Social Policies
#39Key Findings
With a number of problematic areas, Romania falls into the bottom ranks internationally (rank 39) with respect to social policies. Its score on this measure is unchanged relative to its 2014 level.
The underfinanced healthcare system was badly stressed by COVID-19. ICU beds were filled, and patients had to be sent to nearby countries. Vaccination rates are very low. An ongoing exodus of medical personnel has exacerbated difficulties. Inequality levels are very high. During the pandemic, more than one-third of children were at risk of social exclusion or poverty.
The education system remains of poor quality overall, with serious structural problems. Performance and attainment indicators are low, and access is unequal, with low-income, Roma and rural children facing particular challenges. Dropout rates are very high especially in rural areas.
Parental-leave benefits are generous, but a shortage of affordable childcare cuts seriously into women’s labor-market participation rates. Plans to boost pensions substantially were dropped following international criticism, but a smaller increase was implemented. Domestic violence and human trafficking are ongoing problems. Integration programs focus on refugees.
The underfinanced healthcare system was badly stressed by COVID-19. ICU beds were filled, and patients had to be sent to nearby countries. Vaccination rates are very low. An ongoing exodus of medical personnel has exacerbated difficulties. Inequality levels are very high. During the pandemic, more than one-third of children were at risk of social exclusion or poverty.
The education system remains of poor quality overall, with serious structural problems. Performance and attainment indicators are low, and access is unequal, with low-income, Roma and rural children facing particular challenges. Dropout rates are very high especially in rural areas.
Parental-leave benefits are generous, but a shortage of affordable childcare cuts seriously into women’s labor-market participation rates. Plans to boost pensions substantially were dropped following international criticism, but a smaller increase was implemented. Domestic violence and human trafficking are ongoing problems. Integration programs focus on refugees.
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To what extent does education policy deliver high-quality, equitable and efficient education and training?
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9
9
Education policy fully achieves the criteria.
8
7
6
7
6
Education policy largely achieves the criteria.
5
4
3
4
3
Education policy partially achieves the criteria.
2
1
1
Education policy does not achieve the criteria at all.
Romania’s Ministry of Education heads and organizes the state’s education and technological innovation system, while working alongside subordinate institutions at the national, central and local levels. The organization and functioning of the education system are established according to constitutional and legal parameters (i.e., the Law of National Education). Romania’s national educational system is both open, allowing for the mobility and transfer of pupils, and pluralistic, offering education in public and private settings, and in recognized native languages. While the education system remains a national priority for the Romanian government, disparities are prevalent in its organization. The phenomenon of Romania’s struggling education system is not novel. Since the fall of the communist regime, public schooling has never received adequate funding. The Romanian state spends about €33,000 on education from kindergarten to graduating higher education for each person who graduates with a master’s degree, but it collects €300,000 from an entire person’s working life – a return on investment of 700%. Due to the lack of access to education, however, the state spends €18,000 for an unemployed person with only primary education throughout his or her lifetime. Under the present pressures of the COVID-19 pandemic, education has been pushed even closer to the edge. Some 400,000 children in Romania don’t attend school or complete compulsory education requirements. Moreover, OECD findings show that 44% of 15 year olds cannot read or write properly. The poor academic outcomes stem from Romanian governments undercutting funding to the education system, which stands at only 3.4% of the state budget – 2.6 percentage points below the legally mandated level of 6%.
The rural-urban disparity is telling, however, and underscores the dual trajectory of young people in the education system. Because of the state’s limited investment in broadband infrastructure, digital schooling is lowest in rural areas. More than 50% of rural households do not own a digital device necessary for remote learning. Furthermore, one-in-three villages have “very weak, or no, internet signal,” limiting communication between educators and their students. Rural areas have alarmingly high dropout rates, which can only be exacerbated by the lack of digital equipment, and the pandemic has exacerbated the underperformance of rural areas of Romania. The lack of IT-based infrastructure and limited state funding of the public education system, alongside a lack of basic amenities (e.g., running water or indoor plumbing at schools, or dwindling family incomes in rural communities) and the COVID-19 pandemic, will intensify social exclusion, inequality and poverty. While the revision to law 292 on social assistance will give children and their families access to basic community services provided by a small team of local professionals (e.g., social workers, nurses and school counselors), 38% of Romania’s young people remain subject to poverty and under the auspices of social welfare.
Citations:
Bult, Pieter. “The Romanian Government needs to double its investments in education ASAP.” UNICEF, 10 December 2020. https://www.unicef.org/romania/stories/romanian-government-needs-double-its-investments-education-asap
European Commission. “Romania Overview.” EURYDICE. Accessed 16 December 2021. https://eacea.ec.europa.eu/national-policies/eurydice/content/romania_en
Gherasim, Cristian. “Study in Romania: Every 1 RON (25 euro cents) invested by the Romanian state in education brings 8 lei to the budget.” Eureporter, 5 November 2021. https://www.eureporter.co/world/romania/2021/11/05/study-in-romania-every-1-ron- 25-euro-cents-invested-by-the-romanian-state-in-education-brings-8-lei-to-the-budget/
The rural-urban disparity is telling, however, and underscores the dual trajectory of young people in the education system. Because of the state’s limited investment in broadband infrastructure, digital schooling is lowest in rural areas. More than 50% of rural households do not own a digital device necessary for remote learning. Furthermore, one-in-three villages have “very weak, or no, internet signal,” limiting communication between educators and their students. Rural areas have alarmingly high dropout rates, which can only be exacerbated by the lack of digital equipment, and the pandemic has exacerbated the underperformance of rural areas of Romania. The lack of IT-based infrastructure and limited state funding of the public education system, alongside a lack of basic amenities (e.g., running water or indoor plumbing at schools, or dwindling family incomes in rural communities) and the COVID-19 pandemic, will intensify social exclusion, inequality and poverty. While the revision to law 292 on social assistance will give children and their families access to basic community services provided by a small team of local professionals (e.g., social workers, nurses and school counselors), 38% of Romania’s young people remain subject to poverty and under the auspices of social welfare.
