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In this issue:

Law 58/2021 for the approval of the GEO 211/2020 on extending the application of some social protection measures adopted in the context of the spread of the SARS-CoV-2 coronavirus, as well as on amendment of the GEO 132/2020 (Law 58/2021) was published in the Official Gazette no. 345 of 5 April 2021 and will enter into force on 8 April 2021.

The following is a summary of the main legislative changes:

Employers can reduce the employees’ working time by no more than 80% of the daily, weekly or monthly duration, compared to 50% as previously provided.

In order to implement the measure, the consent of the trade union or of the employees' representatives is necessary, where such bodies are established. Additionally, any changes to the working time must be duly justified and may be performed within the limits agreed with the trade unions or with the employees' representatives.

The amount of the allowance for the reduction of the working time will be of 75% of the monthly gross base salary corresponding to the reduced working hours. Employers will be allowed to supplement the allowance with amounts representing the difference up to the base salary, without having the possibility to be reimbursed by the state in this respect.

While the reduction of the working time is effective, companies will be allowed to hire employees to replace those whose working time has been reduced, provided that their employment is terminated by law, by dismissal for reasons related to the employee, or by resignation. This will apply as an exception from the rule prohibiting the hiring of personnel specifically for the activities where the working hours have been reduced.

New reference periods have been provided for calculating the turnover decrease by at least 10%. For example, for companies newly established between 1 January and 15 March 2020 and which have hired at least one employee, the decrease will take into consideration the turnover achieved one month prior to the application of the measure to reduce the working time.

For more information, please contact Radu și Asociații SPRL team.


For additional information, please contact:
Radu Diaconu – Managing Partner, Radu și Asociații SPRL
Anca Atanasiu – Managing Associate, Radu și Asociații SPRL