measure 1.5.1.1.:Higher accessibility for the beneficiaries

Use of computer applications 215000.00 219000 225000 235000 250000

Measure 1.5.1.2.:Simplification and higher efficiency of the system for beneficiaries

Number of visits 0.60 60% 100% 100% 100%

Measure 1.5.1.3.:Improving benefits to families of occupational accidents and occupational diseases victims

Percentage of reimbursement 0.30 30% 40% 50% 60%

107

Specific Objective 1.5.2.: Harmonizing the national legislation with the European Regulations as requested by the Electronic Exchange of Social Security Information (EESSI)

Measure 1.5.2.1.:Ensuring the flow of European documents without disruptions

Number of operations carried out 230000.00 240000 250000 300000 500000

Measure 1.5.2.2.:Reducing the response times of competent institutions according to the requirements of European regulations

Average work time for one file (days) 60.00 60 60 45 30

Specific Objective 1.5.3.: Incentives to employers to place prevention measures

Measure 1.5.3.1.:Diversification of annual prevention programs structured on EC Directives / national legislation

Performance indicators 3.37 3.38 3.40 3.42 3.44

Measure 1.5.3.2.:Focus of the preventive activities towards the SMEs

Average score/country 118000.00 120000 125000 130000 135000

Measure 1.5.3.3.:Progressive development of information / communication campaigns addressed to the business environment

Number of recommended measures 155/1810 157/1829 160/1850 185/1900 200/2000

Program 2.1.: Adequacy and equity

Specific Objective 2.1.1.: A decent life for pensioners

Measure 2.1.1.1.:Increase of average gross pension

Average gross public pension (including farmers)), RON 885 938 1069 1131 1189

Value of the pension point, RON 917.5/1000 1000.00 1100.00 1265.00 1400/1775

108

Measure 2.1.1.2.:Increase of minimum social allowance for the pensioners

Value of the minimum social allowance for the pensioners, RON 400 520 640 640 640

Measure 2.1.1.3.:Incentives to the development of the private pension system

Number of contributors to Pillar II 3972800 4371400 4770000 4884500 4999000

Number of contributors to Pillar III 399200 381100 363000 372000 381000

Specific Objective 2.1.2.: Complying with the principles of equity

Measure 2.1.2.1.:Harmonisation of requirements and proper application of legal requirements for reducing the level of inequality and inconsistency in the pension system

Women’s retirement age with minimum no. of years of retirement contributions, years

60.20 60.90 61.60 62.30 63.00

Program 2.2.: Management of the pension system

Specific Objective 2.2.1.: A stable and efficient system for the citizens

Measure 2.2.1.1.:Legal stability and coherence for a period of a minimum 5 years

Number of normative acts modified so as to ensure the unification and simplification of legislation

20 20 20 15 15

Measure 2.2.1.2.:Pensions and associated benefits

Number of pensioners of the public pensions system 5341300 5258000 5224000 5192000 5159000

Program 3.1.: Child protection

Specific Objective 3.1.1.: Improving children’s access to quality social services

Measure 3.1.1.1.:Establishment of at least one day-care service for each administrative-territorial unit

Number of day-care services designed to prevent the separation of children from their families

1096 1100 1500 1700 3200

109

Measure 3.1.1.2.:Extension of the area in which the minimum services package is provided

Number of communities in which the minimum service package is provided 45 45 50 100 165

Measure 3.1.1.3.:Higher quality of the social services targeting children

Basic quality standards elaborated and disseminated in all the territorial-administrative units

5 5 5 5 5

Specific Objective 3.1.2.: Observing the rights and promoting the social inclusion of children in vulnerable situations

Measure 3.1.2.1.:Closing down the placement institutions from the child protection system operating in the structure established during 1997, and 2000 (classic placement centers), and providing the service through family-type foster houses and apartments

Number of classical placement units 73 73 48 23 23

Measure 3.1.2.2.:Establishment of 8 regional centers specialized on assisting children with behavioral issues

Number of specialized regional centers established 0 0 2 8 -

Measure 3.1.2.3.:Establishment of the Children’s Ombudsman

Number of established institutions 0 1 - - -

Program 3.2.: Protection and social inspection

Specific Objective 3.2.1.: Unique data management system for payment of social benefits and for management of programs financed through the state budget

Measure 3.2.1.1.:Benefits granted as support for low-income families (social aid/ heating utilities

Number social aid benefits paid 244814 246000 250000 0 0

Number of heating utilities subsidies paid

569581 598000 285000 0 0

110

subsidies/family support allowance)Number of family support allowance paid 273337 275000 275000 0 0

Measure 3.2.1.2.:Benefits granted according to family support policies (child allowance/ child rearing benefit/maternity allowance/back-to-work bonus)

Number of child allowances paid 3662793 3648600 3655760 3655760 3675760

Number of child rearing benefit paid 40735 41000 41000 41000 41000

Number of maternity allowances and back-to-work bonuses paid

141153/41334

157.840/70.000

160.000/75.000

165.000/80.000

170.000/85.000

Measure 3.2.1.3.:Disability benefits:1. Disability rights granted according to the Law 448/2006:a. Monthly complementary personal budget for persons with severe, major or average disability;b. Monthly indemnity for adults with severe or major disabilityc. Allowance for the caregiver of the visually impaired, with major disabilityd. Monthly food allowance for children with HIV/AIDS2. Monthly food allowance for HIV/AIDS patients granted according to the Law 584/2002.

Number of beneficiaries, 1408782 1428707 1428707 1428707 1428707

1, from which: 1398897 1418657 1418657 1418657 1418657

a) 739794 750622 750622 750622 750622

b) 617393 625855 625855 625855 625855

c) 41529 42000 42000 42000 42000

d) 181 180 180 180 180

2 9885 10050 10050 10050 10050

Measure 3.2.1.4.:Increased share of social benefits paid through the Minimum Social Insertion Income (VMI)

Number of beneficiaries of Minimum Social Insertion Income (VMI) who receive revenues following taking up employment

0.00 0.00 1000.00 1500.00 2000.00

Measure 3.2.1.5.:Ex-ante verification of benefits for low-income

Percentage of ex-ante verification during the period between granting the rights and making the payment

0% 20% 50% 70% 95-98%

111

families, to reduce the number of non-eligible applications (social aid/ heating utilities subsidies/family allowance)

to the beneficiaries, %

Value of payments verified ex-ante as share of total value of payments, %

0% 25% 60% 80% 95-98%

Measure 3.2.1.6.:Ex-ante verification of benefits granted according to family support policies, to reduce the number of non-eligible applications (child allowance/ child rearing benefit/ maternity allowance/ back-to-work bonus)

