Romanian Constitutional Court to rule on 4.8 billion lei magistrate salary conflict between government and supreme court

Constitutional Court review of executive-judiciary dispute

The Constitutional Court of Romania convenes on Wednesday, 7 October 2026, to examine an institutional legal conflict between the Government and the High Court of Cassation and Justice. The dispute centers on roughly 4.8 billion to 5 billion lei (approximately 1 billion euros) in unpaid retroactive salary increases awarded to magistrates through previous judicial decisions. Interim Prime Minister Ilie Bolojan submitted the referral to the constitutional judges on 2 July 2026, following months of litigation initiated by the supreme judicial body. The court session begins at 10:00, where constitutional judges will determine whether judicial rulings ordering mandatory state spending violate the constitutional separation of powers.

Legal arguments on budget authority

The executive branch argues that judicial mandates requiring specific state budget allocations usurp the exclusive competencies of the executive and legislative branches. Citing Law 500/2002 on public finances and the Administrative Code, the Government maintains that drafting the state budget, executing budget rectifications, and releasing reserve funds remain sovereign executive and parliamentary prerogatives. In its referral prepared by the General Secretariat of the Government, the cabinet asserts that ordinary courts cannot legally compel state authorities to enact budgetary legislation with predetermined content. The Government argues that such judicial orders directly disrupt the national budgetary balance and constitute direct interference in executive governance.

During the announcement of the constitutional referral on 2 July 2026, Bolojan contested the judiciary's legal authority over public spending.

The judicial power has neither the technical competence nor the legitimacy to determine how public money from a consolidated general budget is distributed, obliging the Government to allocate funds for a single sector.

Escalation from earlier court rulings

The financial clash began in late March 2026, when the High Court of Cassation and Justice lodged a preliminary administrative complaint against the Government and the Ministry of Finance. The action followed a decision by the ruling coalition to postpone magistrate backpay for 2026 and redirect the earmarked funds toward a social assistance package proposed by the Social Democratic Party during state budget debates. After the executive failed to resolve the complaint, the supreme court took the matter to the Bucharest Court of Appeal. On 5 May 2026, the appellate court ruled against the Government, ordering full payment of the 4.8 billion lei in salary arrears through a budget revision. The appellate ruling also imposed a strict payment window of 10 days once final, backed by daily delay penalties of 1% (amounting to 48 million lei per day) and daily fines equal to 20% of the gross minimum wage.

Parallel cases and subsequent appeal

The High Court of Cassation and Justice rejects allegations of overstepping, maintaining that its lawsuit seeks only the execution of definitive judicial titles rather than the takeover of executive budgetary prerogatives. Supreme court leadership has argued that legal disputes must be resolved before judges rather than through anticipatory public statements, accusing the cabinet of exerting improper public pressure on the judiciary. Meanwhile, the Government and the Ministry of Finance appealed the 5 May appellate decision, with the Supreme Court scheduled to issue a final ruling on that appeal on 8 October 2026. On the same Wednesday docket, the Constitutional Court is also scheduled to examine a separate institutional dispute referred by Chamber of Deputies President Sorin Grindeanu regarding an executive ordinance on the SAFE programme.