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Employment contract in Romania

Updated on Sunday 17th April 2016

employment_contract_romania.jpgWe offer you human resources services, including personnel administration by drawing up the employment contracts in Romania and their registration with the competent authorities.

We are prepared to offer solutions and services for any personal issue in Romania and by choosing to work with our team you can avoid the frequent errors that are made ​​in applying the law, which lead to unpleasant consequences such as penalties, financial losses, labor conflicts and even endless lawsuits.

You will find bellow the most important aspects about the employment contract in Romania.

The basic rule governing a contract in Romania is generally the parties’ freedom to negotiate upon it, which means that both parties have the right to establish a term contract drawn up in what manner they want, but in accordance to the legislative provisions.

The minimum clauses that must be included in a labor contract are mentioned in the Labor Code, as provided by The Romanian Ministry of Labor, Family and Social Protection:

- The full identity of the parties

- The contract’s subject, with dual purpose - providing employment and salary

- The occupied position and the encoding provided by the Classification of Occupations in Romania

- The work place: for example the department / section of the unit headquarters / place of business and conduct of the work: either in a fixed place or in several locations

- The duration of the contract: open-ended contract or fixed-time

- The Job responsibilities: as described in the job description required in the contract

- The specific risks involved

- The evaluating criteria for the work performed by the employee

- The working conditions: normal or special

- The annual leave: a minimum of 20 working days in general, a minimum of 23 days for youth under 18 years old, disabled people and people who work in difficult conditions, hazardous or harmful

- Remuneration and payment: basic salary and other bonuses, additions or additional benefits in cash or in kind, the date of payment and payment manner: in multiple installments or single tranche

 - The general rights and obligations of the parties

- The rights and obligations of the parties regarding health and safety at work

- The probation period which is set  up to 90 calendar days for executive positions and 120 calendar days for management positions, and a maxim of 30 calendar days for employees suffering from disability.

- The period of notice: resignation and dismissal.

The employment of foreigners in Romania is regulated by the Government Emergency Ordinance no. 56/2007.

In Romania foreigners can be employed only if they meet the following conditions:

- vacancies cannot be filled by Romanian citizens or by citizens of other Member States of the European Union or by citizens of the Members which signed the Agreement on the European Economic Area, as well as permanent residents in Romania;

- meet specific training, work experience and licensing required by the employer according to the legislation in force;

- prove that they are medically fit in to perform that work and do not have criminal records to be incompatible with the activity carried on or will be developed in Romania;

- are included in the annual quota approved by Government Decision;

- employers have paid obligations to the state in the last quarter;

- the employer must perform the actual work for which he requested the issuance of the work permit;

- the employer has not been previously sanctioned for undeclared work and illegal employment .

Exemptions where the cumulative accomplishment is not necessary in Romania are:

-in the case of foreigners who served as administrator in a company with foreign participation in the situation where one person is appointed to this position;

- if the foreigner carries as a professional athlete, given the existence of a proof that conduct similar in another country;

-  permit applicants for seasonal workers;

- for cross-border workers;

- foreigners holding a residence permit for study purposes .

Any employer who intends to have labor relations with a foreign citizen is obliged to register the individual labor contract concluded on the basis of work authorization.

Foreigners cannot have overlapping functions in Romania, as the work permit gives them the right to perform work under a single contract of employment.

For further information and customized support for the employment contract in Romania, please contact us

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