“Breaking the Silence: How Salary Transparency is Reshaping Romania’s Job Market”

by Sorina Faier, Editor Nine O’Clock

In Romania, salary transparency is becoming increasingly important for job seekers and plays a significant role in their decision-making process when exploring career opportunities. Salary discussions are no longer considered taboo, and many candidates expect to have a clear understanding of the compensation package from the first interview. For Romanian professionals, salary is often one of the most important factors when evaluating job offers, alongside work-life balance, job stability, and growth opportunities.

Many Romanian candidates feel that knowing the salary range early in the recruitment process not only saves time but also ensures a more honest and open dialogue between them and potential employers. The lack of clarity regarding compensation can lead to frustrations, with some candidates even choosing to drop out of the recruitment process if salary expectations are not addressed early. For this reason, more and more job seekers expect salary ranges to be disclosed in job postings or discussed transparently during the first interview.

In recent years, the number of companies in Romania that disclose salary information has increased significantly. Currently, approximately 40% of job postings include salary details. This change has been driven not only by the expectations of candidates but also by the European Union’s Directive 2023/970, which mandates employers to provide salary ranges for advertised positions. This regulation aims to promote equal pay and transparency across the European labor market, including Romania. Employers who fail to comply with this directive risk damaging their employer brand and facing difficulties in attracting top talent.

While salary transparency is becoming more common across the country, the degree of openness varies depending on the region and industry. In major cities such as Bucharest, Cluj-Napoca, Timișoara, and Iași, where the job market is more competitive and international companies are prevalent, salary transparency is more widespread. Multinational companies, tech firms, and organizations in the outsourcing and shared services sectors are among the most transparent when it comes to salary disclosure. In contrast, smaller companies and those in more traditional industries may still hesitate to share compensation details upfront.

Job platforms like eJobs, BestJobs, and LinkedIn have also contributed to promoting salary transparency by encouraging employers to include salary ranges in job postings. These platforms often highlight job ads that disclose salaries, making them more attractive to potential candidates. As a result, companies that choose to be more transparent about compensation not only attract more applicants but also demonstrate a commitment to fair hiring practices.

Overall, the importance of salary transparency in Romania continues to grow, reflecting broader trends in the European labor market. Romanian candidates increasingly view salary disclosure as a sign of respect and professionalism, while employers who embrace this approach are more likely to build trust and attract qualified talent. As regulations and candidate expectations evolve, it is likely that salary transparency will become the norm rather than the exception in the Romanian job market.

Salary transparency is gaining momentum worldwide, with several countries leading efforts to promote fair pay and reduce wage disparities.

Nordic countries like Sweden, Norway, and Finland are known for their openness, with individual income information publicly accessible. This cultural commitment promotes trust and helps address pay gaps.

In the United Kingdom, a growing number of job postings include salary details, while Austria mandates employers to disclose compensation in job ads, ensuring clear expectations for candidates.

Canada has introduced provincial pay transparency laws, such as Ontario’s protection for employees discussing wages. In the United States, states like California and New York require salary ranges in job postings.

The European Union’s Pay Transparency Directive further strengthens salary openness, requiring employers to disclose pay details early in recruitment.

Overall, countries like the Nordics, UK, Austria, Canada, the US, and EU are setting new standards for salary transparency, promoting fairness and equality.

Salary transparency varies across different organizational levels—top management, middle management, specialists, and blue-collar positions—due to regulatory requirements, industry practices, and cultural norms.

Top Management: Salaries for top executives are often publicly disclosed, especially in publicly traded companies, where regulations mandate transparency to inform shareholders and maintain accountability. This openness ensures executive compensation aligns with company performance and shareholder interests.

Middle Management: Transparency at the middle management level is less consistent. While some companies disclose salary ranges for these roles, many do not, creating information gaps. Middle managers often find themselves in a challenging position, managing compensation discussions without full visibility into their own pay scales.

Specialists: Salaries for specialists, such as engineers, IT professionals, and finance experts, vary in transparency depending on the industry. In competitive fields like tech and finance, salary ranges are more commonly disclosed to attract talent. However, in traditional industries, compensation details are less frequently shared.

Blue-Collar Positions: Blue-collar roles tend to have the highest salary transparency, especially in unionized environments where collective bargaining agreements establish clear wage scales. Job postings for these roles often include specific pay rates, ensuring clear expectations for prospective employees.

The diplomatic daily newspaper Nine O’Clock does not assume responsibility for the information received and published on the public website. The responsibility for the content lies solely with the issuer of the press release.

The diplomatic daily newspaper Nine O’Clock cannot be held accountable for false information transmitted by the recipients of the press releases/announcements.

The diplomatic daily newspaper Nine O’Clock reserves the right not to publish press releases that contain inappropriate expressions or accusations and violations of the rights of other individuals, guaranteed by the Constitution of Romania.

The content of the website www.nineoclock.ro is intended for public information. Copying, reproduction, recompilation, modification, as well as any form of content exploitation from this website are prohibited. The use of the Comments section signifies your agreement to abide by the terms and conditions regarding the publication of comments on www.nineoclock.ro.