Citations:
Bult, Pieter. “The Romanian Government needs to double its investments in education ASAP.” UNICEF, 10 December 2020. https://www.unicef.org/romania/stories/romanian-government-needs-double-its-investments-education-asap
European Commission. “Romania Overview.” EURYDICE. Accessed 16 December 2021. https://eacea.ec.europa.eu/national-policies/eurydice/content/romania_en
Gherasim, Cristian. “Study in Romania: Every 1 RON (25 euro cents) invested by the Romanian state in education brings 8 lei to the budget.” Eureporter, 5 November 2021. https://www.eureporter.co/world/romania/2021/11/05/study-in-romania-every-1-ron- 25-euro-cents-invested-by-the-romanian-state-in-education-brings-8-lei-to-the-budget/
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To what extent does social policy prevent exclusion and decoupling from society?
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9
9
Policies very effectively enable societal inclusion and ensure equal opportunities.
8
7
6
7
6
For the most part, policies enable societal inclusion effectively and ensure equal opportunities.
5
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3
4
3
For the most part, policies fail to prevent societal exclusion effectively and ensure equal opportunities.
2
1
1
Policies exacerbate unequal opportunities and exclusion from society.
The health crisis risks putting a halt to strong improvements in living standards and aggravating poverty, especially among marginalized communities, informal workers and the working poor, who are more vulnerable to economic shocks and insufficiently protected by a weak social security system. In 2020, nearly 35.8% of Romanians are at risk of poverty, are socially or materially deprived, or live in a household with low work intensity. Due to the socioeconomic repercussions of the COVID-19 pandemic, 36.3% of children were at risk of social exclusion or poverty. Even prior to the health crisis, Romanian children faced difficulty accessing quality and equal healthcare. The pandemic only worsened disparities. Some 23% of parents could not afford medicines for their children, and 15% did not have access to medical services. In addition to Romania’s youth (16 to 24 years old), the elderly (aged 65 plus), people with disabilities, Roma and people living in rural communities are at heightened risk of poverty and social exclusion. The Romanian government has attempted to mitigate the effects of social exclusion with social transfers. However, these measures have only lowered the at-risk-of-poverty rate to 24%, which is still 7 percentage points higher than the EU average.
Inequality in Romania remains one of the highest in the industrialized world. In 2020, Romania’s Gini coefficient of income inequality stood at 35.0 – the median figure for advanced economies was 30.3. 20% of the poorest households accounted for 5.7% of Romania’s total income. Despite the state’s attempts to strengthen employment and job protection, the government failed to cushion the negative impact of the pandemic, underscoring Romania’s already weak social safety net. The government offered less than a 20% coverage rate for unemployment benefits, while the OECD average stood at 60%. Furthermore, the statutory replacement rate stood at less than 10%, less than half the OECD’s average of 20%. While low-income earners in Romania remain the least affected by the pandemic in the European Union, middle-income earners were the most affected. The education system suffered a severe hit with the start of the pandemic, raising the problem of quality in educational services offered to the children and the issue of equal opportunities in education, as there are large gaps between urban and rural areas with regard to IT endowment, and digital skills among teachers and pupils.
In response to Romania’s large at-risk of poverty and social exclusion population, the government has attempted to tackle issues of affordability. For instance, in 2020, in spite of warnings by the IMF and European Commission of increasing the deficit, the state increased pensions by 40%. While past increases to pensions were made, they were implemented along regional and socioeconomic lines, perpetuating social disparities. Shortly afterward, the government voted in favor of a minimum package of basic healthcare, education and social protection services, guaranteeing free access for all children in rural areas, hoping to tackle the rural-urban divide. The actions taken by the Romanian government are only a small step in the right direction. UNICEF has warned that in the context of the COVID-19 pandemic, “already existing vulnerabilities could exacerbate pre-existing risks, such as limited access to social services, inequalities in access to education, poverty due to the traffic limitation which reduced the income of the families.” The impetus lies in the governing parties, who have so far failed to find a consensus on how best to tackle the issue of inequality.
Citations:
Eurostat. “Living conditions in Europe – poverty and social exclusion.” Eurostat, October 2021. https://static.poder360.com.br/2021/10/eurostat-pobreza-na-UE-out-2021.pdf
Eurostat. “One in five people in the EU at risk of poverty or social exclusion.” Eurostat, 15 October 2021. https://ec.europa.eu/eurostat/web/products-eurostat-news/-/edn-20211015-1
Marica, Irina. “Save the Children: Over 1.5 mln children in Romania were at risk of poverty or social exclusion in 2020.” Romanian Insider, 29 October 2021. https://www.romania-insider.com/save-children-poverty-romania-report
OECD. “ECONOMIC POLICY REFORMS 2021: GOING FOR GROWTH: ROMANIA.” OECD, 2021. https://www.oecd.org/economy/growth/Romania-country-note-going-for-growth-2021.pdf
Popovici, Oana Cristina. “Romania social briefing: Overview of social developments in 2020: evolutions leading to higher social inequalities.” China-CEE Institute, 27 December 2020. https://china-cee.eu/2020/12/27/romania-economy-briefing-overview-of-social- developments-in-2020-evolutions-leading-to-higher-social-inequalities/
Inequality in Romania remains one of the highest in the industrialized world. In 2020, Romania’s Gini coefficient of income inequality stood at 35.0 – the median figure for advanced economies was 30.3. 20% of the poorest households accounted for 5.7% of Romania’s total income. Despite the state’s attempts to strengthen employment and job protection, the government failed to cushion the negative impact of the pandemic, underscoring Romania’s already weak social safety net. The government offered less than a 20% coverage rate for unemployment benefits, while the OECD average stood at 60%. Furthermore, the statutory replacement rate stood at less than 10%, less than half the OECD’s average of 20%. While low-income earners in Romania remain the least affected by the pandemic in the European Union, middle-income earners were the most affected. The education system suffered a severe hit with the start of the pandemic, raising the problem of quality in educational services offered to the children and the issue of equal opportunities in education, as there are large gaps between urban and rural areas with regard to IT endowment, and digital skills among teachers and pupils.
