What You Should Know About Romanian Labor Laws: A Guide For Foreigners Working In Romania
What You Should Know About Romanian Labor Laws: A Guide For Foreigners Working In Romania
For starters, Romania has two different types of labor contracts for job seekers who looks for jobs in Romania : fixed-term or unlimited. A fixed-term contract is for a specific period of time with an end date — typically 6 months with the potential of suspending it after 3 months. An unlimited contract does not have an end date, which means that it can be terminated at any time. There are also several different types of work contracts in Romania, which you should know about before commencing employment in order to ensure that you are being offered fair compensation for your work.
Section 1: What types of contracts are available in Romania? There are a number of contracts you can enter into as a business owner in Romania. For example, if you plan to employ employees or to set up a close corporation, each type has its advantages and disadvantages.
In general terms, the main contracts available to you as a business owner in Romania are as follows: A contract of employment is a legal agreement between an employer and its employees, whereby the employee undertakes to perform certain work for the employer in return for remuneration. An employment contract is deemed by law to create a relationship of mutual trust and confidence. If you are intending to employ people for your business in Romania, you will have to ensure that the contracts are formalised with an employment agreement which must be approved by the local labor authorities.
What is the minimum wage in Romania? The Romanian Labor Laws are quite simple and apply to most workers. For hourly workers, the minimum wage depends on the experience of the employee. The salaries are set by governing bodies across Romania. There are some exceptions, but they are rare. This article takes a closer look at the process of setting the minimum wage in Romania for all types of employees. The Minimum Wage in Romania is 880 lei gross per month (around 220 euros) for people without experience and 1,000 lei gross per month (around 240 euros) for people with experience and who have a certain degree or diploma. It has never been lower than this since 2008, and it has even increased by 5–10% in some specific situations, such as when there is a difficult social context in the country.
The difference between a fixed-term and unlimited contract The Romanian employment legislation, especially in the context of fixed-term and unlimited contracts, seems to be a rather intricate matter. We offer a brief summary here, in order to make it easier for foreign employers to understand what they can or cannot do when it comes to executing any kind of contract in Romania. Romanian labor laws are often confusing; especially when it comes to choosing a contract. With a fixed-term contract, an employee with skills and good work record is preferred since the employer only wants to know where they stand for a certain period of time. An unlimited contract is more suited for a permanent position and can be offered by both employers and employees, but it is important that it states the position being offered in the agreement. The maximum duration of a fixed-term or unlimited contract is 3 years.
The different types of work contracts What You Should Know About Romanian Labor Laws : The different types of work contracts, employee rights across Romania. How to appeal against unfair dismissals. The process of conciliation bodies and the differences between the labor courts and the administrative courts. When you work for someone, you should know the rights that come with your employment contract. The Romanian Labor Code stipulates the legal framework for the organisation of work relationships in Romania, with special regard to social protection, protection of workers’ rights and occupational safety. Therefore, the study of this law is important to understand the main features of these contracts in Romania. The aim of this article is to outline some general principles regarding these contract types and some practical advice regarding some clauses that are usually included in them.
Temporary work contract The Romanian Labor Code contains a wide variety of rules governing the conditions of employment in both permanent and temporary positions. Like most jurisdictions local Romanian labor law distinguishes between a permanent position of employment, governed by civil-law contract, and a temporary position of employment, governed by specific labor laws. A “permanent” or “indeterminate” employee has a secure right to have the employer honor the terms of the employer/employee contract indefinitely — -and can only be removed from the position for cause. In contrast, a “temporary” or “determinate” employee has no such expectation. Temporary work contract provides a summary of the laws regulating temporary work contracts in Romania. It is a complete manual for anyone who is following current labor legislation. The essential elements of a legal contract between an employer and his employee are described, from the beginning to the end of the contract. The employee’s social benefits, his obligations toward his employer and their mutual responsibilities are also described.
Permanent work contract Permanent work contract with a Romanian company can be an invaluable asset. However, some aspects of the labor law in Romania may seem unpleasant to some people. A new article by a member of the Board of Experts from the Romanian Employers’ Association shows how the situation has changed over time and what you should know about permanent work contracts in Romania if you are planning to settle or start a business here. The author is Viviana Dascalu, one of Employment Law practitioners from Romania.
Work for a third party Do you know anyone who has gone to another country to perform employment under the direction of a third party? It may surprise you to learn that these arrangements are illegal in Romania! When it comes to working for a Romanian business, there’s good news and bad news. The bad news is that you must obtain proper work authorization; however, the good news is that this process is reasonably straight forward. The Foreign Workers Regulations , which were enacted in Romania in April 2011, apply to foreign employees who work for a Romanian employer through a third-party agency. The law is designed to limit the conditions in which a third party can engage a foreign worker in Romania, and if a third party is involved in the collaboration between the employer and employee, the employee must receive more favorable terms.
Conclusion If you’re a foreigner working in Romania, this article will answer some of your questions about Romanian labor laws. A better understanding of the laws and procedures will help your stay in Romania be more successful.