Percentage of ex-ante verification during the period between granting the rights and making the payment to the beneficiaries %

0% 20% 50% 70% 95-98%

Value of payments verified ex-ante as share of total value of payments%

0% 25% 60% 80% 95-98%

Measure 3.2.1.7.:Increased share of people granted a disability benefit according to the Law 448/2006 paid through ANPIS (at least 90% of disability benefits are paid through ANPIS, according to art. IV of the draft Law no. 448/ 2006 (art. 57, par. (2))

% 0% 0% 0% 100% 100%

Measure 3.2.1.8.:Granting social benefits and access to social services through the new Social Assistance Data Management System (DIAMANT)

Share of social benefits granted through IT system, % 80% 80% 90% 95% 100%

Specific Objective 3.2.2.: Reducing error and fraud in the social assistance system by rigorous inspection and verification of application of legal measures concerning granting of social benefits and provision of the social services

Measure 3.2.2.1.:Strengthening the efficiency of the social inspection, by diversification of verification techniques (risk profiling, databases crosscheck, widening of the sample, better sampling etc.),

Number of social inspectors verifying granting and payment of social assistance benefits

100 100 125 150 200

Share of non-eligible beneficiaries in the total number of beneficiaries

10% 8% 6% 5% 3.5%

112

targeting beneficiaries of social aid, heating utilities subsidies, child allowance, child rearing Measure 3.2.2.2.:Efficient social inspection activity – unannounced inspections

Ratio between the no. of notifications and the no. of verifications, %

100% 100% 100% 100% 100%

Measure 3.2.2.3.:Strengthening the efficiency of the social inspection by verifications of the way in which public and private providers of social services comply with the minimum quality standards

Number of social inspectors carrying out verifications related to social services

100 150 200 250 300

Ratio between the no. of verified social services that comply with the minimum quality standards and the total no. of social services, %

28% 40% 50% 75% 90%

Measure 3.2.2.4.:Strengthening the efficiency of the social inspection by evaluation of social services against the minimum quality standards, for their licensing

Ratio between the no. of licensed social services that comply with minimum quality standards and the total no. of social services, %

40% 45% 50% 75% 90%

Measure 3.2.2.5.:Strengthening the efficiency of the social inspection by verifications of the way in which public institutions ensure unrestricted access of disabled people

Ratio between the no. of public institutions/ economic agents that ensure unrestricted access of disabled people and the total no. of public institutions/economic agents, %

20% 25% 30% 40% 60%

Program 3.3.: Social services

Specific Objective 3.3.1.: Strengthening the national system of social assistance in view of insuring the access of all disadvantaged groups to quality social services, with a focus to developing the capacity of SPASs to provide the minimum package of integrated services at the level of each administrative territorial unit

113

Measure 3.3.1.1.:Ensuring, maintaining, and improving the quality of the social services

Number of public social services licensed 1636 1800 1963 2127 2290

Measure 3.3.1.2.:Improving the legal framework for services of identification and intervention at the level of local communities, given the drafted Regulatory Framework for social assistance services at village level and the revised Regulatory Framework at town, city and county level

% of administrative territorial units having drafted and adopted Regulations of organization and functioning of public social assistance services

NA43 25% 25% 25% 25%

Measure 3.3.1.3.:Elaboration/revision of the cost and quality standards in the social services field

Number of elaborated/ reviewed standards 2+10 3 1 1 2

Measure 3.3.1.4.:Development and implementation of a national program dedicated to the professional training of the staff in the field of social assistance and to hiring at least one social assistant for each administrative territorial unit

Number of personnel working in the field of social assistance trained 0 0 136 480 3181

Number of social assistants integrated in the system 0 0 74 129 1000

Measure 3.3.1.5.:Strengthening the capacity of the public social assistance services to provide social services by elaboration of instruments and methodological tools

Number of instruments, instructions and methodologies drafted / reviewed and disseminated

1 2 7 1 1

43 For this indicator data collection starts with the ISP

114

Measure 3.3.1.6.:Development of a national system of social inclusion

National indicators system put in place, number 1 0 1 0 0

Specific Objective 3.3.2.: Increasing the access of the elderly to dedicated social services

Measure 3.2.2.1.:Elaboration/revision of the legislation regarding social assistance for elderly

Basic cost standards elaborated, number 1 0 1 0 0

Measure 3.2.2.2.:Elaboration of the cost standards for public retirement homes according to the occupants’ level of dependence

Number of private providers of social services dedicated to elderly people benefiting from state budget subsidies

0 3 0 0 0

Measure 3.2.2.3.:Supporting the public-private partnership. Development of the mixed social services market

Number of private providers of social services dedicated to elderly people benefiting from state budget subsidies

138 129 133 133 133

Program 3.4.: Disability rights

Specific Objective 3.4.1: Promoting accessibility in all areas of life to ensure that persons with disabilities enjoy the fundamental human rights and freedoms; eliminating discrimination

Measure 3.4.1.1.: Number of training programs in the field of accessibility

0 1.00 1.00 1.00 3.00

115

Introducing notions of accessibility and “universal design” into initial and continuous training programs for civil servants and professionals in the fields of: design and realization of the physical environment, access to the public transport system, communication, information and communication technologies and systems

Number of trained representatives of the local authorities 0 0.00 500.00 675.00 1175.00

Measure 3.4.1.2.:Rising awareness on the role of accessibility, including at the community level

Number of information campaigns 0 1 1 1 3

Measure 3.4.1.3.:Professional training and informative workshops for the staff who interacts or is involved in the assistance and protection of people with disabilities, including from the NGOs

Number of trained staff 0 0 0 360 360

Specific Objective 3.4.2.: Gradual deinstitutionalization of people with disabilities placed in classical residential centers in stages, simultaneously with the development of community services

Measure 3.4.2.1.:Identification of locations in the communities appropriate for the development of the modern social support infrastructure; elaboration of the

Classic institutions reformed 11.00 11.00 0.00 0.00 11 (prin POR)

Number of beneficiaries institutionalized in classic institutions

1911 1911.00 1911.00 1833.60 1730.40

116

restructuring plan for the classical institution Measure 3.4.2.2.:Placement of people whose degree of disability allows them to life independently, have a social life and be employable to alternative family-type homes (sheltered houses)

