Growth in Europe starts with hiring in the right market. Romania combines economic momentum with a skilled workforce and access to top EU markets. But you’ll need to learn a new set of labor laws and compliance requirements to hire successfully.
Use a Romania employer of record (EOR) instead. As a global EOR, G-P manages the full employee lifecycle, from payroll to benefits and offboarding. You'll have peace of mind knowing you have an expert partner by your side. G-P allows you to harness the talent of the brightest people in 180+ countries, including Romania, quickly and easily.
Simplify hiring in Romania with an employer of record
A Romania EOR, like G-P, simplifies hiring by handling the complexities of local labor laws, like the Romanian Labor Code (Law no. 53/2003). We act as the legal employer on your behalf, so you don’t need to set up a local entity or worry about managing payroll, taxes, and more.
The EOR hiring process in Romania:
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Partner with a global employment expert. Choose an EOR with deep expertise in Romania as they’ll guide you through the local legal landscape.
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Source your ideal candidate. You find the best talent, and the EOR handles the rest.
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Generate a compliant employment contract. Your EOR drafts a locally compliant contract in line with Romania’s labor laws, including salary, working hours, and notice periods.
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Onboard and manage your team. The EOR manages the entire employment lifecycle. This includes managing your team members’ payroll and administering benefits.
Employment contracts in Romania
Employment contracts must be written in Romanian. Bilingual contracts are allowed, but the Romanian version takes legal precedence.
Employers register the contract in the official electronic employee database, called REGES-ONLINE. Registration must be complete before the employee's first day of work — not doing this can result in fines.
The contract outlines core terms, including the official job title, gross salary, working hours, duration, and leave entitlements. Official job titles are based on the COR code (Classification of Occupations in Romania or Clasificarea Ocupațiilor din România), which is a standardized code assigned to every job title or occupation in Romania.
A Romania EOR drafts employment contracts that comply with the country’s labor law. This protects you from potential legal pitfalls, including fines.
Leave entitlements in Romania
Working hours in Romania
The standard workday is eight hours. Total working time — including regular hours and overtime — can’t average more than 48 hours per week over four months.
Overtime is first compensated with paid time off, which must be taken within 90 days. If that’s not possible, the employee must be paid at least 75% extra for those hours.
Public holidays in Romania
Employees in Romania get 17 paid public holidays. Employees who work on these days are compensated according to the labor code. The national holidays are:
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New Year’s Day and the day after
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Epiphany
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Saint John the Baptist Day
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Day of the Union of the Romanian Principalities
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Good Friday
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Easter Sunday
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Easter Monday
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Labor Day
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Children’s Day
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Pentecost
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Whit Monday
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Dormition of the Mother of God
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Saint Andrew’s Day
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National Day of Romania
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Christmas Day and the day after
Vacation days in Romania
Employees get at least 20 days of annual leave. Employment contracts or collective bargaining agreements (CBAs) may give more days.
The law doesn’t set specific paid days off for family events like funerals. The employer or a CBA determines how many days off employees can take in these situations.
Sick leave in Romania
Employees need a medical certificate confirming they’re fit to work before they’re hired. Employment contracts are invalid without this certificate.
Employees who are sick because of non-work-related reasons get sick leave. They need a social insurance doctor’s go-ahead if they’re sick for more than 90 days. This leave can be up to 183 days per year for the same illness, and extended for another 90 days through a specific process.
During sick leave, employees are generally paid 75% of their average income over the last six months, up to a maximum of 12 times the national minimum gross salary. Employers pay for the first five days of sick leave. Then it’s covered by the public insurance scheme. Employees can’t be dismissed during sick leave.
Employees injured in work accidents also get sick leave. They’re typically paid 80% of their average gross salary over the previous six months. Employers pay for the first three days, and the rest is covered by a work accident insurance fund. The length and extension rules are similar to those for general sick leave.
Maternity, paternity, and parental leave in Romania
Maternity leave
Pregnant employees get 126 days of maternity leave. Of these days, 63 are for prenatal leave (before birth) and 63 days for postnatal leave (after birth). At least 42 days of postnatal leave are mandatory and must be taken after childbirth. The rest of the days can be distributed as the employee chooses.
During maternity leave, employees get 85% of their average gross income over the last six months. This is capped at 12 times the national minimum gross salary and paid from the state health insurance fund.
Maternal risk leave
Employers must protect pregnant, recently postpartum, or breastfeeding employees from health and safety risks. They get up to 120 days of maternal risk leave per year if the workplace can’t be adjusted or the employee can’t be relocated. Employees get an allowance from the state budget during this leave.