In response to Romania’s large at-risk of poverty and social exclusion population, the government has attempted to tackle issues of affordability. For instance, in 2020, in spite of warnings by the IMF and European Commission of increasing the deficit, the state increased pensions by 40%. While past increases to pensions were made, they were implemented along regional and socioeconomic lines, perpetuating social disparities. Shortly afterward, the government voted in favor of a minimum package of basic healthcare, education and social protection services, guaranteeing free access for all children in rural areas, hoping to tackle the rural-urban divide. The actions taken by the Romanian government are only a small step in the right direction. UNICEF has warned that in the context of the COVID-19 pandemic, “already existing vulnerabilities could exacerbate pre-existing risks, such as limited access to social services, inequalities in access to education, poverty due to the traffic limitation which reduced the income of the families.” The impetus lies in the governing parties, who have so far failed to find a consensus on how best to tackle the issue of inequality.
Citations:
Eurostat. “Living conditions in Europe – poverty and social exclusion.” Eurostat, October 2021. https://static.poder360.com.br/2021/10/eurostat-pobreza-na-UE-out-2021.pdf
Eurostat. “One in five people in the EU at risk of poverty or social exclusion.” Eurostat, 15 October 2021. https://ec.europa.eu/eurostat/web/products-eurostat-news/-/edn-20211015-1
Marica, Irina. “Save the Children: Over 1.5 mln children in Romania were at risk of poverty or social exclusion in 2020.” Romanian Insider, 29 October 2021. https://www.romania-insider.com/save-children-poverty-romania-report
OECD. “ECONOMIC POLICY REFORMS 2021: GOING FOR GROWTH: ROMANIA.” OECD, 2021. https://www.oecd.org/economy/growth/Romania-country-note-going-for-growth-2021.pdf
Popovici, Oana Cristina. “Romania social briefing: Overview of social developments in 2020: evolutions leading to higher social inequalities.” China-CEE Institute, 27 December 2020. https://china-cee.eu/2020/12/27/romania-economy-briefing-overview-of-social- developments-in-2020-evolutions-leading-to-higher-social-inequalities/
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To what extent do health care policies provide high-quality, inclusive and cost-efficient health care?
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9
9
Health care policy achieves the criteria fully.
8
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6
7
6
Health care policy achieves the criteria largely.
5
4
3
4
3
Health care policy achieves the criteria partly.
2
1
1
Health care policy does not achieve the criteria at all.
Romania is an upper-middle-income country with an ever-decreasing population, due to low fertility and high mortality, as well as high levels of migration. This has resulted in a relatively old demographic and an old-age dependency ratio – those over the age of 65 – of 27%. The life expectancy of Romanians (73 years) in 2021 remained below the EU average (81 years). Moreover, there is a gap in the quality of healthcare provision between urban versus rural areas. In rural areas, the mortality rate is 15.4 per 1,000 individuals, compared to 11.7 per 1,000 individuals in urban areas. For Romanian women, breast and cervical cancer cause the highest mortality rates for those aged between 15 and 49, with cervical cancer in Romania being at the highest rate in the region. Romanian public maternity wards have been accused of having a high degree of “obstetric violence, or the use of procedures that are not medically necessary (e.g., C-sections and episiotomies), and verbal and emotional abuse is prevalent. Furthermore, the rate of amenable mortality in Romania is the highest in the European Union for women and the third highest for men.
As a result of the Romanian government’s handling of its healthcare woes, opportunities to improve health outcomes through the provision of essential services and public health interventions are pivotal for the improvement of the state healthcare system. Improvements in screening for cervical cancer (25%) can be made to catch up to the EU average (60%); measles vaccination rates (87%) trail the European Union’s rate by 10 percentage points and the number of primary healthcare (PHC) contacts per person remains well below the EU average. More importantly, however, preventing flight in medical professionals to other EU member states remains a problem. There is an exodus of medical personnel, who head for employment elsewhere in the European Union, where they are offered better facilities and higher pay.
According to some doctors, almost 90% of the hospital budget is used to cover the salaries of the medical personnel, which increased in an effort to prevent brain drain. But this led to hospitals being unable to offer basic medication to patients, who need to cover it from their personal pocket. The funding allocation is not sustainable and did not result in the provision of cost-efficient healthcare.
As it pertains to coverage, the National Health Strategy 2014–2020 and the accompanying Action Plan 2014–2020 attempts to align Romania with the WHO’s Regional Office for Europe and the European Commission to 1) improve public health and reduce the burden of non-communicable diseases; 2) ensure access to quality and cost-effective health services; and 3) cut the costs of healthcare systems, maintaining efficient ordinances. Under the present circumstances, however, the lack of furthering healthcare coverage has worsened the situation in Romania. Despite attempts by the government to improve the provision of public healthcare, most citizens avoid the program offered by the state, instead choosing to enroll in the private healthcare system. Despite more confidence in the private healthcare system, it also remains under fire for poor service provision, complex coverage plans and costly premiums. Consequently, Romania continues to struggle with high mortality rates in preventable or treatable diseases, such as diabetes, cardiovascular diseases, cancer, tuberculosis and hepatitis.