Number of people institutionalized 17176 17176 17158.00 17128.0017128

(15111 la 2023)

Number of sheltered houses 115 0.00 3.00 5.0043 (PG) (72 POR until

2023)

Measure 3.4.2.3.:Prevention of institutionalization and support of deinstitutionalization by setting up and/or diversifying the structures providing social services

Number of respite / crisis centers established 5 0.00 2.00 6.00 13

Number of day-care centers established 60 0.00 1.00 2.00

150 (PG) (24 POR

until 2023)

Measure 3.4.2.4.:Establishing and monitoring of mobile teams for community intervention for people with disabilities

Number of mobile teams 1 0.00 0.00 8.00 9

Measure 3.4.2.5.:Grants to NGOs according to the art. 99/Law 448/2006

Number of services newly established and accredited 0 0.00 0.00 7.00 7.00

117

Program 3.5.: Gender equality and fight against domestic violence

Specific Objective 3.5.1.: Reducing and preventing the cases of discrimination, harassment, and violence

Measure 3.5.1.1.:Informing and rising awareness among pupils on gender discrimination

Number of campaigns 1 2 2 2 2

Number of participating high school students 1500 3000 3000 3000 3000

Measure 3.5.1.2.:Informing and rising awareness among public sector employees on gender discrimination


Number of participants 300 300 300 300 300

Measure 3.5.1.3.:Informing and rising awareness among general population on gender discrimination


Measure 3.5.1.4.:Financial support for training of employees from state institutions, and from public or private organizations on equal treatment between men and women

Number of training programs 1 2 2 3 3


Measure 3.5.1.5.:Events for rising awareness on the benefits of gender budgeting and on the fiscal facilities for the companies that provide day-care services to

Number of training programs 0 1 2 2 2


118

their employeesMeasure 3.5.1.6.:Informing and rising awareness among general population on domestic violence and its serious consequences


Measure 3.5.1.7.:Informing and rising awareness among general population on legal framework protecting the victims of domestic violence


Measure 3.5.1.8.:Organising events to mark the International Day against Domestic Violence

Number de participants1

(ref.2015) 1 1 1 1

Measure 3.5.1.9.:Informing and rising awareness among pupils on gender discrimination



Measure 3.5.1.10.:Development of an integrated network of services dedicated to the victims and aggressors

Number of shelters for victims 61 61 70 85 100

Number of shelters for aggressors 33 33 40 45 50

Establishment of a call-center for information and counseling dedicated to victims

2 2 5 8 12

Measure 3.5.1.11.:Continuous training of experts: policemen, courts staff, employees of DGASPS/SPAS, probation officers, career counsellors, medical staff, teaching staff, social assistants, in the field of fighting domestic violence

Number of participants3.978 pers. (ref.2015) 100 300 350 350

119

Program 4.1.: Strengthening the administrative capacity of the institutions in the labour and social justice sector

Specific Objective 4.1.1.: Improving the functional stability of MMJS and of institutions in its coordination, insuring a performant management of the public funds by applying standards of internal/managerial control

Measure 4.1.1.1.:Revision of the organizational responsibilities and of the related procedures in order to allow an improved strategy formulation and an easy implementation of the ISP

Number of procedures updated in total procedures valid annually 80 90 95 100

Measure 4.1.1.2.:Efficient provision of licensing and accreditation activities specific to the labour and social justice sector

Annual number of licenses and accreditations per sector, relative to the number of conforming requests sent.

100 100 100 100

Measure 4.1.1.3.:Ensuring a performing management at the level of the MMJS, in accordance with the existing objectives and with the legal regulations, in order to ensure that public funds are managed economically, efficiently and effectively by applying the internal/managerial control system standards

Number of complying standards at the level of MMJS 15 16 16 16

120

Specific Objective 4.1.2.: Increasing the efficiency and transparency of the processes of elaboration, evaluation and implementation of quality public policies based on impact studies

Measure 4.1.2.1.:Strengthening of policy making capacity, planning, and management services in all relevant sectors, fully integrating all social innovation initiatives.

Share of legal initiative and other document elaborated based on impact studies

10 15 20 30

Measure 4.1.2.2.:Strengthening of monitoring and evaluation systems

Number of functional monitoring systems 1 2 2 3

Measure 4.1.2.3.:Consultation with beneficiaries and stakeholders involved in the labour and social justice sector, for the formulation and publication of public policies

Number of consultation with beneficiaries and stakeholders carried out annually

70 80 85 90

Measure 4.1.2.4.:Transparency in the decision-making process and the formulation of public policies and legal framework

Degree of acceptance and use of the recommendations made by the civil society regarding the legal initiatives submitted to public consultations (%)

20 30 35 40 45

Share of public information requests answered 100 100 100 100 100

121

Specific Objective 4.1.3.: Increasing the professional quality of the human resources in the labour and social justice sector, of the degree of knowledge, understanding and application of the integrity standards

Measure 4.1.3.1.:Human resources management and adaptation to the needs of the organization

Staff turnover at organisation level 35% 30% 28% 25% 24%

Measure 4.1.3.2.:Increasing the level of knowledge, understanding and application of the integrity standards by the employees and the beneficiaries of public services

Personnel accredited following training and specialization programs in the total no. of specialized personnel, %

NA44 10% 20% 25% 30%

Number of participants to programs 8 7 6 5 3

Number of identified risks and vulnerabilities to corruption 36 30 25 20 15

Program 4.2.: IT systems in the labour and social justice sector

Specific Objective 4.2.1.: Improving the functioning of the IT systems in the labour and social justice sector

Measure 4.2.1.1.:Maintenance of the current IT infrastructure

Number of IT systems performing at nominal capacity in the total no. of IT systems

NA45 10% 30% 60% 100%

Measure 4.2.1.2.:Improvement of the correlation mechanisms for the business processes with the development of

Number of independent assessments of the operational risks

NA46 50 40 30 20

44 For this indicator data collection starts with the ISP45 For this indicator data collection starts with the ISP46 For this indicator data collection starts with the ISP

122

the IT systems

Measure 4.2.1.3.:Improvement of the services provision with the help of ICT technology, and development/modernization of payment systems

Share of implemented and functional systems with a high level of technical performance

NA47 50 60 70 80

Specific Objective 4.2.2.: Development of the MMJS hub at national level

Measure 4.2.2.1.:Elaboration and approval of the Strategy regarding the Information and Communication Technology within the MMJS, updated according to the Governing Program and the ISP

