Labor Law
We have extensive experience in Labor Law, with broad expertise in complex consulting, assistance and representation cases, mostly for big multinationals with a large number of employees, complex organizational structures and a variety of job types, such as medical, design, engineering, finance, industrial manufacturing and logistics, commercial distribution or other services.
Our experience includes important contributions that we made to the redesign of the Romanian labor legislation that started in 2011 but also to the creation and the revival of important employers’ organizations, beginning in 2013, and to the consolidation of a nationally representative Employers’ Confederation, by assisting and representing important employers in establishing the basis of these specific organizations.
Due to the critical importance of labor relations for our clients, we developed a strong and competitive team that gives specific professional legal advice in specialized areas such as the Negotiation of Collective Agreements with the trade unions and/or employees’ representatives, Internal Regulations and Procedures’ Design for complex organizations or Special Legal Requirements for specific job categories.
We also provide our clients, on a daily basis, with legal services related to:
- Management of individual employment contracts – conclusion, registration, changes, suspension, termination
- Organizational evolutions with quantitative/qualitative headcount impact – downsizing, restructuring, professional correspondence, individual/collective dismissal
- Compensation and Benefits
- Social Security Law
- Expatriates’ Labor Regime
- Employer/Trade Union Joint Committees
- Assistance/representation before the Territorial Labor Inspectorate and other regulatory authorities
- Internships and Training Contracts’ Design
- Corrective Actions
- Employees’ Liability – Disciplinary / Financial
- REVISAL (employees’ register) implementation and management
- Occupational Health, Safety and Investigation of Work Accidents
- Discrimination at work
Last but not least, we represent our clients in all types of labor litigation cases.
Frequently Asked Questions
Does an employment contract in Romania have to be in writing and registered?
Yes. Under the Romanian Labor Code, the individual employment contract must be concluded in writing, in Romanian, before the employee starts work. The employer must also record the contract in REVISAL, the electronic employee register, before the start date, and must update the register whenever key terms change or the contract ends. Allowing someone to work without a written and registered contract is treated as undeclared work and can expose the employer to significant fines and, in certain situations, criminal liability.
On what grounds can an employer dismiss an employee in Romania?
Dismissal is permitted only on the grounds expressly listed in the Romanian Labor Code. Some relate to the employee, such as serious or repeated disciplinary misconduct, professional unfitness or medically certified incapacity. Others do not, such as the elimination of the position for a real and serious cause. Each ground has its own procedure, for example a prior disciplinary investigation or a professional evaluation. The dismissal decision must be written and reasoned, and a court may annul a non-compliant dismissal and order reinstatement and compensation.
When does a restructuring qualify as a collective dismissal in Romania?
A dismissal becomes collective when the number of employees dismissed within a 30-day period, for reasons not related to them, reaches the thresholds set by law in relation to the size of the workforce. In that case the employer must inform and consult the trade union or employee representatives, notify the Territorial Labor Inspectorate and the employment agency, and observe statutory waiting periods before issuing individual decisions. Failing to follow the procedure can make the dismissals void.
Is a non-compete clause enforceable against a former employee in Romania?
It can be, if it meets the conditions set by the Romanian Labor Code. The clause must be expressly included in the employment contract, identify the prohibited activities, the territory and the competitors concerned, and provide a monthly indemnity paid to the former employee for the entire non-compete period. The duration after termination is capped by law, and the clause cannot amount to an absolute ban on the employee working in their profession. Courts may reduce or set aside clauses that go too far.