Finance

Romania seeks judicial pension reform again after first try thwarted

Published by Global Banking & Finance Review

Posted on December 2, 2025

2 min read

· Last updated: January 20, 2026

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Romania seeks judicial pension reform again after first try thwarted
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BUCHAREST, Dec 2 (Reuters) - Romania's government sought fast-track parliamentary approval on Tuesday for a bill raising the retirement age for judges and prosecutors and capping their pensions after

Romania Attempts Judicial Pension Reform After Setback

BUCHAREST, Dec 2 (Reuters) - Romania's government sought fast-track parliamentary approval on Tuesday for a bill raising the retirement age for judges and prosecutors and capping their pensions after the top court struck down its first attempt.

A second failure to pass the bill could weaken the fragile four-party ruling coalition which took power five months ago and wants to enact judicial pension reforms as a requirement for Romania to access EU recovery and resilience funds.

The government is facing strikes and strong opposition to spending cuts as it tries to lower the EU's highest budget deficit and keep Romania on the last rung of investment grade.

In October, the Constitutional Court narrowly rejected a move to raise retirement in the judiciary to 65 from around 50 at present, staggered over 10 years, and cap pensions at 70% of final salary.

Judges and prosecutors have monthly pensions of up to 5,000 euros ($5,831) versus the Romanian average of 600 euros.

On Tuesday, the government asked parliament to approve the law again, with the retirement age set to rise over 15 years. 

The bill includes a note from the magistrates' top regulatory body which had been missing the first time and was a technical reason for the top court to dismiss the changes. 

Fast-tracking bills in parliament means the measures can be approved without lengthy debate, though the opposition can file no-confidence motions within three days. 

The government would be widely expected to survive any potential no-confidence vote, but if approved, the bill will likely be challenged at the top court again. 

Romania's Constitutional Court has a track record of striking down moves to cut pensions.     

(Reporting by Luiza Ilie; Editing by Andrew Cawthorne)

Key Takeaways

  • Romania's government is pushing for judicial pension reform.
  • The reform is crucial for accessing EU recovery funds.
  • The Constitutional Court previously blocked the reform.
  • The bill proposes raising retirement age and capping pensions.
  • The ruling coalition faces pressure from opposition and strikes.

Frequently Asked Questions

What is a pension?
A pension is a regular payment made during a person's retirement from an investment fund that they contributed to during their working life.
What is retirement age?
Retirement age is the age at which a person is eligible to retire and receive pension benefits, often set by law or policy.
What are pension caps?
Pension caps are limits set on the amount of money that can be received as a pension, often based on a percentage of the final salary.
What is a fast-track legislative process?
A fast-track legislative process allows a bill to be approved more quickly than usual, often bypassing lengthy debates and procedures.

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