Strategy developed and approved NA48 1

Measure 4.2.2.2.:Implementation of a document management system

Number of developed and fully operational systems NA49 10 50 70 90

Measure 4.2.2.3.:Digitization of processes, procedures and services at institutional level and insuring of their interoperability

Number of developed and fully operational systems NA50 0 5 10 15

47 For this indicator data collection starts with the ISP48 For this indicator data collection starts with the ISP49 For this indicator data collection starts with the ISP50 For this indicator data collection starts with the ISP

123

Annex 4: Institutional Profile

Annex 4.1: Legislation regulating the labor and social justice sector

Internal legislation in the field of competence (laws)

LAW No. 283 of December 14, 2011 approving Government Emergency Ordinance no, 80/2010 for the supplementation of art. 11 of Government Ordinance no. 37/2008 regarding the regulation of certain financial measures in the budgetary field

LAW No. 285 of December 28, 2010 regarding the 2011 pay of the personnel remunerated from public funds

FRAMEWORK LAW no. 284 of December 28, 2010 regarding the unitary pay of the personnel remunerated from public funds

LAW no. 118 of June 30, 2010 regarding certain measures necessary in order to reestablish the budgetary balance

LAW no. 193 of May 17, 2006 regarding the granting of gift tickets or nursery tickets LAW no. 142 of July 9, 1998 regarding the granting of meal tickets LAW no. 53/2003 Republished (Labor Code) LAW no. 52/April 15, 2011 regarding the exercise of certain occasional activities carried out by day

workers LAW no.7/January 9, 2008 approving Government Emergency Ordinance no. 115/2007 regarding the

amendment and supplementation of the Government Emergency Ordinance no. 116/2006 on social protection granted to persons fired through collective dismissals, carried out following the restructuring and reorganization of certain national companies, regie autonome, national companies and trade companies with majority state owned capital, as well as trade companies and regie autonome subordinated to the local public administration authorities

LAW 67/2006 regarding the protection of employees’ rights in the event of transfer, of the unit of certain parts of it

LAW 217/2005 on the establishment, organization and operation of the European Works Council LAW no. 554/2004 regarding administrative due process LAW no. 168/1999 regarding the resolution of work conflicts LAW no. 130/1996 republished, regarding collective labor contracts LAW no. 319/2006 regarding labor security and health, subsequently amended LAW no. 346/2002 regarding insurance in the case of labor accidents and occupational diseases,

republished, subsequently amended and supplemented LAW no. 126/1995 regarding the regime of explosives*) - REPUBLISHED LAW no. 76/2002 of January 16, 2002 regarding the system of unemployment insurance and

stimulating the workforce, subsequently amended and supplemented LAW no. 335/2013 regarding the internship performed by higher education graduates, subsequently

amended (Official Gazette no.776 of December 12, 2013), updated in accordance with GEO no. 49/2014 regarding the establishment of certain measures in the field of education, scientific research and the amendment of certain normative acts, published in the Official Gazette no. 486/June 30, 2014;

LAW no. 72/2007 on the stimulation of employment of pupils and students - Official Gazette no. 217/2007;

LAW no. 202/2006 on the organization and operation of the National Employment Agency, as well as for the establishment of certain institutional reorganization measure ***Republished - Official Gazette no. 294/06.05.2009;

124

LAW no. 279/2005 regarding on-the job apprenticeship, republished - Official Gazette no. 498 of August 7, 2013

LAW no. 263/2010 regarding the unitary public pensions system, subsequently amended and supplemented;

LAW no. 411/2004 regarding the private pensions funds, republished LAW no. 204/2006 regarding optional pensions LAW no. 174 of October 10, 2008 approving Government Emergency Ordinance no. 97/2007

amending and supplementing Law no. 61//1993 regarding state allowance for children LAW no. 175 of October 10, 2008 repelling Government Emergency Ordinance no. 16/2008 amending

and supplementing Law no. 61/1993 regarding state allowance for children LAW no. 61 of September 22, 1993 regarding state allowance for children ***Republished LAW no. 277 of December 24, 2010 regarding state allowance for family support LAW no. 161 of May 8, 2009 approving Government Emergency Ordinance no. 118/2008 regarding

the amendment and supplementation of certain normative acts, with the view of eliminating direct links of certain social welfare rights and the gross minimum guaranteed salary

LAW no. 236 of October, 2008 amending Government Emergency Ordinance no. 105/2003 regarding complementary family allowance and allowance for supporting single-parent families

LAW no. 41 of October, 2008 approving Government Emergency Ordinance no. 105/2003 regarding complementary family allowance and allowance for supporting single-parent families

LAW no. 197/2012 on ensuring the quality of social services LAW no. 292 of December 20, 2011 - LAW of social welfare LAW no. 74 of May 3, 1999 ratifying the revised European Social Charter, adopted in Strasbourg on

May 3, 1996 LAW no. 47 of March 8, 2006 regarding the national social welfare system LAW no. 27 of March 5, 2004 approving Government Emergency Ordinance no. 77/2003 amending

and supplementing Government Ordinance no. 137//2000 regarding the prevention and sanctioning of all forms of discrimination

LAW no. 283 of June 26, 2003 ratifying the Optional Protocol to the Convention on eliminating all forms of discrimination towards women, adopted in New York on October 6, 1999

LAW no. 612 of November 13, 2002 on formulating a declaration regarding the recognition by Romania of the competence of the Committee for Eliminating Racial Discrimination, in accordance with art. 14 of the International Convention on the Elimination of all Forms of Racial Discrimination, adopted by the General Assembly of the United National in New York on December 21, 1965

LAW no. 48 of January 16, 2002 approving Government Emergency Ordinance no. 137/2000 regarding the prevention and sanctioning of all forms of discrimination

LAW no.62/April 1, 2009 approving Government Emergency Ordinance no. 61/2008 regarding the implementation of the principle of equal opportunities for men and women in what concerns access to goods and services and the supply of goods and services (Official Gazette no. 229/April 8, 2009)

LAW no. 44/March 19, 2008 approving Government Emergency Ordinance no. 67/2007 regarding the application of equal opportunities for men and women within the Social Security professional schemes (Official Gazette no. 227/March 25, 2008)

LAW no. 202 of April 19, 2002 regarding equal opportunities for men and women (Official Gazette no. 150 of March 1, 2007 *** Republished)

Law no. 25 of March 5, 2004 approving Government Emergency Ordinance no. 96/2003 regarding the protection the maternity leave in what concerns the workplace (Official Gazette no. 214 of March 11, 2004)