During the early months of the COVID-19 pandemic, the crisis completely congested the Romanian healthcare system. As a result, Romania activated a €400 million loan from the World Bank to help prevent and respond to the ramifications of the pandemic. Still, in late 2020, all 2,000 intensive care beds were occupied, and 50 critically ill patients had to be transferred to hospitals in Hungary and Poland. Much of the failure in curbing the rise in coronavirus cases is directly correlated to the low vaccination rate in Romania, standing at 30% – significantly lower than the EU average. Then Prime Minister Florin Citu’s decision to relax restrictions was hugely popular in June, but this accentuated the stresses on the healthcare system, resulting in 15,000 daily cases in late 2021. Thus, the combination of a relaxed vaccination program and a laissez-faire approach to lockdowns by the government, worsened by the decision to sell “unwanted vaccines,” has set Romania on a trajectory toward a healthcare crisis.
Citations:
Ciobanu, Ana (2019): Program Information Document (PID) – Romania Health Program for Results. The World Bank. https://documents1.worldbank.org/curated/en/396201556114487379/pdf/Concept-Stage-Program-Information-Document-PID-Romania-Health-Program-for-Results-P169927.pdf
ExpatFocus. “What Quality Of Healthcare Can You Expect In Romania?” ExpatFocus, January 2022. https://www.expatfocus.com/romania/health/what-quality-of-healthcare-can-you-expect-in-romania/?gclid=Cj0KCQiA2sqOBhCGARIsAPuPK0gq6IPPaPhA4vR3jMurBt14PpbKsyeM5G Lmg3PqRm_TTci1KE8tmAcaAgXZEALw_wcB
Smithies, Kym and Ana Catauta. “Euro 400 Million to Romania to Combat the Human and Economic Impacts of the Coronavirus Pandemic.” The World Bank, 2 April 2020. https://www.worldbank.org/en/news/press-release/2020/04/02/euro-400-million-to-romania-to-combat-the-human-and-economic-impacts-of-the-coronavirus-pandemic
Thrope, Nick. “Covid: Romania’s health system torn apart by pandemic.” BBC, 23 October 2021. https://www.bbc.com/news/world-europe-58992090
https://www.banatulazi.ro/un-celebr u-chirurg-banatean-lanseaza-un-atac -dur-la-adresa-propriilor-colegi-e- multa-spaga-aroganta-si-salarii-uri ase-in-sistem/?fbclid=IwAR1D3Pf-PlH qlH8ltmm9hLVliV3Ig6UN2aqZ4L5m7RQof9 OyjzEmgzKn3IM
https://ec.europa.eu/eurostat/databrowser/view/demo_mlexpec/default/table?lang=en
As a result of the Romanian government’s handling of its healthcare woes, opportunities to improve health outcomes through the provision of essential services and public health interventions are pivotal for the improvement of the state healthcare system. Improvements in screening for cervical cancer (25%) can be made to catch up to the EU average (60%); measles vaccination rates (87%) trail the European Union’s rate by 10 percentage points and the number of primary healthcare (PHC) contacts per person remains well below the EU average. More importantly, however, preventing flight in medical professionals to other EU member states remains a problem. There is an exodus of medical personnel, who head for employment elsewhere in the European Union, where they are offered better facilities and higher pay.
According to some doctors, almost 90% of the hospital budget is used to cover the salaries of the medical personnel, which increased in an effort to prevent brain drain. But this led to hospitals being unable to offer basic medication to patients, who need to cover it from their personal pocket. The funding allocation is not sustainable and did not result in the provision of cost-efficient healthcare.
As it pertains to coverage, the National Health Strategy 2014–2020 and the accompanying Action Plan 2014–2020 attempts to align Romania with the WHO’s Regional Office for Europe and the European Commission to 1) improve public health and reduce the burden of non-communicable diseases; 2) ensure access to quality and cost-effective health services; and 3) cut the costs of healthcare systems, maintaining efficient ordinances. Under the present circumstances, however, the lack of furthering healthcare coverage has worsened the situation in Romania. Despite attempts by the government to improve the provision of public healthcare, most citizens avoid the program offered by the state, instead choosing to enroll in the private healthcare system. Despite more confidence in the private healthcare system, it also remains under fire for poor service provision, complex coverage plans and costly premiums. Consequently, Romania continues to struggle with high mortality rates in preventable or treatable diseases, such as diabetes, cardiovascular diseases, cancer, tuberculosis and hepatitis.
During the early months of the COVID-19 pandemic, the crisis completely congested the Romanian healthcare system. As a result, Romania activated a €400 million loan from the World Bank to help prevent and respond to the ramifications of the pandemic. Still, in late 2020, all 2,000 intensive care beds were occupied, and 50 critically ill patients had to be transferred to hospitals in Hungary and Poland. Much of the failure in curbing the rise in coronavirus cases is directly correlated to the low vaccination rate in Romania, standing at 30% – significantly lower than the EU average. Then Prime Minister Florin Citu’s decision to relax restrictions was hugely popular in June, but this accentuated the stresses on the healthcare system, resulting in 15,000 daily cases in late 2021. Thus, the combination of a relaxed vaccination program and a laissez-faire approach to lockdowns by the government, worsened by the decision to sell “unwanted vaccines,” has set Romania on a trajectory toward a healthcare crisis.
Citations:
Ciobanu, Ana (2019): Program Information Document (PID) – Romania Health Program for Results. The World Bank. https://documents1.worldbank.org/curated/en/396201556114487379/pdf/Concept-Stage-Program-Information-Document-PID-Romania-Health-Program-for-Results-P169927.pdf
ExpatFocus. “What Quality Of Healthcare Can You Expect In Romania?” ExpatFocus, January 2022. https://www.expatfocus.com/romania/health/what-quality-of-healthcare-can-you-expect-in-romania/?gclid=Cj0KCQiA2sqOBhCGARIsAPuPK0gq6IPPaPhA4vR3jMurBt14PpbKsyeM5G Lmg3PqRm_TTci1KE8tmAcaAgXZEALw_wcB
Smithies, Kym and Ana Catauta. “Euro 400 Million to Romania to Combat the Human and Economic Impacts of the Coronavirus Pandemic.” The World Bank, 2 April 2020. https://www.worldbank.org/en/news/press-release/2020/04/02/euro-400-million-to-romania-to-combat-the-human-and-economic-impacts-of-the-coronavirus-pandemic
Thrope, Nick. “Covid: Romania’s health system torn apart by pandemic.” BBC, 23 October 2021. https://www.bbc.com/news/world-europe-58992090
https://www.banatulazi.ro/un-celebr u-chirurg-banatean-lanseaza-un-atac -dur-la-adresa-propriilor-colegi-e- multa-spaga-aroganta-si-salarii-uri ase-in-sistem/?fbclid=IwAR1D3Pf-PlH qlH8ltmm9hLVliV3Ig6UN2aqZ4L5m7RQof9 OyjzEmgzKn3IM
https://ec.europa.eu/eurostat/databrowser/view/demo_mlexpec/default/table?lang=en
Graph View
To what extent do family support policies enable women to combine parenting with participation in the labor market?
