international employment law firm alliance L&E Global
Romania

Romania: Local Labour Inspectorates sanctioned 1 in 5 employers that were controlled in August

The General Labour Inspectorate announced that the local inspectorates applied administrative sanctions – fines to 515 of the 2.449 – more than 1 in 5 – employers that were controlled in August in order to verify working conditions.

Undeclared employment – employment without the prior registration of the individual employment agreement in the General Registry for the Evidence of the Employees – was the cause for most of the administrative sanctions applied by the local labour inspectorates. Administrative sanctions may be applied to employers, even if they can provide a signed, written copy of the individual employment agreement, if the agreement is not registered in the electronic registry. Undeclared employment is sanctioned by fines that range from 10.000 ROL (approx. 2.100 Euro) to 20.000 ROL (approx. 4.200 Euro) for each undeclared employee, with a legal cap of 200.000 ROL (approx. 42.000 Euro) per employer.

For 367 undeclared employees found during the inspections, the fines applied exceeded the equivalent of 1 million Euro. During the same inspections, the local labour inspectorates registered 275 health and safety incidents, that after a proper investigation will be re-qualified as either working accidents or unrelated to accidents at work.