Law no. 210 of December 31, 1999 LAW of parental leave (Official Gazette no. 654 of December 31, 1999)

LAW no. 116 of March 15, 2002 on prevention and fight against social marginalization

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LAW no. 129 of June 25, 1998 on the establishment, organization and functioning of the Romanian Fund for Social Development *** RepublishedLAW no. 207 of June 2, 2009 approving Government Emergency Ordinance no. 86/2008 amending Law no. 448/2006 on the protection and promotion of the rights of disabled

LAW no. 448 of December 6, 2006***Republished, on the protection and promotion of the rights of disabled

LAW no. 272 of June 21, 2004 on the protection and promotion of the rights of disabled

LAW no. 488 of November 10, 2004 approving Government Emergency Ordinance no. 86/2004 amending and supplementing Government Emergency Ordinance no. 68/2003 regarding social services

LAW no. 515 of November 28, 2003 approving Government Emergency Ordinance no. 68/2003 regarding social services

Legislation regarding international organizations

Law no. 74 of May 3, 1999, published on the Official Gazette of Romania no. 193/May 4, 1999, by means of which Romania ratified the Revise European Charter of the Council of Europe.

Law no. 116 of April 24, 1999 by means of which Romania ratified the European Code of Social Security of the Council of Europe, adopted in Strasbourg on April 16, 1964

Law no. 282/2007 by means of which Romania ratified the European Charter for Regional or Minority Languages, adopted in Strasbourg on November 5, 1992.

Law no. 37/2008 approving the capacity of full-rights member of the Romanian Government within the European Center for Social Welfare Policies and Research (ECSWPR), based in Vienna.

Internal legislation in the field of European affairs

Decision no. 379/2013 on the organization and operation of the National Center for Managing European Affairs in view of Romania’s participation in the decision-making process of the European Union institutions and supplementing art. 2 para. (1) of Government Decision no. 8/2013 on the organization and operation of the Ministry of Foreign Affairs;

Law no. 373/2013 regarding the cooperation between the Parliament and Government in the field of European affairs.

Community legislation

Treaty for Romania’s accession to the European Union; Lisbon Treaty; Secondary community legislation relevant for the field of competence of MLFSPEP, whose

transposition and implementation, respectively application, as the case may be, is ensured by the specialized department of MLFSPEP and/or institutions under its authority or subordination.

Bilateral cooperation documents

The protocol concluded between the Ministry of Labor, Family, Social Protection and Elder People of Romania and the Ministry of Interior of Israel, regarding the recruitment of Romanian workers for temporary activities in the field of constructions and Israel, concluded in Jerusalem on June 24, 2014 approved through GD no. 958 of October 29, 2014 and that entered into force on November 18, 2014.

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Memorandum of Understanding concluded between the Ministry of Labor, Family and Social Protection in Romania and the Ministry of Social Affairs of the Kingdom of Netherlands, regarding cooperation in the field of applying the regulations on social policies in the case of cross-border labor and services, concluded in Bucharest on July 1, 2010, approved through GD no. 94 of March 13, 2013.

Cooperation protocol concluded between the Ministry of Labor, Family and Equal Opportunities in Romania and the Federal Ministry for Economy and Labor in Austria, concluded in Bucharest on June 26, 2008, approved through GD no. 1650 of December 10, 2008.

Cooperation understanding concluded between the Ministry of Labor, Family, Social Protection and Elder People in Romania and the Public Federal Employment, Labor and Social Dialog Service of the Kingdom of Belgium, in the field of labor and employment, concluded in Brussels on September 10, 2013, approved through GD no. 48 of January 29, 2014.

Framework agreement concluded between the Ministry of Labor, Family and Social Protection and the Ministry of Administration and Interior of Romania and the French Office for Immigration and Integration regarding the establishment, as pilot project, of support for the reinsertion of Romanian families with citizens belonging to the Roma minority, with aid to come back provided by the French Office for Immigration and Integration, concluded in Bucharest on September 12, 2012, approved through GD no. 1189 of December 4, 2012.

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Annex 4.2: Treaties and conventions ratified by Romania

Conventions of the International Labor Organization ratified by Romania

No. Convention Date of ratification Status

1 C1Convention on the labor time (industry), 1919 13-06-1921 Ratified

2 C2Convention on unemployment, 1919 13-06-1921 Ratified

3 C3Convention on protection of maternity, 1919 13-06-1921 Ratified

4 C4Convention on night labor for women, 1919 13-06-1921 denunciated on 28-05-1957

5 C5Convention on the minimum age for employment in industry, 1919

13-06-1921 denunciated on 19-06-1976

6 C6Convention on night labor for children in industry, 1919

13-06-1921 ratified

7 C7Convention on the minimum age of child admittance in maritime labor, 1920

08-05-1922 denunciated on19-06-1976

8 C8Convention on unemployment indemnity (in case of shipwreck), 1920

10-11-1930 ratified

9 C9Convention on the placement of sailors, 1920 10-11-1930 ratified

10 C10Convention on the minimum age of child admittance in labor (farming)

10-11-1930 denunciated on 19-06-1976

11 C11Convention on the right to association in farming, 1921

10-11-1930 ratified

12 C13Convention on the use of cruse in painting 04-12-1925 ratified

13 C14Convention on weekly break in industry, 1921 18-08-1923 ratified

14 C15Convention on the minimum age of youth admittance in labor as coal or fire operators

18-08-1923 denunciated on 19-06-1976

15 C16Convention on the medical control of youth (maritime workers)

18-08-1923 ratified

16 C22Convention on the navigators’ employment contract, 1926

11-10-2000 ratified

17 C24Convention on illness insurance (industry), 1927 28-06-1929 ratified

18 C27Convention on marking the weight on large parcels transported by ship, 1929

07-12-1932 ratified

19 C29Convention on forced or mandatory labor, 1930 28-05-1957 ratified

20 C59Convention (revised) on the minimum age for employment in industry, 1937

06-06-1973 denunciated on 19-06-1976

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21 C68Convention on nutrition and meals (ship crews), 1946