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Family support policies effectively enable women to combine parenting with employment.
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6
7
6
Family support policies provide some support for women who want to combine parenting and employment.
5
4
3
4
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Family support policies provide only few opportunities for women who want to combine parenting and employment.
2
1
1
Family support policies force most women to opt for either parenting or employment.
Parental leave in Romania is an exemplary feat and a model for most developed economies. A report by the OECD and European Union on the quality of leave ranks Romania’s program as second, as it pertains to entitlement. The current plan offers 92 weeks of full pay and the longest leave reserved for fathers. The benefit amounts to 85% of the mean monthly gross income obtained in the last six months before maternity leave begins and considers the mother’s previous breaks from employment. Maternity benefits are not taxed and are funded by the national budget for social health insurance and are only given to residents that contribute to the social security system, irrespective of their occupational status. Paternity benefits are limited to a maximum of 15 days with 100% of earnings covered. Parental leave is permitted, prior to the child turning two years old, with each parent having 12 months of paid leave available at 85% coverage, or no less than €258.71 and no more than €1,759.29 a month. Since LGBTQ marriage or adoptions are not legally recognized in Romania, there is no provision for same-sex parents.
As it pertains to a child’s (aged 3–5) access to benefits, such as childhood education or care, Romania ranks toward the bottom of OECD and EU lists. As it pertains to the affordability of childcare, Romania ranks in the middle-third of the list. According to the report, parents in Romania rely on informal care, or care provided without remuneration by relatives, friends or neighbors. Romania’s participation rates of young children in childcare illustrate shortcomings in both the quality and quantity of these services, but also the lack of funding of said programs and a lack of services – both setbacks accentuated by the pandemic.
As in most EU member states, employment rates for women in Romania are lower than those for men. A report by MDPI found that the gender split in the Romanian workforce is wide, with only 23.7% of women participating in the pandemic workforce, while 76.3% are male. Moreover, 87% of the population that is looking for work or is unemployed are women, while only 13% are men.
A recurring hindrance for women in the workforce, both for those participating and wanting to enter it, is harassment. In Romania, 30% of women (44% of all Romanians) say they have been affected by physical or sexual violence – 12% of victims say that they experience such behaviors constantly. Only 21% said they went to superiors, while another 20% preferred to keep quiet and endure the situation. Most concerning, however, is that 30% of respondents found that once they confronted the aggressor, their situation got worse. That is because 35% found their superiors or employers to be the ones sexually harassing them. In 2019, 20,000 women were physically assaulted by a domestic partner and 44 died. The COVID-19 pandemic has increased the need for prevention and support services for victims of violence. By March 2020, the number of domestic violence offenses had increased by 2.3% from 2019. The existing measures to combat violence against women are still insufficient. In 2019, police were finally given the power to issue restraining orders on the spot, but 36% of restraining orders were still broken in 2019. When women complain about or report violations of restraining orders to the authorities, they are often met with suspicion, doubt and victim-blaming.
Citations:
Macht, Alexandra and Raluca Popescu. “International Review of Leave Policies and Research 2020: Romania.” LeaveNetwork, 23 April 2020. https://www.leavenetwork.org/fileadmin/user_upload/k_leavenetwork/country_notes/ 2020/PMedited.Romania.with_suplement.1sept2020.pdf
Carmen Valentina Radulescu et al. “Impact of the COVID-19 Pandemic on the Romanian Labor Market.” MDPI, 26 November 2020. https://www.mdpi.com/2071-1050/13/1/271
Ciobanu, Ana Maria. “Girls Gone Running: Taking on Street Harassment in Romania.” European Green Journal, 25 March 2021. https://www.greeneuropeanjournal.eu/girls-gone-running-taking-on-street-harassment-in-romania/
Romania-Insider. “Study: Workplace sexual harassment, quite common in Romania.” Romania-Insider, 20 February 2019. https://www.romania-insider.com/study-workplace-sexual-harassment
UNICEF. “Childcare in high-income countries report: Romania ranks high on maternity leave, but low on early childhood education and care access.” UNICEF, 18 June 2021. https://www.unicef.org/romania/press-releases/childcare-high-income-countries-report-romania-ranks-high-maternity-leave-low-early
As it pertains to a child’s (aged 3–5) access to benefits, such as childhood education or care, Romania ranks toward the bottom of OECD and EU lists. As it pertains to the affordability of childcare, Romania ranks in the middle-third of the list. According to the report, parents in Romania rely on informal care, or care provided without remuneration by relatives, friends or neighbors. Romania’s participation rates of young children in childcare illustrate shortcomings in both the quality and quantity of these services, but also the lack of funding of said programs and a lack of services – both setbacks accentuated by the pandemic.
As in most EU member states, employment rates for women in Romania are lower than those for men. A report by MDPI found that the gender split in the Romanian workforce is wide, with only 23.7% of women participating in the pandemic workforce, while 76.3% are male. Moreover, 87% of the population that is looking for work or is unemployed are women, while only 13% are men.
