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XML has expertise and resources to meet your organization’s workforce needs wherever, and in whichever field these might be.
The Romanian economy is projected to grow by 6% in 2021 and 4.6% in 2022 (OECD), led mainly by investment and pent-up demand. Consumption will increase as the vaccination rollout continues and restrictions on activities are eased; international trade remains strong with imports outpacing exports due to domestic consumption needs being more important than overseas markets’ demands for Romania’s goods. Unemployment rates should decrease gradually thanks to improvements like increased growth, which could lead them back down below their pre-crisis level of 5%. According to provisional data reported by Eurostat, Romania is the champion in the EU, having the highest economic growth in Q1 2021, followed by Cyprus, Hungary and Lithuania. In 2020, Romania was ranking #55 in the World Bank’s Ease of Doing Business index (Sources: OECD, Energy Industry Review, and EC).
A trusted professional employment organization with in-depth knowledge of the Romanian market, XML International provides you with end-to-end personalised solutions to recruit and manage remote team members for your activities in Bucharest or any other city in Romania, regardless of the size of your organisation or your industry.
Employees will be employed pursuant to local labour laws, and all required social security and taxation will be paid to the local Authorities.
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Bucharest
Euro EUR
Romanian
Minimum wage depends on the type of work/industry.
Working hours in Romania are 8 hours a day, and 40 hours a week.
The minimum guaranteed annual leave is 20 days per year.
The maximum duration of paid time off is 183 days per year, which can be increased up to 18 months in total for certain illnesses. Medical leave allowance equates to 75% of the average salary over the six months preceding the medical leave, going up to 100% in the case of severe illnesses.
Maternity allowance is paid to the mother for 126 calendar days while she is on leave. This period is made up of 63 days of leave before the birth (antenatal leave) and 63 days after the child is born (postnatal leave). The first 42 days of leave after the child is born are compulsory. The remaining 84 days need not be taken if the mother does not feel that she needs them or can be taken earlier, before the birth or later, after the birth. Maternity allowance is equal to 85% of the average monthly income earned by the mother during the last 6 months prior to maternity leave.
A father is entitled to five working days’ compensated leave within two months following the birth of his child.
In case of dismissal, as a general rule, the employer has the obligation to grant a notice period to the dismissed employee of at least 20 working days, irrespective of the level of seniority. The employer cannot forego the notice period with payment of an indemnity in lieu of notice, since the notice period is stipulated by law for the benefit and protection of the employee.
Conversely, Romanian law does not require a notice period to be given in cases where the dismissal is on grounds of discipline, or when the employee is held in preventive custody/house arrest for a period exceeding 30 days.
In addition, the employer may at any time terminate the employment contract, with immediate effect (no prior notice) and without motivation, during or at the end of the probation period. In such case, the below rules for the dismissal decision will not apply, since termination is possible by communicating a simple notification to the employee in writing
Probation periods are allowed in Romania. The parties may stipulate a single probation period in the employment contract, at the beginning of employment. The parties may agree on the duration of the probation period up to a maximum of 90 calendar days for execution positions, or a maximum of 120 calendar days for management positions. During the probation period or at the end of it, either party may terminate the employment relationship only through a written notification, with immediate effect (no notice period is applicable) and without motivation.
The standard VAT rate is 19%.
(Sources: Deloitte, Europa.eu )
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XML International, one of the best workforce solutions and employer of record services providers for Romania, supports the set-up and the management of your international workforce for all your activities in Romania. Our invaluable input consists of streamlining and handling for you the complete employment lifecycle of your teams in Romania. We give you all the keys to handle you staff in Nicosia or any city in Romania. XML’s knowledge of Romanian labour laws, tax and social security system, and employment regulations allows you to tackle the challenges of local compliance in Romania, navigate all the local complexities and avoid pitfalls.
Among our top priorities, compliance with the Romanian employment regulations and labour laws is number one. In addition to talent acquisition, recruitment services, and workforce management, we also ensure that our clients’ workforce management in Romania is aligned with the Romanian tax and social security rules and the latest immigration processes, including visas and work permits.
Here is the list of our core services supporting your activities in Romania.
• GEO Services for Romania (PEO and EOR)
• Contingent Workforce Services for Romania
Take advantage of the targeted outsourcing solutions proposed by XML International for your expansion into Romania or for your employees already based there. We offer a comprehensive series of bespoke and scalable outsourcing solutions specially designed for the Romanian market.
They range from professional employer organization employment (PEO), employer of record, and contingent workforce employment services, to help you grow effortlessly and successfully in Romania without any complications. We can also help you source, recruit, and onboard new team members locally, even if you don’t have an office in Romania.
XML provides you with everything you need to start doing business in Romania or to optimize your business if you are already operating there, leading to significant bottom-line savings and getting your business activities up and running in just days. Get in touch with the XML team to learn how we can boost your activities in Romania in a cost-effective way.
Get started now and make the most of business in Romania today!
XML has expertise and resources to meet your organization’s workforce needs wherever, and in whichever field these might be.