Salaries in the Romanian private sector have grown by 5% on average in the first nine months
Salaries in the Romanian private sector rose 5% on average, and bonuses offered by employers rose 12% between January and September 2017, compared to the same period in 2016, according to the Smartree Workforce Index.
The rise in wages was mainly driven by the increase in the gross minimum wage at the beginning of the year.
The distribution of growth was uneven in the three quarters, with an average increase of 12% in the first quarter of the year compared to the same period last year, 2% in the second quarter and the maintenance of average wage values in the third quarter.
In the third quarter, although wages remained constant, bonuses increased by 9% compared to the same period in 2016, which means higher incomes for Romanian employees.
In the first nine months of 2017, the value of bonuses offered by companies increased by 12%. This has also been seen in the positive evolution of the well-being index, which increased by the same percentage value.
"The Smartree Workforce Index data show a positive market-wide trend over the first nine months of the year. Of course, we have identified differentiated developments of the indicators analyzed over the period. These are due to various factors, from the implementation of some legislative changes, to the implementation of specific organizational programs. An example of this would be bonus programs. Thus, we see how more and more companies reward in real-time, in the form of bonuses, the activity of the employees in order to retain them, but also to motivate them to be as efficient as possible at the workplace," said Adrian Stanciu, CEO Smartree (photo).
The number of new employees increased by 13 percent
Also, the number of new employees increased, on average, by 13% over this period, amid a favorable macroeconomic framework and the economic growth registered in the first part of the year. The distribution over the three quarters shows increases of over 10% in the number of new hires per quarter.
According to Smartree data, the industries that hired the most are in the fields of pharma, medical equipment, telecommunications, software development and automotive components.
"The dynamics of the labor market has been the same in the third quarter of the year, even though this has coincided with the holiday period. Employers continued to recruit massively, and the increase in employment over this period is part of a positive job prognosis for the coming period. In other words, employers in Romania will increase the number of employees as part of their organizational development plans," added Adrian Stanciu.
At the level of the analyzed companies, the state of the economy, including the evolution of the number of employees and the evolution of salaries, increased by 10% in the first nine months of the year.
The Smartree index also takes into account the situation of both holidays and medical leave, the two indicators that influence the well-being of employees. The number of days of rest leave evolved in the first nine months of 2017 by 5% compared to the similar period in 2016, while the number of days of sick leave taken by employees increased by 3%.
To accomplish the Smartree Workforce Index, a tool that provides a synthesis of the evolution of recruitment, wage growth and employee well-being, were taken into account over 200 companies that are active in various private industries and run on average over 2,5 billion euros.
Smartree is one of the main players in Romania in the outsourcing of HR processes. The company processes 600,000 employees annually and has over 180 clients, mostly multinational companies, as well as companies with integral Romanian capital.