Employer of Record guide for Romania: Contracts, REGES-Online, and payroll in 2026

Indefinite-term contracts are the default. Fixed-term contracts are permitted only in the enumerated cases in Article 83 (replacing a suspended employee, temporary workload increases, seasonal work, unemployment-programme placements, employees within five years of retirement, or pensioners combining pension with salary). Fixed-term rules cap the initial duration at 24 months, allow extensions up to a combined 36 months, and permit at most three successive contracts between the same parties.

Part-time contracts are permitted at any fraction of full-time hours; the exact working-time slot must be specified. The Labour Code prohibits overtime for part-time workers.

A Romanian non-compete clause becomes effective only after termination. To be enforceable, it must specify the prohibited competing activities, identify competitors or CAEN codes, define the geographic area, be limited to a maximum of two years post-termination, and provide a monthly indemnity of at least 50% of the employee’s average gross salary for the last six months of employment. If the employer stops paying the indemnity, the clause lapses.

• Register new employment contracts before the employee’s first day of work.
• Record salary changes, position changes, and relocations within three working days of the change.
• Record contract suspensions (sick leave, maternity, parental, unjustified absences) at the time of occurrence.
• Record contract terminations at the time of termination.

New data fields required by REGES-Online beyond the legacy REVISAL scope include the exact workplace address (including for teleworkers and hybrid workers), the mode of work (telework, hybrid, on-site, mobile), detailed working hours with breaks and rest periods, and detailed salary components (bonuses, allowances, recurring items).

Account access is through either a RoID account (Romanian digital identity) or a qualified digital signature of a company administrator registered at the Trade Registry.

• Failure to register the employer account: RON 15,000 to RON 20,000.
• Failure to fill in mandatory contract data: RON 5,000 to RON 10,000.
• Failure to register a service provider agreement for outsourced REGES management: RON 3,000 to RON 6,000.
• Employing a worker without registering the contract before the start date: serious contravention under the Labour Code.

Romania operates a two-step 2026 minimum wage:

• 1 January 2026 to 30 June 2026: gross RON 4,050 per month (roughly EUR 795).
• 1 July 2026 onwards: gross RON 4,325 per month (roughly EUR 850), set by GD 146/2026.

Sector-specific minima apply:

• Construction sector: RON 4,582 per month (roughly EUR 900) under GEO 156/2024.
• Agriculture and food industry: RON 4,050 per month.

The Labour Code prohibits paying an employee at the statutory minimum for more than 24 consecutive months; after that, the salary must be increased above the minimum. The July 2026 uplift transposes the EU Adequate Minimum Wage Directive under Law 283/2024, with wage-setting now linked to inflation and productivity criteria after tripartite consultation.

Standard hours are 8 per day and 40 per week (Monday to Friday). The maximum weekly ceiling is 48 hours, either as an absolute cap or as a 48-hour average across a four-month reference period. Overtime is capped at 8 hours per week. Overtime is primarily compensated through paid time-off within 90 calendar days; where time-off is not feasible, additional pay at a minimum of 75% of base salary applies.

A recent High Court of Cassation and Justice ruling (Decision 415/2025) confirmed that work on a weekly rest day triggers compensation at 150% of base salary, irrespective of whether standard weekly hours were exceeded. Work on public holidays is compensated with either time-off within 30 days or 100% additional pay. Night work between 22:00 and 06:00 attracts a 25% premium or a one-hour shift reduction.

The Labour Code prohibits both opt-outs from the 48-hour cap and “overtime included in salary” clauses. Employers must track working time and archive records for three years.

Minimum annual leave is 20 working days per year, excluding public holidays. Leave is granted in working days (not calendar days) and must be granted in the year it accrues; carryover rules apply under Labour Code conditions. Payment in lieu of unused annual leave at termination is mandatory.

Other statutory leave:

• Maternity leave: 126 days (63 pre-natal, 63 post-natal), paid at 85% of the average income over the prior 12 months, funded by the national health insurance fund.
• Paternity leave: 10 days, extendable to 15 days if the father completes a childcare course, paid at 100% by the employer.
• Parental leave: Until the child turns 2 (or 3 for children with a disability), paid at 85% of average income over the prior 12 months, capped at RON 8,500 per month.
• Sick leave: Unlimited duration, paid at 75% or more of the average gross salary over the last 12 months. From 1 February 2026 to 31 December 2027, the first day of sick leave is unpaid; the employer pays days 2 to 5 and CNAS funds the remainder.

