Expand your global workforce in Romania
Your guide to the employment landscape, working customs and local labor laws in Romania
Capital
Bucharest
Currency
Romanian Leu (RON)
Languages
Romanian
GDP per Capita
$12,279.57
Employer Tax
6.25% to 10.25%
Payroll Frequency
Monthly
Talent overview
Romania is the twelfth-largest country in Europe and is well-known for the forested region of Transylvania, which is ringed by the Carpathian Mountains. The country has a freedom score of 67.1, making it the 47th freest country. The main GDP contributors in Romania are the services and the tourism industry.
Major economic hubs:
Bucharest, Cluj, Timisoara, Iasi, and Constanta
Skills in demand:
Project manager, HR manager, Software engineer, and IT professionals
Romania
Top local universities in Romania
Universitatea Babes-Bolyai (Babes-Bolyai University)
RANKING
Local: 1
World : 847
Universitatea Politehnica din Bucuresti (Politehnica University of Bucharest)
RANKING
Local: 2
World : 974
Universitatea Alexandru Ioan Cuza din Iasi (Alexandru Ioan Cuza University of Ia?i)
RANKING
Local: 3
World : 1102
Universitatea din Bucuresti (University of Bucharest)
RANKING
Local: 4
World : 1238
Academia de Studii Economice din Bucuresti (Bucharest University of Economic Studies)
RANKING
Local: 5
World : 1337
Salary Data
The salary data of Romania for some of the common jobs are mentioned below;
| Job Title | Average Monthly Salary (RON) | Average Monthly Salary (USD) |
| Financial Manager | 17,100 RON | 3752 USD |
| General Manager | 15,000 RON | 3291 USD |
| Business Development Manager | 13,300 RON | 2918 USD |
| Financial Analyst | 10,700 RON | 2348 USD |
| Business Analyst | 10,400 RON | 2282 USD |
| Project Manager | 9,450 RON | 2073 USD |
Employ in Romania
Employing in Romania
Before onboarding an individual, It is important to know about the employment laws, benefits, social security, deductions, and allowances in Romania by the employer.
Employee Contract
According to Romanian Labor Law, the employment contract can be provided in Romanian or English, or any other language that is easily understood by the employee and employer.
Probation Period
The probation period in Romania is 90 days.
Public and Provincial Holidays
| Date | Name | Type |
| January 1 | New Year’s Day | National Holiday |
| January 2 | Day after New Year’s Day | National Holiday |
| January 6 | Epiphany | National Holiday |
| January 7 | Synaxis of St. John the Baptist | National Holiday |
| January 24 | Unification Day | National Holiday |
| April 18 | Orthodox Good Friday | National Holiday |
| April 20 | Orthodox Easter Day | National Holiday |
| April 21 | Orthodox Easter Monday | National Holiday |
| May 1 | Labor Day / May Day | National Holiday |
| June 1 | Children’s Day | National Holiday |
| June 8 | Orthodox Pentecost | National Holiday |
| June 9 | Orthodox Pentecost Monday | National Holiday |
| August 15 | St Mary’s Day | National Holiday |
| November 30 | St Andrew’s Day | National Holiday |
| December 1 | National Day | National Holiday |
| December 25 | Christmas Day | National Holiday |
| December 26 | Second day of Christmas | National Holiday |
Employee Leaves
| Type of Leave | Time Period | Mandatory |
| Annual/Earned Leave | 20 days | Yes |
| Sick Leave | 5 days | Yes |
| Maternity Leave | 126 days | Yes |
Leave Compliance
Payroll in Romania
Payroll cycle
The payroll cycle is monthly in Romania.
Overtime pay
In Romania, overtime is basically compensated by providing the employee on working days with leaves for the overtime hours worked. If not, the employer must provide 75% of the base salary.
How taxes work
Employer Payroll Tax
| Social Insurance | Contribution |
| Standard working conditions | 0% |
| High-risk working conditions | 4% |
| Very high-risk working conditions | 8% |
| Specific industries/roles | 20.25% |
| Social Insurance Contract (self-employed) | – |
Employee Payroll Tax
| Social Insurance | Contribution |
| Standard working conditions | 25% |
| High-risk working conditions | 25% |
| Very high-risk working conditions | 25% |
| Specific industries/roles | 25% |
| Social Insurance Contract (self-employed) | 25% |
Employee Income Tax
A flat rate of 10% is the Employer Personal Income Tax.
VAT
In Romania, the standard rate of VAT is 19%.
Bonus
13th Month Pay
There is no statutory law for 13-month pay in Romania.
Employee Benefits
- Annual Leaves
- Three Pillar Pension System
- Health Insurance
- Workers Compensation/Work Accidents/Professional Diseases
- Child allowance
Employee offboarding
According to Romanian Law, both parties can terminate the contract based on mutual consent or by notice. However, the employer can terminate the contract only based on objective dismissal grounds or economic dismissal grounds.
The notice period in Romania is 30 days.
In Romania, there is no statutory law for severance pay.
Visa and
immigration
An individual can be given a visa if they are a member of the supervisory or member of the board in Romanian companies. However, if the individual is from an EU country, only a work permit is required. The work permit is valid for one year for normal employees and two years for highly skilled employees.
Your employment toolkit for Romania
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Overtime Pay
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