UTC +02:00 

Undoubtedly, payroll is a critical process for any organization. The pay cycle in Romania refers to the period for which an organization pays its employees, and this can vary depending on the pay frequency that the organization chooses to adopt.

In Romania, the payroll frequency is monthly; work between the first and last day of the month is typically paid on the last working day of the month.

There is no statutory requirement for a 13th salary payment in Romania. 

Effective October 1, 2023, the minimum wage increase from Ron 3,000 to Ron 3,300 gross for private sector employees.

A maximum of 48 hours per week, including overtime, is permitted for employees. Employers are required to provide employees with a 24-hour break after a 12-hour shift. Work that is completed outside of the usual schedule of 8 hours per day, 40 hours per week, must be reimbursed with paid time off within 60 calendar days of the overtime work being completed. If receiving compensation in the form of paid time off is not available, the employee will be compensated for any overtime worked by adding a benefit that must not be less than 75% of the basic salary. 

Employees under the age of 18, part-time workers, and pregnant workers who are unable to work during normal business hours due to health issues are not allowed to work overtime. 

According to the Accounting Law, No. 82/1991, monthly returns must be kept for a period of 10 years. Monthly payroll certificates should be kept for 50 years.  

Employers are required to keep a register of employee records, including employee information, the dates of agreement of the employment contract and start of employment, the classification of the employee's position according to the Classification of Occupations in Romania (Clasificarii ocupatiilor din România), , the type of employment contract, the employee's monthly salary and other benefits, hours of work, the length and causes of suspension of the employment contract, the period of any assignments to other employers or to other countries, and the date and reason of termination. 

Preferences and discrimination

According to Romanian legislation, protection from unlawful discrimination, irrespective of the discrimination criteria, also applies with respect to employment in vacant positions and at all professional levels.

A written form of the individual employment agreement (IEA) is mandatory under the law. The electronic form of the IEA is expressly permitted, with the observance of certain conditions. In addition, the standard IEA approved by Order of the Ministry of Labour and Social Justice No. 64/2003 and the minimum rights provided by the Romanian law (eg, national minimum gross salary, minimum rest leave, maximum probation period, minimum notice period in the case of dismissal) must be observed. An IEA with a teleworking clause must also contain certain mandatory provisions, in addition to the standard clauses in an IEA.

Mandatory Employee Documents: 

• Copy of Identity card/passport or confirmation of residence 
• Copies of study diplomas 
• Copies of certificates of formation courses 
• Self declaration of dependents for personal deduction 
• Employee candidate's agreement on the processing of personal deduction 
• Medical certificate issued by the employee's family doctor 
• Copy of labor card/copies of the seniority certificates from the previous job 
• Recommendations from previous job 
• Judicial record in original 
• Curriculum vitae, signed and dated by the employee 
• Employment offer, job description 
• Copy of drivers licence, if applicable 
• Bank statement for the account where the salary is transferred 
• Stage certificate with the contribution for the last 12 months 
• Employer's self-declaration for the place of the main labor contract and the name of the Health insurance of the dependents. 
• Employee's self-declaration regarding the employer's internal regulations 
• Records of receiving company’s assets (mobile phone, laptop, car). 

The probationary period in Romania is dependent on the type of role and is stipulated within the employment agreement. When entering into an employment contract, employees may be subject to a probation period of up to 90 days (or 120 days for executive positions). 

In Romania, there are 15 national holidays

• January 1 - 2: New Year's Day 

• January 24: Unification of the Romanian Principalities 

• April 14: Orthodox Good Friday 

• April 16: Orthodox Easter 

• May 1: Labor Day; 

• June 1: Children's Day; 

• June 12: Pentecost; 

• June 13: Descent of the Holy Spirit 

• August 15: St. Mary's Day 

• November 30: Saint Andrew's Day; 

• December 1: National Day; and  

• December 25 - 26: Christmas 

According to the Labor Code, workers who have paid the requisite payments and are covered by the pension and social insurance system are entitled to up to 180 days of paid sick time throughout a calendar year, with a potential 90-day extension. 

