The government adopted new measures: changes to magistrates’ pensions, budget rectification and strengthening the governance of public enterprises

The Romanian government approved in the meeting on Friday, November 28, 2025, a wide series of normative acts, from major changes in the field of service pensions of magistrates to the budgetary rectification and measures to make public enterprises more efficient. The executive has adopted draft laws, emergency ordinances, decisions and memoranda with a direct impact on the functioning of public institutions.

The government approved the draft law amending the system of service pensions for magistrates, which includes a gradual increase in the retirement age and the limitation of the net pension to 70% of the net income of the last month of activity.

According to the Executive, the project establishes that the retirement age “will be related to the standard age in the public pension system”with a minimum age of 49 years valid until December 31, 2026. At the same time, “the condition of working experience of at least 35 years”.

One of the most important changes is the progressive increase in the retirement age, “with one year for each generation of magistrates”, until reaching the standard age, and thereafter it will rise to 65 years.

A new scaling of assimilated seniority

The project also introduces a new scaling of assimilated seniority, valid until December 31, 2035. The executive states that: “According to the proposed regulation, the 5-year seniority period in assimilated functions/professions will be gradually eliminated, with the decrease of one year of assimilated seniority every two calendar years. Thus, starting from January 1, 2036, this possibility will be completely eliminated. However, the objective of the phasing is to comply with the principle of legal security, the elimination of the 5-year period being carried out gradually and predictably”.

Regarding the calculation method, the pension will represent 55% of the average of the gross allowances and increments of the last 60 months, with a clear limit: the net pension will not be able to exceed 70% of the net income from the last month of activity.

The rules regarding the 1% bonus and the updating of the service pension are also changed, these provisions being restricted exclusively to people who already have retirement decisions or meet the conditions before the new law comes into force.

The government has sent that the project will be subject to the accountability procedure before the Parliament.

Budget correction: cuts, additions and reallocations

The executive also adopted the second budget rectification from 2025, built on economic growth estimated at 0.6%, a GDP of 1,902 billion lei and an average annual inflation of 7.1%.

The amendment provides for the reduction of some expenses, including a 1 billion lei reduction in interest, as well as important increases, such as the increase of capital expenditures by 352 million lei.

Among the most important additions:

  • Ministry of Health: +1.511 billion lei, especially for transfers to the Single National Fund for Social Health Insurance;
  • Ministry of Transport: +750 million lei;
  • Ministry of Agriculture: +80.8 million lei.

The biggest reductions are aimed at:

  • Ministry of Finance – General Actions: -2.089 billion lei;
  • Ministry of European Investments and Projects: -1.6 billion lei;
  • Ministry of Economy: -499.2 million lei.

The government states that the rectification was determined by “reflecting in the budgets the revised form of the National Recovery and Resilience Plan“, as well as the need to cover some urgent expenses, such as paying the rights of personal assistants to people with severe disabilities or providing medical materials.

Social security and unemployment budgets, adjusted

The state social insurance budget receives 222.8 million lei in addition to revenues, especially through the subsidy from the state budget, and the expenses for the payment of pensions increase by 250 million lei for the month of December.

However, the unemployment insurance budget suffers a decrease in income by 187.1 million lei, but the surplus of this budget will increase by 34.2 million lei.

New rules for public enterprises: strengthened governance and transparency

The government approved a decision that modifies the operation of AMEPIP and clarifies the rules for the selection of administrators of public enterprises. The procedures will have to be initiated at least six months before the expiration of the mandates, in order to avoid provisional situations.

Clearer rules are introduced regarding the required professional experience, transparent procedures for the selection of representatives of the guardianship authority and the possibility of reviewing performance indicators at the thoroughly justified request of public institutions.

The AMEPIP Regulation will be published directly on the institution’s website, “to ensure transparency“.

Approved memoranda for the acceleration of European projects

The government approved three memoranda, one of which allows the Ministry of Investments and European Projects to conclude financing contracts under the Smart Growth, Digitization and Financial Instruments Program 2021-2027.

The total non-refundable value of the contracts to be concluded by the end of the year is 1.68 billion lei, to which are added own contributions of approximately 228 million lei. The executive emphasizes that the measure is necessary for “accelerating the implementation of projects, reducing the risk of disengagement of European funds and maximizing the economic and social impact of investmentsr”.