Romanian court rejects plan to raise judges' retirement age

By Luiza Ilie

bucharesti -Romania's top out margaret court struck shoot down on mon a government plan to raise the retirement age for judges and prosecutors and cap their pensions, pressuring the months-old broad ruling coalition as it tries to curb the EU's biggest budget deficit. 

The Constitutional Court rejected, by five votes to four, proposals to raise retirement in the judiciary to 65 from around 50 at present and cap pensions at 70% of final salary. 

Judges and prosecutors have monthly pensions of up to 5,000 euros versus the Romanian average of 600 euros.

In a later statement the court said the rejection was on technical grounds, as the government had not waited 30 days for a nonbinding notice from magistrates before approving the law.

Although the rejection was not in principle, the hard-right opposition Alliance for Uniting Romanians called for the resignation of liberal Prime Minister Ilie Bolojan. 

Both Bolojan and centrist President Nicusor Dan said the government will approve the law again incorporating the court's argument.

"Nowhere in the world does one retire at 48-50 with a pension as big as the last wage," Bolojan said in a statement on Facebook. "These are not political aspects, these are privileges which are unbearable socially and for the budget."

Bolojan's government raised some taxes in August to boost revenue and enforced minor cuts to state spending.

Those measures were enough for Romania to cling to its credit rating on the last rung of investment grade, but they came at a steep cost, triggering public-sector protests, fuelling inflation and bolstering the hard right in opinion polls.

DEFICIT-REDUCTION MEASURES

In September, the government fast-tracked through parliament a second package of spending cuts aimed at eliminating what Bolojan called unjust privileges for a few in the public sector.

The package included some tax hikes starting in 2026, healthcare reform, raising the judiciary retirement age, job cuts and wage curbs for regulators of financial, energy, telecoms and state-owned firms.

The measures, part of wider efforts to reduce the deficit towards 6% of economic output next year from more than 9% in 2024, have all been challenged at the Constitutional Court.

The court endorsed all the other measures. Judicial pension reform is a requirement for Romania to access EU recovery and resilience funds.

Bolojan has said his government would lack legitimacy should the top court oppose the measures, though he later said he was focused on governing rather than considering his resignation. 

This article was generated from an automated news agency feed without modifications to text.

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