USR proposes monthly rent support and reduced transport costs for young people with salaries up to 4,000 lei

Update

Bill: Financial support and reduced transport costs for young people with salaries under 4,000 lei

Uniunea Salvați Romania submitted on Thursday a bill introducing monthly financial support for rent, initiated by USR MPs Alin Stoica and Diana Stoica, together with parliamentarians from other parties, according to a press release transmitted by USR. The measure complements Law no. 76/2002 on the unemployment insurance system and employment incentives, aiming to reduce young people’s financial dependence on their families. ^[3]

The amount of support varies by locality: 600 lei/month for housing in Bucharest and Cluj-Napoca, 500 lei/month for those in Constanța, Brașov, Sibiu, Craiova, Târgu Mureș, Iași, Timișoara, and Oradea, and 400 lei/month for other localities. Beneficiaries must have an employment contract or service report full-time, a net monthly salary of at most 4,000 lei, and a rental contract for at least 6 months. Young people must not own housing, must not occupy social, necessity, service, or youth housing, and the rental must be from a landlord with whom they have no kinship up to the fourth degree inclusive. ^[3]

Update

Parliamentarians submit a bill for rent and transport support for young people

Parliamentarians from several parties, including USR MPs Alin Stoica and Diana Stoica, have submitted a bill providing for monthly financial support for rent and a 50% reduction in public transport costs for young salaried workers with net incomes up to 4,000 lei. ^[4]

The initiative comes at a time when Romania has the highest NEET rate (young people who are not in employment, education, or training) in the European Union, at 19.4%, almost double the European average of 11%. ^[4]

The legislative proposal complements Law no. 76/2002 on the unemployment insurance system and employment incentives, introducing monthly support for rent payment. ^[4]

The amount of rent support varies by locality. The ceiling amount is 500 lei per month for the municipalities of Constanța, Brașov, Sibiu, Craiova, Târgu Mureș, Iași, Timișoara, and Oradea. ^[4]

For other localities, the amount is set at 400 lei per month, while for housing in Bucharest and Cluj-Napoca, the ceiling is 600 lei per month. ^[4]

Beneficiaries must be aged between 18 and 29, hold an individual employment contract, a service contract, or an equivalent contract, full-time. ^[4]

Applicants must earn a net monthly salary less than or equal to 4,000 lei, must not own any housing, and must not occupy social, necessity, service, or youth-oriented housing. ^[4]

The rental contract must have a duration of at least 6 months and be concluded with a landlord whom the applicant has no kinship with up to the fourth degree inclusive. ^[4]

The bill also proposes a 50% reduction in costs for local, metropolitan, and integrated public transport, as well as for nominal commuter rail passes. ^[4]

These support measures may also apply to young people working part-time, provided they are attending courses at an accredited educational institution. ^[4]

Regardless of working schedule, full-time or part-time, benefits are granted for a maximum period of 36 months. ^[4]

USR MP Alin Stoica explained that, based on consultations with young people, it emerged that a job does not always ensure sufficient funds for independent living, as rent and transport consume a significant portion of the salary. “We have submitted a legislative initiative to help them and hope it will be voted on by all parliamentary parties. We want young people to be able to afford living in the cities where they work,” the MP said. ^[4]

Romania faces a severe structural problem in the integration of young people into the labor market, with the NEET phenomenon being one of the clearest expressions of this vulnerability. ^[4]

The NEET rate in Romania is 19.4% for young people aged 15 to 29, almost double the EU average of 11%. Meanwhile, Romania has the lowest rate in the EU for the SELRATIO indicator (1.2%), which measures simultaneous participation in education and work, compared to the European average of 11.6%. ^[4]

In practical terms, 97% of young people in Romania in formal education have no labor market participation, compared to 71.4% at the EU level, which reduces early exposure to work and delays experience accumulation. ^[4]

The NEET population in Romania is not homogeneous, with vulnerability clearly concentrated around certain structural profiles. ^[4]

Low education levels significantly increase the risk of exclusion. In Romania, 24% of young adults (25-34 years old) have not completed upper secondary education, almost double the OECD average (13%). The tertiary graduation rate has decreased from 26% to 23% between 2019 and 2024. ^[4]

The situation is particularly serious for young women with minimal education: the NEET rate increased from 28.8% in 2016 to 44.1% in 2024, while at the European level the trend was downward. ^[4]

Geography plays an important role; gaps relative to European averages are large outside major cities. The NEET rate for rural women is 34.8%, 2.5 times the EU average (14.2%), and their employment rate is only 44%, compared to 65% at the European level. ^[4]

Young women are disproportionately affected, representing 63% of the total NEET youth. The NEET rate is 25.2% for women, compared to 14.0% for men, a difference of 11.2%, far above the EU average of 2.1%. ^[4]

Evolution in recent years shows a much slower reduction of the NEET rate among women than among men, suggesting the existence of persistent structural barriers, including care responsibilities. ^[4]