The government estimates it will save RON954.4 million by making public sector employees take days off without pay, reorganizing government agencies and limiting cases when retired public sector employees may continue to work in the system. However, savings estimated for future years from applying these measures are lower.
Thus, the financial impact of the law on the consolidated general budget for 2010 is negative at minus RON207.5 million, followed by a plus of RON15.9 million in 2011.
The government estimates additional budget resources of RON132.1 million in 2012 and of RON139.1 million in 2013. The average for the five years (2009-2013) is positive, at RON206.8 million.
The government based its estimates on a RON617.2 million reduction in consolidated budget revenues coupled with a RON1.5 billion cut in staff spending.
Staff spending in the public sector is set to decrease by RON1.5 billion in 2009, RON218.8 million in 2010, RON228.8 million in 2011, RON240.7 million in 2012 and RON253.8 million in 2013, resulting in a five-year average of minus RON502.8 million.
Decreased revenues to the general consolidated budget will result from decreased income tax collections (minus RON152.7 million) and social security contributions (minus RON464.5 million).
Revenues to the general consolidated budget resulted from the law are also seen over the next years, with decreases of RON426.2 million in 2010, RON212.9 million in 2011, RON108.7 million in 2012 and RON114.8 million in 2013, coming to a five-year average of minus RON296 million.