The personal deduction (deducerea personală) reduces the taxable income base for full-time employees declaring their primary workplace. It ranges from approximately RON 550 to RON 1,550 per month, depending on dependants and gross salary, phasing out above roughly RON 6,050 per month. Employees declare their primary employer at onboarding.

A minimum-wage relief exempts RON 300 per month from CAS, CASS, and income tax in H1 2026 for employees at the RON 4,050 minimum wage, where total gross income does not exceed RON 4,300. In H2 2026, the relief is RON 200 per month for employees at the new RON 4,325 minimum, with an income cap of RON 4,600.

Meal vouchers (tichete de masă) are capped at RON 45 per working day (as of November 2025). They are subject to 10% income tax and 10% CASS on the employee side and are exempt from CAS. Vouchers are issued in electronic card format only and cannot be granted during holiday, sick leave, or business trips with per diem.

Declaration D112 (Declarație privind obligațiile de plată a contribuțiilor sociale, impozitului pe venit și evidența nominală a persoanelor asigurate) is the consolidated monthly return filed by employers to ANAF. It covers all employee-level payroll data including CAS, CASS, CAM, and PIT, and is filed electronically via the ANAF portal by the 25th of the following month. The current PDF template is set by ANAF Order 2066/2025.

From 1 January 2025, the previously available income-tax and contribution exemptions for IT specialists, construction workers, and agriculture/food-industry employees were abolished by GEO 156/2024. All employees in these sectors now pay standard PIT, CAS, and CASS.

A compliant Romanian hire requires the following steps before or on the first day:

1. Draft and sign the CIM in Romanian at least one day before the start date; sign both language versions if bilingual.
2. Obtain a mandatory pre-employment medical certificate (aviz medical) from a licensed occupational physician before the CIM is signed. Failure to obtain it renders the contract null and exposes the employer to sanctions.
3. Register the contract in REGES-Online no later than the day before the first working day.
4. Collect the personal deduction declaration and the health and social-care declaration from the employee.
5. Deliver mandatory occupational health and safety induction under Law 319/2006.
6. Provide the GDPR notice on processing of employee personal data.

Non-EU nationals require work authorisation from the Romanian Immigration Inspectorate (IGI). EU/EEA citizens do not need a work permit but must register with IGI if residing in Romania for more than 180 days.

Romanian law provides a closed list of grounds for employer-initiated dismissal:

• Summary dismissal for gross misconduct, detention over 30 days, or court-imposed profession ban: no notice required.
• Individual redundancy (position elimination): minimum 20 working days’ notice; the employer cannot rehire for the same role within 6 months.
• Professional incapacity (evaluation required) or medical incapacity: minimum 20 working days’ notice.
• Mutual agreement: no notice; documented in writing.
• De jure termination (death, dissolution, fixed-term expiry, retirement): automatic.

Employee-initiated resignation requires up to 20 working days for operational roles and up to 45 working days for management roles. The employer may waive the notice period in writing.

Protected periods (during which dismissal for redundancy or incapacity is prohibited) include sick leave, pregnancy and maternity leave, paternity and parental leave (protection extends 6 months after return from parental leave), and military exercise. Dismissal for discriminatory reasons is absolutely prohibited and grounds for reinstatement plus back pay.

Romanian law does not mandate a universal statutory severance for individual redundancies. Severance becomes payable when the CIM expressly provides for it, when a collective bargaining agreement stipulates it (for example, the 2024 banking sector CBA requires up to six months of salary for employees with 15+ years of service), when a company internal policy establishes it, or when negotiated in a mutual termination agreement. Collective dismissals trigger mandatory information and consultation with employee representatives, plus a 30-working-day advance notice to the Labour Inspectorate.

On or before the final payroll date, the local entity must:

• Update and close the employment record in REGES-Online.
• Pay final salary, outstanding bonuses, and all accrued but unused annual leave in cash.
• Issue the work certificate (adeverință de vechime/experiență în muncă) confirming employment history, role, and salary.
• Issue a fiscal income statement for the year.
• Issue a social contribution certificate (adeverință CNAS) for the employee’s health insurance history.
• File the final D112 return.

For a foreign employer’s first hires in Romania, using a licensed temporary work agency through a workforce management platform is typically the faster route. It avoids setting up an SRL, building in-house REGES-Online workflows, and managing local payroll infrastructure. Establishing a Romanian entity generally becomes more practical once hiring reaches around ten employees with a long-term local presence.