Only the first five days of the calendar month are provided by the employer for working days; starting on the sixth day, sick leave is paid for by the FUNASS (Unique National Fund of Health Insurances) fund. 

Depending on the type of illness, sick pay ranges from 75 to 100 percent of the average monthly income for the previous six months. 

An employee who is pregnant is eligible for 126 days of paid maternity leave. 

The two phases of maternity leave are prenatal (during which a woman must take at least 63 days before her projected due date) and postnatal (during which the employee must take the final 63 days following the birth of the child). 

The employee's doctor specifies the precise days between the two periods, which is then recorded in the official medical certificate of maternity. 

The maternity payment is paid by the FUNASS (Unique National Fund of Health Insurances) at a rate of 85.00% of the calculation based on the average of the employee’s monthly gross wages during the six months before the maternity leave started. 

Additionally, workers have the right to take time off to safeguard their health and protect their children. The Unique National Fund of Health Insurance provides all funding for the maternity risk-benefit (FNUSS). The payout is equal to 75 percent of the average gross monthly income for the previous six months. In addition to maternity leave, there is maternal risk leave. 

Fathers are entitled to 5-10 days of paid paternity leaves; these leaves are extended to 15 days if fathers enroll in childcare program.

Adoption Leave  

The accommodation leave period for eligible parents who have adopted a child has increased from one year to two years.

An employee may be eligible for additional leave categories, according to the employer and employee agreement and the conditions of the collective bargaining agreement or employment contract. 

When an immediate family member passes away, employees are entitled to up to three days of paid bereavement leave. 

Conditions for granting care's leave 
With effect from December 22, 2023, employees are entitled to receive the 5 days of leave with written request of employees.

Notice period in the case of an employee dismissal is a minimum of 20 working days for all jobs regardless of the employment contract. 

Employees may also terminate their employment agreement by resignation with a prior notice of a maximum of 20 business days for non-management positions and 45 business days for management positions. 

Severance pay is granted if the individual or collective labor agreement obligates the employer to make such payments upon termination of the employment relationship. 

For a stay of more than 90 days, EU residents who want to work in Romania must request a registration certificate from the Romanian Office for Immigration. Those who are not citizens of the EU must obtain a residency permit if their stay exceeds 90 days. 

Through an application from the employer, foreign employees must get work authorization from the Romanian Office for Immigration. Employers must demonstrate that they are a legal Romanian company and that they made every effort to fill the position with a Romanian national. 

They must also guarantee that the potential employee is qualified for the position, meaning they have received the necessary education and training. 

The employer can apply for a variety of work permits, finish them, and then deliver them to the General Inspectorate of Immigration: 

For foreign employees with an ongoing or short-term employment contract, a work permit is required. 

Cross-border worker: A foreign worker with a long-term or short-term employment contract who is from a nation that borders Romania. 

Highly skilled employee: A foreign worker who has secured a highly skilled position in Romania. The length of the contract must be at least a year. 

The majority of work permits are only good for a year, however permits for people with high levels of skill are good for two. 

Foreign workers must obtain work authorization from the Romanian Office for Immigration. A file requesting the work authorization should be submitted by the employer. 

European Union (EU) citizens working in Romania are not required to obtain a work authorization. 

EU citizens should apply for a registration certificate from the Romanian Office for Immigration for a stay of more than 90 days. Non-EU citizens need to obtain a residency permit if the stay is longer than 90 days. 

Most work permits are valid for one year; however, permits for highly skilled workers are valid for two years. 

Employers must check information on applicants by observing the fundamental principles regarding the processing of personal data and the legality of the data processing, and by fulfilling one of the conditions mentioned in Article 6 (Lawfulness of processing) of the Regulation (EU) 2016/679. However, the collection of personal data for recruitment must be limited to the information necessary to evaluate the suitability of the applicants in the required job description and their career potential, irrespective of whether it is conducted through a third party or by the employer itself. 

In the case of background checks on applicants by a third party, the employer may disclose the personal data of the applicants only after informing applicants that their data will be disclosed to third parties for background checks. The employer must also ensure that such processing is in accordance with the provisions of Regulation.