A recurring hindrance for women in the workforce, both for those participating and wanting to enter it, is harassment. In Romania, 30% of women (44% of all Romanians) say they have been affected by physical or sexual violence – 12% of victims say that they experience such behaviors constantly. Only 21% said they went to superiors, while another 20% preferred to keep quiet and endure the situation. Most concerning, however, is that 30% of respondents found that once they confronted the aggressor, their situation got worse. That is because 35% found their superiors or employers to be the ones sexually harassing them. In 2019, 20,000 women were physically assaulted by a domestic partner and 44 died. The COVID-19 pandemic has increased the need for prevention and support services for victims of violence. By March 2020, the number of domestic violence offenses had increased by 2.3% from 2019. The existing measures to combat violence against women are still insufficient. In 2019, police were finally given the power to issue restraining orders on the spot, but 36% of restraining orders were still broken in 2019. When women complain about or report violations of restraining orders to the authorities, they are often met with suspicion, doubt and victim-blaming.
Citations:
Macht, Alexandra and Raluca Popescu. “International Review of Leave Policies and Research 2020: Romania.” LeaveNetwork, 23 April 2020. https://www.leavenetwork.org/fileadmin/user_upload/k_leavenetwork/country_notes/ 2020/PMedited.Romania.with_suplement.1sept2020.pdf
Carmen Valentina Radulescu et al. “Impact of the COVID-19 Pandemic on the Romanian Labor Market.” MDPI, 26 November 2020. https://www.mdpi.com/2071-1050/13/1/271
Ciobanu, Ana Maria. “Girls Gone Running: Taking on Street Harassment in Romania.” European Green Journal, 25 March 2021. https://www.greeneuropeanjournal.eu/girls-gone-running-taking-on-street-harassment-in-romania/
Romania-Insider. “Study: Workplace sexual harassment, quite common in Romania.” Romania-Insider, 20 February 2019. https://www.romania-insider.com/study-workplace-sexual-harassment
UNICEF. “Childcare in high-income countries report: Romania ranks high on maternity leave, but low on early childhood education and care access.” UNICEF, 18 June 2021. https://www.unicef.org/romania/press-releases/childcare-high-income-countries-report-romania-ranks-high-maternity-leave-low-early
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To what extent does pension policy realize goals of poverty prevention, intergenerational equity and fiscal sustainability?
10
9
9
Pension policy achieves the objectives fully.
8
7
6
7
6
Pension policy achieves the objectives largely.
5
4
3
4
3
Pension policy achieves the objectives partly.
2
1
1
Pension policy does not achieve the objectives at all.
The national pension system of Romania consists of three pillars. Pillar I, the mandatory public pension, is a pay-as-you-earn scheme administered by the state and includes old-age, early retirement, partial early retirement, disability, and survivor pensions. Pillar II, the mandatory private pension scheme was introduced in 2007, is a defined contribution scheme, with a minimum investment guarantee, based on individual accounts. Pillar III, the voluntary private pension scheme was introduced in 2007, is a defined contribution scheme with voluntary participation, based on individual accounts.
A pension reform law, adopted in 2019, aimed to improve pension adequacy, replacement rates and the ratio of average pensions to average wages. The law included a recalculation of existing pensions and changes to the indexation formula. Starting in 2018, participants who have contributed for at least five years to the pillar II pension scheme can opt to transfer to pillar I. However, very few participants have opted-in to the public pension plan. As it pertains to the effects of the COVID-19 pandemic, no effect is more apparent than the loss of pension participants in pillar II. From August 2019 to 2020, the number of active pensioners in pillar II dropped by 400,000. In 2021, however, pillar II funds continued a nine-month growth rate, reaching €15.7 billion.
The PNL government approved an emergency ordinance reducing the size of September’s legislated pension increase alongside a second 2020 budget revision in August 2020. It had previously hinted at this approach to address deteriorating public finances due to Romania’s weak starting position, the coronavirus shock and the elections that were held in December 2020. Nevertheless, the PNL government passed a 14% pension hike, as opposed to the 40% promised by the PSD opposition, which was nevertheless the largest in the country’s history. Global ratings agencies and international organizations (e.g., the European Union and the IMF) repeatedly warned against the 40% increase projected by the former PSD government, which was ousted in a no-confidence vote in October 2019, and welcomed the PNL-led government’s decision to cap the pensions’ hike.
Citations:
Barberá, Marcel Gascón. “Romania MPs Undermine Austerity Drive With Huge Pension Hike.” Balkan Insight, 23 September 2020. https://balkaninsight.com/2020/09/23/romania-mps-undermine-austerity-drive-with-huge-pension-hike/
Chirileasa, Andrei. “RO mandatory pension funds’s assets rise by 21% in 2020.” Romania-Insider, 18 January 2021. https://www.romania-insider.com/ro-mandatory-pension-funds-jan-2021
Salazar, Federico Barriga, Paul Gamble and Mark Brown. “Romanian Pensions and Politics are Key to Fiscal Prospects.” Fitch Ratings, 25 August 2020. https://www.fitchratings.com/research/sovereigns/romanian-pensions-politics-are-key- to-fiscal-prospects-25-08-2020
European Commission (2020): Country fiche on pension projections prepared for the Economic Policy Committee. Europa.eu. https://ec.europa.eu/info/sites/default/files/economy-finance/ro_-_ar_2021_final_pension_fiche.pdf
OECD (2022): OECD Economic Surveys: Romania, Paris: OECD, https://www.oecd.org/countries/romania/oecd-economic-surveys-romania-2022-e21746 06-en.htm
A pension reform law, adopted in 2019, aimed to improve pension adequacy, replacement rates and the ratio of average pensions to average wages. The law included a recalculation of existing pensions and changes to the indexation formula. Starting in 2018, participants who have contributed for at least five years to the pillar II pension scheme can opt to transfer to pillar I. However, very few participants have opted-in to the public pension plan. As it pertains to the effects of the COVID-19 pandemic, no effect is more apparent than the loss of pension participants in pillar II. From August 2019 to 2020, the number of active pensioners in pillar II dropped by 400,000. In 2021, however, pillar II funds continued a nine-month growth rate, reaching €15.7 billion.
