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Member-Contributed Article

Romanian Labor Law for Expat Employees

Romanian Labor Law for Expat Employees

Both foreign employers and employees in Romania often have to deal with complex employment issues which can become far more adventurous than expected due to the Romanian legal culture relating to employment. Below are some insights on what aspects foreign employers and employees should take into consideration when dealing with labor law issues in Romania.

The most common work permits/visas are those for permanent employees (i.e., employees who conclude a local employment contract) and for assigned employees (i.e., employees who are employed with a foreign employer and who have been assigned to a local entity). The costs for obtaining a work permit and a residence permit are approximately USD 260 and USD 235 respectively. Many foreign employers ignore the complexity of the above-mentioned process, especially how time consuming it is. In order to avoid undesired measures taken by the competent Romanian authorities or the postponement of a project due to illegal employment of foreign employees, employers should schedule the whole permitting process at least five months prior to the actual assignment of the foreign employees.

Citizens of an EU/EEA-country or Switzerland do not need a visa and or working permit. However, they must obtain a registration certificate in case their stay in Romania exceeds 90 days. A registration certificate is issued by the Immigration Office within the same day the application is submitted, and the issuance fee is extremely low (less than USD 1).

 

Our contributor Andreea Suciu has more than eight years of experience in handling individual and collective employment matters for multinational companies. She has particular expertise in matters regarding residence rights, social security legislation, employment contracts and management agreements, trade unions, consultancy in negotiation and conclusion of collective bargaining agreements, and safeguarding of employees' rights, among many others. Andreea also published several articles and guides on her field of expertise.

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