Following the recent changes in tax legislation a number of issues were identified concerning specific types of employees such as part-time employees, employees with disabilities and employees in the IT industry. In order to limit the negative effects of the new tax legislation a Government Ordinance was issued.
The projected number of working permits for new foreign workers expected to be issued in 2018 is 4.000. The maximum number of working permits is determined by Government Decision each year and it may be changed during the year taking into consideration the demand for such permits. Workers outside the EU and EEA need working […]
Finance has published a legislative project subject to public debate on the incrimination of additional conducts as tax evasion, including the situation when the employer does not distribute to the corresponding budgets the income tax and social contributions the employer retains from the employee’s gross wage. At this moment this conduct is not criminally sanctioned […]
The annual Government Decision on the minimum wage guaranteed for payment was adopted and starting January 1st the minimum monthly gross wage for a full time employee will be 1900 LEI (approximately 410 EURO) and all social contributions for any employees (including part time employees) will observe this minimum monthly gross wage
Starting January 1st 2018 a new fiscal regime for the wage system in Romania will be enforced. At this moment the burden of social contributions and income tax is divided between employers and employees. According to the new fiscal regime, the employee will bear the burden of all contributions to the pension system, health system and income tax. The employer will pay an additional contribution of 2.25% of all monthly wage funds.
A new legislative project that will be debated in the Parliament will regulate paid internships for young individuals. Companies that choose to use paid interns will have to observe a series of ruleswhen using paid interns but might also benefit from an indemnity if they choose to hire the interns after the internship period expires.
Recent changes in the Labour Code included the elimination of criminal charges against employers that use the work of more than 5 employees without legal forms. A new legislative project contains provisions on the criminal charges the employer that uses undeclared employment might face.
Understanding the distinction between contractors and employees and the re-characterisation of a contractor into an employee
Beginning the 1st of August, new rules on social security contributions for part-time employees will apply.
New legal provisions were introduced in the Romanian Labour Code in order to limit the occurrence of undeclared employment. Stricter rules on punishing employers that use undeclared employees apply, starting this August.