11-10-2000 ratified

22 C81Convention on labor inspection, 1947 06-06-1973 ratified

23 C87Convention on union freedom and the protection of union rights, 1948

28-05-1957 ratified

24 C88Convention on employment service, 1948 06-06-1973 ratified

25 C89Convention on night labor of women working in industry, 1948

28-05-1957 ratified

26 C92Convention on crew accommodation (revised), 1949

11-10-2000 ratified

27 C95Convention on protection of salaries, 1949 06-06-1973 ratified

28 C98Convention on applying the principles of the right to collective organization and negotiation, 1949

26-11-1958 ratified

29 C100Convention on the equality of remuneration, 1951

28-05-1957 ratified

30 C105Convention on abolishing forced labor, 1957 03-08-1998 ratified

31 C108Convention on identity documents of navigation staff, 1958

20-09-1976 ratified

32 C111Convention on discrimination among labor force and in exerting professions, 1958

06-06-1973 ratified

33 C116Convention on partial revision of conventions adopted by the General Conference of the ILO in its first 32 sessions, 1961

09-04-1965 ratified

34 C117Convention on the objectives and base norms of social policy

06-06-1973 ratified

35 C122Convention on employment policy, 1964 06-06-1973 ratified

36 C127Convention on maximum weight, 1957 28-10-1975 ratified

37 C129Convention on labor inspection in farming, 1969

28-10-1975 ratified

38 C131Convention on setting the minimum wage, 1970

28-10-1975 ratified

39 C133Convention on crew accommodation (additional provisions), 1970

11-10-2000 ratified

40 C134Convention on preventing accidents of maritime sailors, 1970

28-10-1975 ratified

41 C135Convention on the protection of worker representatives, 1971

28-10-1975 ratified

42 C136Convention on the protection against 06-11-1975 ratified

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intoxication risks due to benzene, 1971

43 C137Convention on social effects of new labor methods in harbors, 1973

28-10-1975 ratified

44 C138Convention on the minimum age of employment, 1973

19-11-1975 ratified

45 C144Convention on three-party consultancy meant to promote the application of international labor norms, 1976

09-12-1992 ratified

46 C147Convention on minimum standards on board of commercial ships, 1976

15-05-2001 ratified

47 C154Convention on promoting collective negotiation, 1981

15-12-1992 ratified

48 C163Convention on navigation staff welfare, 1987 11-03-2002 ratified

49 C166Convention on sailor repatriation (revised), 1987

11-10-2000 ratified

50 C168Convention on promoting employment and unemployment protection, 1988

15-12-1992 ratified

51 C180Convention on labor time of navigating staff and ship crews, 1996

11-10-2000 ratified

52 C182Convention on forbidding severe forms of child labor and immediate action to eliminate such forms

13-12-2000 ratified

53 C183Convention on protection of maternity, 2003 23-10-2002 ratified

54 P147 1996 protocol on the convention regarding commercial navy (minimum norms)

15-05-2001 ratified

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Annex 4.3: Model of service delivery

The Ministry of Labor and Social Justice (MMJS) is implementing the governmental policy in the fields of labor, and social justice, correlated with European and international policies, fulfilling the functions of: strategic planning, regulation, synthesis, endorsement, representation, monitoring, inspection and control. Thus, the MMJS develops, updates, coordinated and monitors the application of strategies, plans and programs, issues public policy documents and draft laws, issues regulation acts, coordinated, monitors and assures the unitary implementation of the national legislation, harmonized with the provisions and requirements of the law of the European Union, of treaties, conventions, agreements, memoranda and protocols that Romania is part of, conducts control and inspections on activities and services in its area of competence, including with regard to the use of financial resources allocated through the state budget and of resources from internal and external loans.

At the same time, the Ministry is an Intermediary Body for the implementation of programs financed from non-reimbursable external funds and is involved in the coordination, management and control of Structural and Investment European Funds for the Operational Programme “Human capital”.

The fields in which the MMJS fulfills specific attributions are: protection of children’s rights and adoption, social assistance and social inclusion, equality of chances, European funds, labor law, employment and professional training, pensions and other rights stated by laws of special nature, protection of women, protection of persons with disabilities, protection of the elderly, wage policy, occupational security and health, social dialogue. In order to assure the basic conditions for fulfilling its attributions, the following are also carried out in the ministry: management of budgets and allocated funds, fulfillment of obligations entailing from the status of a member state of the European Union, management of external relations, exerting control on the unitary enforcement and compliance with legal regulations in its specific field of activity and regarding the institutions under its subordination or authority, management of human resources.

In order to implement the adopted public policies, the ministry is using the resources of the state budget, the social insurance budget, Structural and Investment European Funds, loans and grants from other international financial institutions. The MMJS is organized in functional components (general directions, directions, services, compartments) within which civil servants are appointed, and hired to have general positions, specific positions and in which contractual staff is also appointed and hired.

At the same time, the MMJS organizes, coordinates, guides specific activities and monitors the manner of compliance with the legal provisions in the activity of subordinated institutions. The two institutions under its authority are tasked with the attributions stated by the legal provisions for main authorizing officer.

Institutions subordinated to the Ministry of Labor and Social Justice

National Authority for Persons with Disabilities (ANPD) is a specialized body of the central public administration, with legal personality. ANPD coordinates at central level the activities of protection and promotion of the rights of disabled persons, develops policies, strategies and standards in this field, monitors the enforcement of regulations and the control of the activities of protection and promotion of rights of disabled persons. ANPD is appointed as the central authority for coordinating the implementation of the UN Convention on the Rights of Persons with Disabilities. ANPD has the role to oversee the fulfillment of the obligations assumed by the Romanian state

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regarding the protection and promotion of rights of disabled persons through the international conventions and treaties that Romania is a part of, to enforce and follow up and assure the unitary enforcements of the law in this field. ANPD holds no territorial structures and in order to exert its attributions, it cooperates locally with the General Departments for Social Assistance and Child Protection, institutions subordinated to local authorities, but also with other institutions under the subordination / authority of the MMJS. In order to get the social benefits and services they are entitled to by law, disabled persons must turn to the General Department for Social Assistance and Child Protection, and to the town hall responsible for the territory where they reside. In order to benefit from the other rights and facilities provided by the law in force, disabled persons must turn, as the case may be, to the local public administration, and to the county school inspectorate, to the County pensions house, County Health Insurance House.

