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The Romanian government is ready to pay unemployment compensations to 1 mln. workers

27.03.2020

The Romanian government through the Labour Agency (ANOFM) is ready to pay compensations, provided for in an Emergency Ordinance (OUG) 29/2020. About 1 million workers sent to "technical unemployment" by companies, who are facing coronavirus outbreaks, will be able to benefit (COVID-19).

Emergency Ordinance №32/2020 was published in the Romanian State Gazette, providing clarity about which documents have to be submitted in order to receive help for „technical unemployment”.

All employers, who have reduced their activity or have ceased their activities altogether due to COVID-19, can receive state assistance in the form of "technical unemployment" for up to 75% of the employees. For this purpose, only a Declaration of Personal Responsibility needs to be submitted. Under the new regulation, an Emergency Certificate is no longer required, nor is it required to file a balance sheet, certifying revenue reductions of at least 25%.

Another important aspect of Emergency Ordinance 32/2020 is, that it includes free professions – „other professionals”, as they are defined in art. 3, par. 2 of the Civil Code. This includes all freelancers, organized as sole traders, individual enterprices, athletes, copyright holders, managers of small companies with no employees etc.

So, according to Emergency Ordinance 32/2020, in order to receive help for „technical unemployment” employers/freelance professionals must submit via email the following documents to the National Employment Agency:

  • A request – with a signature and date,
  • Declaration of personal responsibility. In this declaration, it is required of the employer/freelance professional to declare the truth of the data and to be informed of the legal consequences for providing false data. The responsibility falls on the employer/person, submitting the request.
  • For the free professionals, besides the Declaration of personal responsibility, a copy of their identity document must also be submitted.
  • A list of the employees, sent into „technical unemployment”.

Employers must submit their documents to the National Employment Agency:

  • For the period 16th – 31st of March, after 1st of April.
  • For the period 1st – 16th of April, after 1st of May.

The payment to the accounts of employers is made by the state within 15 days. Employers are required to make transfers to the employees' personal accounts within 3 days of receiving the money. The "technical unemployment" benefit will also be taxed.





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