The share of companies anticipating staff reduction this year increased to 11% in January 2025, from 2% in January 2024, according to the HR Barometer survey conducted by PwC Romania.
Although, overall, there are more employers (47%) who anticipate an increase in the number of employees, as well as stagnation (42%), the percentage of companies expecting staff reductions has significantly increased this year compared to the same period in 2024.
"Measures to increase taxation, taken by the government to reduce the budget deficit, such as the elimination of tax breaks for IT, agriculture, and construction, as well as the slowdown in national economic growth and that of other countries, have begun to change the dynamics of the labour market. In addition, the business environment is expecting new fiscal measures. As a result, companies are feeling increasing pressure on their budgets, which is reflected in the inability to compensate for the tax breaks eliminated by the state, reduced salary increases for this year, and even staff reductions," the study shows.
At the beginning of 2024, the Retail, FMCG, and Distribution sectors were the only ones reporting staff reductions of 14%, according to the HR Barometer. In January 2025, this sector continues to estimate a 17% reduction in staff for the year.
In 2025, other sectors also appeared in the survey, indicating plans for staff reductions. Thus, 45% of respondents in the IT and telecom sectors anticipate a reduction in the number of employees, and 7% foresee stagnation in their workforce, compared to last year when no employers in this sector estimated declines. Additionally, 81% of respondents anticipated growth, and 19% stagnation.
Also, compared to the HR Barometer from January 2024, when the majority of companies (92%) in the pharmaceutical sector expected growth and the remaining 8% anticipated stagnation, the survey at the beginning of this year shows that 22% of companies in the pharmaceutical sector estimate a decrease in staff numbers. Staff reductions are also anticipated in the automotive industry (22%), manufacturing (15%), and financial services (13%).
Regarding salary budgets, the general market estimated salary increases of 7.3% in 2025, compared to the previous year when the increase was 11.6%. Most salary increases are influenced by the individual performance of the employee, followed by company performance and market evolution. Only one in four employers adjusts salaries or grants bonuses to reflect inflation or the rising cost of living.
The HR Barometer survey was conducted by PwC Romania between January 14 and 20, 2025, based on information provided by 130 participating companies from IT and Telecom (22%), outsourced services (17%), financial services (12%), industrial products (10%), consumer goods, distribution (9%), retail (9%), pharmaceuticals (7%), automotive (7%), and construction (2%).