BUCHAREST, Romania—An official says public wages in Romania, which were slashed by one-quarter in 2010, will be increased.
Mariana Campeanu, who has been named labor minister by Prime Minister-designate Victor Ponta, said Wednesday the salaries will increase 15 percent.
Romania took a euro20 billion ($26 billion) bailout loan from the International Monetary Fund, the European Union and the World Bank in 2009, when its economy shrank 7 percent.
To keep to the bailout agreement, the government cut public wages by 25 percent.
Last week, Mihai Razvan Ungureanu's government lost a no-confidence vote that reflected the unpopularity of austerity measures, and Parliament will vote on the new Cabinet on Monday