Labour market and social policies in Romania

Romania, one of the poorest nations in Europe, faces critical challenges in its efforts to implement labour market and social programmes similar to those found in more developed countries. Poverty is widespread and the economy requires major restructuring while a substantial number of households still depend on subsistence farming and other informal economic activities for survival. Increasing expenditures on social insurance is not a viable option as Romania already charges some of the highest payroll contribution rates in the world. What role can and should labour market and social policies