CURRENT HIRING FOR ROMANIA

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Romania is a member state of the European Union (EU), so the laws regarding work visas and permits are similar to those of other countries in the EU. Citizens of other EU member states do not need a permit to work in Romania, nor do citizens of Switzerland and other countries in the European Economic Area (EEA). These countries include Norway, Iceland, and Liechtenstein.

Any prospective employee who is not from one of these countries will need a work permit. There are several kinds of permits for foreign citizens in Romania, including permits for:

• Seasonal workers

• Trainees

• Athletes

• Permanent employees

• Cross-border workers

• Nominal work

In Romania, foreign citizens cannot apply for a work permit on their own behalf. The employer must apply for them.

A permit will be issued only if there are no Romanian citizens or citizens in other EU or EEA member states who are eligible to fill the position. This is one condition of eligibility for a permit. Other conditions include that the prospective employee must:

• Meet all of the employer’s requirements for the position under legal provisions

• Have no criminal record that would prevent them from working in Romania

• Provide a medical certificate that states their capability to carry out the tasks required for the job

• Fall within the yearly quota for foreign citizens who may be granted a work permit

The employee will also need to apply for a long-term visa. Along with the application, the employee should be prepared to provide several documents, including:

• The work permit obtained by the employer

• Proof of accommodation in Romania

• A valid passport

• Two recent identifying photos

• Proof of medical insurance for the duration of the visit

• Police clearance or a background check from the employee’s country of residence

• Evidence of sufficient financial means to support the visit

• A flight ticket or proof of other accommodations for travel

Located in Southeastern Europe on the Black Sea, Romania is separated from Bulgaria by the storied Danube River. The country has a population of 20 million and its capital city of Bucharest is the 6th largest city in the EU. 

Individual employment contracts should be registered with the Employees’ General Register.

The individual fixed-term employment contract can only be concluded in writing, with the express specification of the duration for which it is concluded. Between the same parties, no more than 3 individual fixed-term employment contracts can be concluded successively. The individual fixed-term employment contract cannot be concluded for a period longer than 36 months.

It is legally required to put a strong, written employment contract in place in Romania, in the local language, which spells out the start date of employment; location of employment; and terms of the employee’s compensation, benefits, and termination requirements. An offer letter and employment contract in Romania should always state the salary and any compensation amounts in Romanian new leu rather than a foreign currency.

The standard work week in Romania consists of up to 8 hours per day, 40 hours per week. Overtime is compensated by paid time off within the next 90 calendar days after it is performed. If compensation through paid time off is not possible within the 90 calendar days, the additional work will be paid to the employee in the following month by adding an increase to the salary corresponding to its duration. The increase for additional work cannot be less than 75% of the basic salary.

Romania celebrates the following public holidays for which employees are given the day off:

• January 1st and 2nd

• January 24th – Day of the Union of the Romanian Principalities

• Good Friday – The last Friday before Easter the first and second days of Easter

• 1st May

• June 1st

• The first and second days of Pentecost

• Assumption of the Virgin Mary

• November 30 – Saint Andrew the Apostle, the First-Called, the Protector of Romania

• December 1st

• The first and second days of Christmas

• Two days for each of the 3 annual religious holidays, declared as such by legal religious cults, other than the Christian ones, for the people belonging to them

The minimum duration of annual leave is 20 working days. The effective duration of annual leave is established in the individual employment contract, in compliance with the law and the applicable collective employment agreements.

According to the provisions of the Labor Code, in case of special family events, such as for instance in case of the employee’s wedding, in case of the marriage of the employee’s child, or in case of a funeral, employees have the right to paid days off, which are not included in the duration of the vacation. The law does not impose a number of additional leave days, this number can be established by the employer through the company’s internal regulations or through the applicable collective labor agreement.

In accordance with the local law, allowances for temporary work incapacity are borne: by the employer, from the 1st day to the 5th day of sickness; from National Health Social Insurance starting with the 6th day of sickness until the date of its termination or the employee’s retirement. The duration of granting the indemnity for temporary work incapacity caused by common illnesses or accidents outside of work is a maximum of 183 days within a year, counted from the first day of illness. 

Romania offers universal free healthcare, but often services need to be paid for up front and then reimbursed. Additionally, the quality of care in government facilities is not generally up to western standards, so employees may wish to purchase private health insurance. 

Supplemental benefits, such as meal vouchers, gym memberships etc., are not required by law.

The 13th month bonus in Romania is considered a gratuity and is not required by local law. Most employers offer performance based bonuses. 

The employer can set a probationary period in a permanent employment contract of up to 90 calendar days for non-management positions or up to 120 calendar days for management positions. Probationary periods for definite term contracts may be agreed upon as long as they do not surpass the limit of 5 working days for a contract less than 3 months; 15 working days for a contract of 3-6 months; 30 working days for a contract longer than 6 months for employees non occupying a management position and 45 working days for a contract longer than 6 months for employees occupying a management position.

In the event of termination, employers must provide a notice period of at least 20 working days for employees occupying a non-directorship position and 45 working days for managers/directors.

Employees not occupying a managerial position must provide in case of resignation 20 days of the notice period; employees occupying a managerial position must provide 45 days of the notice period.

There is no legal obligation to make severance payments in Romania.

Contributions on salaries are cumulated at 47.25%. Employers contribute 2.25% to work insurance. Employees contribute 25% of their salary to the state social security fund, 10% to health insurance, and 10% tax on income from wages. This information is provided as general accepted information and is not intended as advisory services. 

Foreign citizens will need a work permit as well as a long-term visa to live and work in Romania legally. Here are the necessary steps to obtain these documents:

• The employer must apply for the work permit on behalf of the prospective employee, submitting all relevant documents to the Inspectorate General for Immigration (IGI) and paying the applicable fees.

• The IGI will answer the request within 30 days, either providing a decision or requesting more information for verification. If additional verification is needed, the process may be extended for up to 15 days.

• Once the application is approved by the IGI, a work permit will be issued to the prospective employee.

• The employee must then obtain a long-term visa by applying through the diplomatic missions and consular offices of Romania. The employee has a window of 60 days to apply after obtaining their work permit.

If an employee needs to extend the residence granted by their long-term visa, they can request to do so through the IGI. They’ll need to file the request at least 30 days before their visa is set to expire. Their work permit may be renewed at the same time.

In Romania, most work permits can be extended for up to a year. Highly skilled employees may be qualified for an extension of two years.

It’s likely that some of your employees will be traveling with family members. Each family member will need their own long-term visa as well as their own work permit if they wish to seek employment in Romania.