The PNL government approved an emergency ordinance reducing the size of September’s legislated pension increase alongside a second 2020 budget revision in August 2020. It had previously hinted at this approach to address deteriorating public finances due to Romania’s weak starting position, the coronavirus shock and the elections that were held in December 2020. Nevertheless, the PNL government passed a 14% pension hike, as opposed to the 40% promised by the PSD opposition, which was nevertheless the largest in the country’s history. Global ratings agencies and international organizations (e.g., the European Union and the IMF) repeatedly warned against the 40% increase projected by the former PSD government, which was ousted in a no-confidence vote in October 2019, and welcomed the PNL-led government’s decision to cap the pensions’ hike.
Citations:
Barberá, Marcel Gascón. “Romania MPs Undermine Austerity Drive With Huge Pension Hike.” Balkan Insight, 23 September 2020. https://balkaninsight.com/2020/09/23/romania-mps-undermine-austerity-drive-with-huge-pension-hike/
Chirileasa, Andrei. “RO mandatory pension funds’s assets rise by 21% in 2020.” Romania-Insider, 18 January 2021. https://www.romania-insider.com/ro-mandatory-pension-funds-jan-2021
Salazar, Federico Barriga, Paul Gamble and Mark Brown. “Romanian Pensions and Politics are Key to Fiscal Prospects.” Fitch Ratings, 25 August 2020. https://www.fitchratings.com/research/sovereigns/romanian-pensions-politics-are-key- to-fiscal-prospects-25-08-2020
European Commission (2020): Country fiche on pension projections prepared for the Economic Policy Committee. Europa.eu. https://ec.europa.eu/info/sites/default/files/economy-finance/ro_-_ar_2021_final_pension_fiche.pdf
OECD (2022): OECD Economic Surveys: Romania, Paris: OECD, https://www.oecd.org/countries/romania/oecd-economic-surveys-romania-2022-e21746 06-en.htm
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How effectively do policies support the integration of migrants into society?
10
9
9
Cultural, education and social policies effectively support the integration of migrants into society.
8
7
6
7
6
Cultural, education and social policies seek to integrate migrants into society, but have failed to do so effectively.
5
4
3
4
3
Cultural, education and social policies do not focus on integrating migrants into society.
2
1
1
Cultural, education and social policies segregate migrant communities from the majority society.
Romania is a country of emigration and the presence of foreigners in the country is heavily concentrated in the main urban centers. Official statistics show no major fluctuations in recent years, but a steady increase in third-country nationals is apparent due to the increase in migrant workers. In August 2021, the government approved a new National Strategy for Immigration for 2021-2024.
Romania’s integration program targets the beneficiaries of international protection who possess either refugee or a subsidiary protection status. The program consists of a series of services offered in cooperation with public institutions, local communities and non-governmental organizations, all under the coordination of the General Inspectorate for Immigration. The program includes counseling services and support activities ensuring access to employment, housing, medical and social assistance, social security and education, and language courses and civic education, but not vocational training or labor market assistance – all of which is covered under government ordinance no. 44/2004. The program generally lasts for 12 months, and enrollment needs to start within 30 days of the date of granting protection. Enrollment offers certain benefits, such as non-reimbursable financial aid and housing at the government’s reception facilities for asylum-seekers for a limited period of 12 months, which is available to low-income refugees.
Citations:
European Commission. “Governance of migrant integration in Romania.” European Website on Integration. Accessed 18 December 2021. https://ec.europa.eu/migrant-integration/country-governance/governance/romania_en
https://legislatie.just.ro/Public/DetaliiDocumentAfis/245959
Romania’s integration program targets the beneficiaries of international protection who possess either refugee or a subsidiary protection status. The program consists of a series of services offered in cooperation with public institutions, local communities and non-governmental organizations, all under the coordination of the General Inspectorate for Immigration. The program includes counseling services and support activities ensuring access to employment, housing, medical and social assistance, social security and education, and language courses and civic education, but not vocational training or labor market assistance – all of which is covered under government ordinance no. 44/2004. The program generally lasts for 12 months, and enrollment needs to start within 30 days of the date of granting protection. Enrollment offers certain benefits, such as non-reimbursable financial aid and housing at the government’s reception facilities for asylum-seekers for a limited period of 12 months, which is available to low-income refugees.
Citations:
European Commission. “Governance of migrant integration in Romania.” European Website on Integration. Accessed 18 December 2021. https://ec.europa.eu/migrant-integration/country-governance/governance/romania_en
https://legislatie.just.ro/Public/DetaliiDocumentAfis/245959
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How effectively does internal security policy protect citizens against security risks?
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9
9
Internal security policy protects citizens against security risks very effectively.
8
7
6
7
6
Internal security policy protects citizens against security risks more or less effectively.
5
4
3
4
3
Internal security policy does not effectively protect citizens against security risks.
2
1
1
Internal security policy exacerbates the security risks.
The coronavirus lockdown has led to a drop in the overall crime rate in Romania, but domestic violence calls have increased. Romanian police data shows that, in March 2020, the number of reported crimes was 14.6% lower than the same period in 2019 – 20% fewer cases of thefts and robberies, a 27% drop in violent crime, and almost a third fewer cases of attempted murder. Much of the decline in overall crimes stems from the COVID-19 pandemic, and the restrictions and lockdowns that were implemented. However, while crime on the streets of Romania fell substantially, crimes in the home increased by 2.3%.
