Labor Code is amended. Roughen sanctions to combat undeclared work

Emergency Governement Ordinance no. 53/2017 for amending the Labour Code no. 53/2003 was published in the Official Gazette no. 644/7.08.2017.

The main provisions of the Emergency Ordinance are:

The undeclared work cases are regulated.

Additional acts will have to be terminated before the change was made (previously the deadline was 20 working days after the change occurred).

For working hours should be kept strict evidence. Employers will be required to keep track of the starting and ending hours of the working program.

The fines raise as follows:

  • for the employment of a person without concluding of an individual employment contract or with the employment contract suspended, not reporting to Revisal before commencing the activity, a fine of 20,000 lei for each person / case identified is applied. As a complementary sanction, the activity of the place of work under control can be stopped until the deficiencies are remedied and the fines are paid.
  • for the employment of an employee outside the working hours established under partial time individual labor contracts, a fine of 10,000 lei for each identified person is applied.

The employer is obliged to keep a copy of the individual labor contract for the employees who work in that place. The fine for non-compliance with this provision is 10,000 lei.

Employers will be able to pay half of the amount of the fines if they pay them within 48 hours of concluding / communication of the offense report.

The Ordinance entered into force on 7 August  2017.

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