Paternity leave
Non-birthing employees can take 10 days of paternity leave in the first eight weeks after a child’s birth. If they complete a certified childcare course, they get an additional five days of paid leave. All paternity leave is paid at the employee’s normal salary.
Parental leave
After maternity and paternity leave, either parent can take parental leave to care for a child until the child turns two (or three if the child has a disability). Only one parent can take this leave at a time.
The parent gets a monthly allowance paid by the state, typically 85% of their average net income over the last 12 months, up to a legal cap.
How an employer of record in Romania helps manage leave entitlements
A Romania EOR ensures you comply with local labor laws by managing entitlements like annual and sick leave. This means you can focus on growing your business, while the EOR handles the admin.
Health insurance and supplementary benefits in Romania
Romania’s universal healthcare is funded by mandatory social insurance contributions. Many employers offer private health insurance as a supplementary benefit to attract and retain talent. This gives employees access to private clinics, faster medical services, and a broader range of healthcare options compared to the public system.
Supplemental benefits, such as meal vouchers and gym memberships will also make your hiring more competitive.
Bonuses in Romania
A 13th-month bonus isn’t mandatory. Most employers offer performance-based bonuses.
How an employer of record helps with benefits in Romania
A Romania employer of record takes care of mandatory and supplementary benefits on your behalf. Using a Romania EOR ensures your benefits stand out in the market, while also complying with Romanian labor law.
Termination and severance in Romania
Employment termination is highly regulated. Employers can’t dismiss employees during protected periods, such as maternity, sick, parental, and annual leave. You must also ensure that all terminations, except during probation, are justified, documented, and legal.
Probation periods are as follows:
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Up to 90 calendar days for non-managerial roles
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Up to 120 calendar days for managerial roles
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Shorter limits for fixed-term contracts and employees with disabilities
Strict procedures and notice periods of at least 20 working days apply for most dismissals, except for disciplinary cases or during probation.
A Romania EOR handles all aspects of offboarding, from notice periods to terminations. The EOR ensures legal procedures are followed, minimizing the risk of wrongful termination claims.
Payroll and taxes in Romania
Employers don’t contribute to the employee’s pension (contribuția de asigurări sociale, or CAS) and health insurance (contribuția de asigurări sociale de sănătate, or CASS).
These contributions — 25% for the pension fund and 10% for health insurance — are mandatory and withheld from employees’ salaries. Employees also pay 10% on their wages as income tax, after deducting the CAS and CASS payments. Employers pay 2.25% to an employee's work insurance fund.
A Romania employer of record takes care of employer tax filings. From calculations to submitting to tax authorities, they handle all aspects of payroll management, including mandatory employee withholdings.
Choosing the right EOR in Romania
When choosing an employer of record Romania, consider the following:
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Compliance expertise: The right EOR has in-depth knowledge of Romania’s labor laws and tax regulations.
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Comprehensive EOR solutions: Choose an EOR that manages all aspects of employment, including payroll processing, tax remittances, benefits administration, leave management, and offboarding.
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Scalability and flexibility: The EOR should accommodate your needs, whether you're hiring a single employee or a global team, and grow with your business.
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Technology and integration: An AI-powered EOR simplifies onboarding, management, and employee payment. Look for an EOR that integrates with existing HCM, PEO, or payroll systems to streamline operations.
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Transparency and communication: Choose an EOR that offers clear communication channels, transparent pricing, and regular updates on compliance changes.
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Reputation and references: Research the EOR's reputation, customer testimonials, and industry recognition to ensure they have a track record of reliability and success. As the #1 EOR according to all industry analyst reports, G-P has a solid reputation and extensive global employment experience.
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Data security and compliance. Ensure your EOR follows strict data security protocols like GDPR. This is critical for protecting sensitive employee information and maintaining compliance.
Use G-P EOR for global hiring in Romania
G-P EOR is the award-winning, AI-enabled global hiring solution that empowers startups, SMBs, and enterprise businesses to build global teams with ease. Onboard, manage, and pay top talent in over 180 countries in minutes, without the complexity of entity setup.
G-P EOR is thepreferred partner for leading HCM, PEO, and payroll platforms. Bring your workforce data together in one place to maintain existing workflows while keeping consistent and accurate data across your integrated systems.
Request a proposal to start hiring in Romania today.