A European Commission report from October 2020 found that Romania had the highest rate for human trafficking in the European Union, at 74 victims per million inhabitants. Most of the victims were women who were subjected to sexual exploitation. NGOs consulted by the Council of Europe’s Group of Experts on Action Against Trafficking in Human Beings (GRETA) warned that official statistics are most likely to have been underreported, particularly “the scale of trafficking of foreign nationals” for their exploitation in Romania, which is believed to be “much larger than the limited number of identified foreign victims… suggest.” In turn, Romania’s Chamber of Deputies voted in favor of removing the statute of limitations for crimes ranging from human trafficking, forced labor and slavery to rape and the sexual abuse of minors. The legislative change coincides with the publication of a report by GRETA and EU standards on the prosecution of perpetrators of said offenses.
Citations:
Barberá, Marcel Gascón. “Romania Scraps Statute of Limitations for Human Trafficking.” Balkan Insight, 3 June 2021. https://balkaninsight.com/2021/06/03/romania-scraps-statute-of-limitations-for-human-trafficking/
Romania-Insider. “Coronavirus lockdown: Overall crime rate drops in Romania, but Police see an increase in domestic violence.” Romania-Insider, 15 April 2020. https://www.romania-insider.com/coronavirus-romania-crime-rate-march-2020.
A European Commission report from October 2020 found that Romania had the highest rate for human trafficking in the European Union, at 74 victims per million inhabitants. Most of the victims were women who were subjected to sexual exploitation. NGOs consulted by the Council of Europe’s Group of Experts on Action Against Trafficking in Human Beings (GRETA) warned that official statistics are most likely to have been underreported, particularly “the scale of trafficking of foreign nationals” for their exploitation in Romania, which is believed to be “much larger than the limited number of identified foreign victims… suggest.” In turn, Romania’s Chamber of Deputies voted in favor of removing the statute of limitations for crimes ranging from human trafficking, forced labor and slavery to rape and the sexual abuse of minors. The legislative change coincides with the publication of a report by GRETA and EU standards on the prosecution of perpetrators of said offenses.
Citations:
Barberá, Marcel Gascón. “Romania Scraps Statute of Limitations for Human Trafficking.” Balkan Insight, 3 June 2021. https://balkaninsight.com/2021/06/03/romania-scraps-statute-of-limitations-for-human-trafficking/
Romania-Insider. “Coronavirus lockdown: Overall crime rate drops in Romania, but Police see an increase in domestic violence.” Romania-Insider, 15 April 2020. https://www.romania-insider.com/coronavirus-romania-crime-rate-march-2020.
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To what extent does the government demonstrate an active and coherent commitment to promoting equal socioeconomic opportunities in low- and middle-income countries?
10
9
9
The government actively and coherently engages in international efforts to promote equal socioeconomic opportunities in low- and middle-income countries. It frequently demonstrates initiative and responsibility, and acts as an agenda-setter.
8
7
6
7
6
The government actively engages in international efforts to promote equal socioeconomic opportunities in low- and middle-income countries. However, some of its measures or policies lack coherence.
5
4
3
4
3
The government shows limited engagement in international efforts to promote equal socioeconomic opportunities in low- and middle-income countries. Many of its measures or policies lack coherence.
2
1
1
The government does not contribute (and often undermines) efforts to promote equal socioeconomic opportunities in low- and middle-income countries.
Romania’s development cooperation mainly focuses on countries in its vicinity – the Eastern Partnership (EaP) countries and Southern Neighbourhood. Romania’s volume of official development assistance (ODA) has steadily increased in recent years. In 2016, Romania established the legal framework for national development cooperation policy to regulate its programmatic and institutional structure, as well as associated financial and implementation regulations. Moreover, the Romanian Agency for International Development Cooperation (RoAid) became operational in 2018 and began implementing aid activities. In the context of the COVID-19 pandemic, Romania participated in multilateral initiatives addressing the global crisis, such as the United Nation’s Global Humanitarian Response Plan and the Team Europe initiative. Romania joined 13 EU member states to set up a support mechanism at the European level to facilitate access to COVID-19 vaccines for EaP countries. Romania has also supported its partner countries’ pandemic response in different areas (e.g., providing healthcare support to Moldova). Assistance is not limited to Europe, however, with funds reaching partner countries in Africa, the Middle East and Latin America. In 2020, Romania provided $305.5 million in official development assistance – a 17.5% increase from 2019.
Romania’s development cooperation is focused on the eradication of extreme poverty and global security by promoting socioeconomic sustainability and effectiveness through international cooperation. The Multiannual Strategic Program on International Development Cooperation and Humanitarian Assistance for the Period 2020–2023 establishes Romania’s objectives, which includes “the provision of humanitarian aid; cooperation with civil society and the private sector; promoting transparency and communication; and the strengthening of resources and the consolidation of the capacity of the Romanian Ministry of Foreign Affairs as the national coordinator in development cooperation and humanitarian assistance.” Romania’s priorities and interests include good governance, the rule of law, peace and security, sustainable economic development, education, and youth promotion.
Citations:
OECD. “Romania.” Development Co-operation Profiles. OECD. Accessed 2 January 2022. https://www.oecd-ilibrary.org/sites/dd728946-en/index.html?itemId=/content/component/dd728946-en
Romania’s development cooperation is focused on the eradication of extreme poverty and global security by promoting socioeconomic sustainability and effectiveness through international cooperation. The Multiannual Strategic Program on International Development Cooperation and Humanitarian Assistance for the Period 2020–2023 establishes Romania’s objectives, which includes “the provision of humanitarian aid; cooperation with civil society and the private sector; promoting transparency and communication; and the strengthening of resources and the consolidation of the capacity of the Romanian Ministry of Foreign Affairs as the national coordinator in development cooperation and humanitarian assistance.” Romania’s priorities and interests include good governance, the rule of law, peace and security, sustainable economic development, education, and youth promotion.
Citations:
OECD. “Romania.” Development Co-operation Profiles. OECD. Accessed 2 January 2022. https://www.oecd-ilibrary.org/sites/dd728946-en/index.html?itemId=/content/component/dd728946-en