National Authority for Child Protection and Adoption (ANPDCA) is a specialized body of the central public administration, with legal personality. ANPDCA has attributions in the field of protection and promotion of children’s rights, of preventing child separation from parents and of special protection of children who are temporarily or permanently separated from parents and of adoption. In exerting its attributions, the ANPDCA develops draft laws, follows up and assures the unitary application of the law in the field of competence, takes the measures required to prevent or, as the case may be, to remove the effects of any acts infringing the principles and norms of international treaties in the field of children’s rights, that Romania is a part of, initiates, negotiates and concludes with the approval of the MMJS and with empowerment from the Government documents of international cooperation in the scope of competence. ANPDCA holds national records of all associations, foundations and federations operating in its field of activity, as well as of all the services provided by such and proposed the Government to recognize them as public utilities; in lawful conditions develops and proposes to the Ministry of LSJ for approval the criteria, minimum standards and indications underlying the accreditation of providers and services of prevention of separation of children from parents and special protection of children temporarily or definitively separated from parents and assures the control, coordination and methodological guidance of such, as well as of the activities carried out by the commissions for child protection, authorizes private foreign bodies to hold activities in the field of adoption. ANPDCA coordinates and oversees the activities of adoption and drives international cooperation in the field of adoption; receives requests from families and persons who wish to internationally adopt a child from Romania. ANPDCA does not hold territorial structures, but in exerting its attributions cooperates and involves the authorities of the local and central public administration, the civil society, parents and children.

The National Agency for Equality of Chances between Women and Men (ANES) is a specialized body of the central public administration, with legal personality. ANES promotes the principles of equality of chances and of treatment between women and men in order to eliminate all forms of gender-based discrimination from all policies and national programs and it develops, coordinates and applies Government strategies and policies in the field of prevention and fights against domestic violence. ANES is the institutional warrantor of compliance with the principle of equality of chances and of treatment between women and men and of assuring the development and implementation of the required legal framework. Its role is to assure the implementation and monitoring of applying the provisions of the relevant legislation. ANES finances or, as the case may be, co-finances specific projects and projects within national programs of interest in its field of competence. Romania ratified the Convention of the Council of Europe on preventing and combating violence against women and domestic violence - in short the Istanbul Convention - which requires signing countries to have concrete measures of prevention and protection, being the most complex instrument of international legal cooperation regarding the prevention of violence against women, protection of victims, criminal prosecution of authors and adoption of a wider range of measures to

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approach this issue, in all its complexity. The MMJS assumed objectives in the field to contribute to strengthening the institutional capacity of the authorities of the central and local public administration regarding the management of violence in family and the development of a unitary system of social services specialized in the field of prevention and fight against family violence. In this direction ANES has the role to coordinate the process of implementation of the Convention and to report the status of its implementation. ANES holds no territorial structures and in order to exert its attributions, ANES cooperates with the General Departments of Social Assistance and Child Protection, public institutions organized at county level, subordinated to the local authorities. ANES also cooperates with other institutions under the subordination / authority of the MMJS (such as ANPDCA or ANPD) as well as with organizations of the civil society involved in combating domestic violence or in promoting equality of chances between women and men. ANES manages a Call-center service for the victims of domestic violence and grants licenses to centers destined for the victims of domestic violence / aggressors.

National Authority for Payments and Social Inspection (ANPD) is a specialized body of the central public administration, with legal personality. ANPIS assures the administration and management in a unitary payment system of social assistance benefits and other programs regarding social services supported by the state budget, through the budget of the MMJS, assures the performance of assessment and monitoring activities for the social services, conducts control on social assistance measures regarding the prevention, limiting or removal of the effects of situations that may generate social marginalization or exclusion of a person, family, groups or communities, activities performed by the authorities of the central and local public administration and by other natural persons and legal entities. ANPIS has in subordination county agencies for payments and social inspection and the same agency from Bucharest which apply in the territory the policies, strategies, legislation and programs developed by ANPIS and the MMJS in the field of social assistance benefits and social services (including establishing the right to social assistance benefits and paying such benefits), in the field of social inspection, as well as in other area of competence. County agencies for payments and social inspection and the same agency from Bucharest assure together with the local public authorities the implementation of program for paying social assistance benefits. County and Bucharest agencies for payment and social inspection evaluate, monitor and control the activity of public and private providers of social services, as well as the social services, to check the compliance with quality and cost standards, the efficiency and performance of such providers; it also ascertains any legal breaches in the field of social assistance and applies the civil sanctions stated by law.

Labor Inspection (IM) is a specialized body of the central public administration with legal personality. IM assures the exertion of control in the fields of labor relations, occupational security and health, oversight of the labor market and acts to assure the social protection of labor. Labor Inspection has under subordination territorial labor inspectorates (institutions with legal personality which are organized in each county and in Bucharest), the Center for Monitoring Units with Professional Risk - financed from its own incomes and the Center of Professional Training and Improvement of the Labor Inspection - financed from own incomes. At the same time, the Magazine “Obiectiv”, a unit with legal personality financed from its own revenues, was cancelled, its activity being taken over by the Labor Inspection.

Institutions under the authority of the Ministry of Labor and Social Justice

The National Employment Agency (ANOFM) is a specialized body of the central public administration, a public institution of national interest, with legal personality. ANOFM coordinates

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the implementation of MMJS policies and strategies regarding the employment and professional training of job seekers, through its own strategy. ANOFM contributes to stimulating employment and preventing unemployment; it stimulates the participation of job seekers in services of professional training and competence assessment; it increases the chances of employment and social inclusion of disadvantaged categories of persons on the labor market; it protects persons at risk of losing their job and employees of employers in insolvency; it facilitates the free circulation of workers in member states of the European Union and in other states that signed the Agreement on the European Economic Area, as well as in other states with which Romania signed treaties, agreements or conventions. ANOFM makes proposals regarding the elaboration of the draft budget of unemployment insurance and presents to the MMJS reports on budget execution; it proposes the MMJS draft laws in its area of competence; it organizes services of establishment, payment and records of benefits, allowances and indemnities financed from the budget of unemployment insurance; it implements programs financed from the Social European Fund. ANOFM assures the coordination, guidance and control of the activities of subordinated units, of county and Bucharest employment agencies (41), of regional centers of professional training of adults (8), 23 own centers of professional training and the National Center of Professional Training of Its Own Staff. The National House of Public Pensions (CNPP) is a specialized body of the central public administration, a public institution of national interest, with legal personality. CNPP manages the public pensions system and the insurance system for occupational accidents and professional illness, it grants pensions and other social insurance benefits. CNPP guides and monitors the enforcement of legal provisions by territorial pension houses and by natural persons and legal entities with rights and obligations in the field; it provides data for grounding and elaborating the state social insurance budget; it organizes the national records of tax payers, of tax-paying schemes and of social insurance rights and obligations, in terms of records, calculation and transfer of individual contributions to privately-managed pensions funds; it carries out activities of insurance against occupational accidents and professional illness. CNPP has in subordination the county pensions houses and the Bucharest Pensions House, as well as the National institute of Medical Expertise and Recovery of the Work Capacity. CNPP is a sole shareholder of the Company for Balneary Treatment and Recovery of the Work Capacity “TBRCM” SA. Territorial pension houses establish the quantum of rights in their competence and pay such rights; they give balneary treatment tickets and vacation tickets, as well as death aids; they fulfill the obligations binding them in applying the provisions of international agreements and relevant community regulations; they assure the payment of money benefit abroad; they coordinate and control from an administrative standpoint the activity of medical expertise and recovery of the work capacity and disburse expenses related to them; they conclude contract with providers of medical services; they assure the records of labor accidents and professional illness and set, pay and grant the rightfully owed benefits.

