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Year: 2026
Issue: 3
Volume: 106
Author Names: Emilia HERMAN
Abstract: This article examines the evolution of minimum wage legislation in Romania and its economic and social effects within the European Union framework. Particular attention is given to the implementation of Directive (EU) 2022/2041 and recent reforms aimed at developing a more transparent and evidence-based minimum wage-setting system. Using Eurostat and OECD indicators, the study analyzes minimum wage adequacy, wage convergence, labour productivity, and in-work poverty. The findings reveal significant progress in minimum wage adequacy and convergence toward European standards. The minimum wage has improved its position relative to average and median earnings, strengthening income protection for low-paid workers and reducing wage inequality. At the same time, strong labour productivity growth suggests that wage increases have been supported by improvements in economic performance. The analysis also highlights positive social effects, reflected in lower in-work poverty among employees than the EU average. However, persistent poverty among self-employed and other vulnerable workers indicates continuing structural labour market challenges. The study concludes that minimum wage policy has become an important instrument for promoting social inclusion, improving living standards, and supporting economic convergence, while emphasizing the need to align future wage growth with productivity developments and broader labour market policies.
DOI: https://doi.org/10.62838/cjjc-2024-0086
Pages: 23-34