Parliament adopted the 2017 state social insurance budget law in the first reading. This provides for revenues of 16.4 billion lei, an increase of 1.4 billion lei or 9.8% on this year’s revenues. The state social insurance budget revenues for 2017 will represent 11.5% of the GDP, IPN reports.

Minister of Labor, Social Protection and Family Stela Grigoras said the spending is the highest for the social protection program as the pensions will be further indexed by 6.8% and the paternity benefit is introduced in the amount of 100% of the monthly insured average income. Also, the single child birth allowance is raised to 5,300 lei for each child and a monthly child support allowance up to the age of three is instituted for raising twins or more children born at the same time to the same mother.

Under the draft budget law, the total state social insurance contribution is maintained at 29% in 2017. Of this, 23% represent the contribution of the employer, while 6% the contribution of the employee.

“The social welfare in 2017 will come to 1.4 million lei for such social benefits as the single allowance for public functionaries in case of dismissal or retirement and the allowance for temporary incapacity for work,” said Stela Grigoras.

The MPs also adopted the bill to amend the 2016 state social insurance budget law in two readings, by a majority of votes, in order to specify the revenues and expenditure of the state social insurance budget.