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Annex 4.4. Strengths and weaknesses of MMJS

Overview of strengths and weaknesses of MMJS and the institutions subordinated/ under authority/ under coordination

Strengths Weaknesses1. Comprehensive legislation and regulation of the field under the responsibility of MMJS and an adequate set of procedures for implementation of policies

1. Lack of impact studies and of mechanisms of monitoring and implementation, partially due to the lack of interconnected databases and to adequate systems of evaluation of needs and management on information that are insufficient in number and underused

2. A core of civil servants with experience in the field of labor and social justice

2. Lack of continuity in implementation of adopted policies

3. A coherent set of strategies in the fields regulated by MMJS

3. High fluctuation of staff; unattractive conditions for attracting qualified staff, especially at local level, given limited opportunities of promotion and career development, due instead to limited resources for the Institutional Training Plan, but also to an inflexible human management system, not opened towards innovative practices like flexible hours or teambuilding activities.

4. Coherent organization of structures within the institutions which insures: achievement of the objectives, high territorial representativity and involvement at county/local level, and decentralized structures through which MMJS can fulfil its mandate and can offer services for all the beneficiaries

4. Cooperation between MMJS and other stakeholders at local level varies; for example, the cooperation between the social assistance services and city halls/schools is well organized and functional; the cooperation between the public employment services, social services, health services, schools, universities and social partners, on one hand and stakeholders from the private sector on the other hand insufficiently developed; collaboration of ANES with the institutions of the local administration are not covered by procedures established institutionally

5. Efficient cooperation with European and international bodies in the MMJS’s field of activity, as well as with similar institutions in other countries; a legal system facilitating international collaboration

5. Some of the building used by various institutions are inadequate for the purpose, some of the activities/operations do not use modern technology; limited time for working in teams, not assumed responsibility and incoherent decisions (in time or between structures)

6. Participative elaboration of public policies; openness towards dialogue with social partners within the relevant institutional social dialogue framework at cental and local level; successful communication with mass-media and the citizens

6. A certain intra-institutional fragmentation among the specialized services, especially in the rural areas and in what concerns services for adults; for example there is no integrated inter-institutional approach in case of emergency intervention in situations of abuse and neglect

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7. Ability to identify social problems through the decentralized structures of the ministry and permanent contact with the local public authorities; schools/school inspectorates, NGOs and the citizens

7. The system of evaluation of persons with disabilities still relies on medical criteria; barriers to social integration, and in particular taking up employment are not defined, which prevent an intervention through a set of diversified services

8. Ability to attract, coordinate, implement and monitor external financial resources

8. Lack of effective protection of inspectors or employees in direct contact with certain categories of beneficiaries

9. An institutional framework that facilitated an increased number and complexity of social services offered through public-private partnerships

9. During the crisis, active labor market spending halved compared with the period prior to Romania’s integration to the EU, although after the crisis they resumed the increasing trendLabor market active policies are also based on FESI, but as long as there is no continuous and uniform path in launching of calls/contracting of projects, this dependency of external funding might create discontinuities in the sustainability of these policies, especially if ANOFM retains a relative limited capacity to attract vacancies or to offer attractive services for the employers

10. Ability to implement and manage an accelerated reform and development process of the social assistance system leading to services with higher quality and diversification.

10. Some of the policy measures are not harmonized with the international practice or even with the European legislation. For example, the sequencing of increasing in the retirement age for women is in conflict with the jurisdiction of the European Court of Justice and with the principle of equal treatment regarding the access to the labor market; in cases of domestic violence the victim, and not the abuser, is removed from the common residence home

Highlighted issue: institutional resources (budgets and staff) are limited.

As per 2017, MMJS has available 10449 positions, or 8.75% of all positions in public institutions and authorities51. It should not be forgotten though that a part of legal and strategic measures are implemented by other institutions (notably the local administration) or by subcontracting/partnership with other stakeholders. Still, the system of institutions dealing with social issues is understaffed, especially the territorial agencies.

51 According to the Ministry of Finance, in April 2017 the total number of positions in the public administration was 1 194 475 http://www.mfinante.gov.ro/salariati.html?pagina=domenii

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Figure 11. Structure of MMJS employees including in the institutions in subordination / under its authority, and the dignitaries

Source: MMJS and the institutions in its subordination / under its authority. The total number of employees in institutions also includes the persons hired in territorial agencies

The MMJS faces the same challenges regarding human resources as the public administration as a whole. Many of these challenges are to be solved by clarifying further the role and mandate of civil servants, by improving the performance assessment systems, increasing transparency and impartiality in the staff selection process and having an integrated approach on professional training processes. Currently, however, the sources of financing for the professional training activity are not completely identified.

The MMJS faces the same challenges regarding human resources as the public administration as a whole. Many of these challenges are to be solved by clarifying further the role and mandate of civil servants, by improving the performance assessment systems, increasing transparency and impartiality in the staff selection process and having an integrated approach on professional training processes. Currently, however, the sources of financing for the professional training activity are not completely identified.

A specificity of this field is the fact that the MMJS has the task to develop the legislation on the unitary wage for the employees in the public sector. This process is underway and a certain harmonization has been achieved between categories of employees of the same institution, but there are still substantial differences between institutions. Furthermore, another specific need of human resources in the field of labor and social justice, especially when it comes to labor inspectors and social workers, is the need for solutions to mitigate or compensate for the professional risks they are dealing with. The Governing Program 2017-2020 already stipulates the increase in the minimum wage for social workers to 2,150 RON as of 2018.

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Competența face diferența!Proiect selectat în cadrul Programui Operațional Capacitate Administrativă, cofinanțat de Uniunea

Europeană din Fondul Social European

Competence makes a difference!Project selected under the Administrative Capacity Operational Program, co-financed by the European

Union from the European Social Fund

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