Draft law on the amendment of the Labor Code
A citizens’ legislative initiative for amending and supplementing the Labor Code was published in the Official Gazette of Romania, Part I, no. 173 of March 11, 2014. This initiative was approved by the Legislative Council and is to be submitted at the competent Chamber of the Parliament for the initiation of the legislative process, if the necessary number of signatures is collected, and if such signatures are attested in compliance with the legal provisions.
The amendment proposals include:
- Indication of a 10-day time limit as of the registration of the individual employment agreement for providing the general employee register to the territorial labor inspectorate;
- Imposing on the employer the obligation to give written notice to the employee on the proposal to amend the individual employment agreement, and the employee must reply to such notice within 10 days;
- Amendment of the regulation concerning the non-compete clause in the sense that it is to be effective during the performance of the agreement (the application of such clause after the termination of the agreement being only an exception), in exchange of payment by the employer of a compensation, for the entire duration of the agreement, provided that the employer proves that the conduct of the prohibited activity is likely to cause damages and with the employer being able to unilaterally terminate the non-compete clause during its application;
- Amendment of the duration of the confidentiality clause, so that it is effective for the duration of the individual employment agreement;
- Opportunity of hiring foreign citizens and stateless persons, under an individual employment agreement, based on the work permit issued according to the law, without the need of a residence permit for work purposes;
- Possibility of reducing the work schedule from 5 to 4 days a week, with the appropriate salary reduction, for a period which cannot exceed altogether 3 months in a calendar year in the event of temporary reduction of activity due to technical, technological, structural reasons;
- Prohibition for the employer that ordered collective redundancies to hire for the positions of the dismissed employees for 9 months as of their dismissal date;
- Reduction for the period for which the fixed-term individual employment agreement may be concluded to a period which cannot exceed 24 months;
- Proposal to regulate teleworking, as a form of labor organization by which employees, by using computer technologies, fulfill duties specific to the position, occupation or job they hold in a place other than the employer’s offices or residence, as the case may be;
Amendment of the provisions regarding overtime with proposal for overtime to be compensated by free hours paid in the following 30 calendar days after its performance (as opposed to 60 days currently) or, insofar as it is not possible, by granting a bonus to the salary which will not be lower than 100% of the base salary (and which will be double the duration of overtime performed).