JANUARY 17, 2020 LEGISLATIVE NEWSLETTER

Comment: Starting with January 1, 2020, the national minimum gross salary guaranteed is fixed in cash, excluding bonuses or other additional payments, at the amount of RON 2,230 per month, for an average full-time schedule of 167.333 hours per month, representing 13.327 lei/hour.

Starting with January 1, 2020, for employees with at least one year of experience in a field requiring higher education, the national minimum gross salary guaranteed, excluding bonuses or other additional payments, is set at the amount of RON 2,350 per month, for an average full-time schedule of 167.333 hours per month, representing 14.044 lei/hour.

For 2020, the minimum gross salary in the field of construction remains at the level of 2019, respectively RON 3,000.

Decision No. 968/2019

Decision no. 968/2019 published in the Official Gazette Part I no. 1031 of December 23, 2019, establishing the number of foreign workers newly admitted on the Romanian labor market in 2020, brings the following clarifications:

Comment: For 2020, it is established that a number of 30,000 new foreign workers shall be admitted on the Romanian labor market.

Law No. 6/2020

Law no. 6/2020, published in the Official Gazette Part I no. 3 of January 6, 2020, regarding the national social insurance budget for 2020, brings the following clarifications:

Comment: Among others, the Law establishes:

• The average gross salary used for the establishment of the national social insurance budget for 2020 is of RON 5,429 lei.
• The amount of the death benefit is set under the law, for:
  • The insured or the retired person, at 5,429 lei;
  • A family member of the insured or the retired person, at 2,715 lei.
• In 2020, the correction index laid down in Article 170 of Law no. 263/2010 regarding the unitary pension system, with subsequent amendments and supplements, is of 1.41;
• In 2020, the contribution rate due by individuals mentioned in Article 20 paragraph (1) of Law no. 76/2002 (respectively persons who can insure themselves optionally) on the unemployment insurance system and employment stimulation, subsequently amended and supplemented, is of 17% of the work insurance contribution set out in Article 220 ³ paragraph (1) of Law no. 227/2015 on the Fiscal Code.

Law No. 263/2019

Law no. 263/2019 published in the Official Gazette Part I no. 1054 of December 30, 2019, amending Law no. 227/2015 regarding the Fiscal Code, brings the following clarifications:

Comment: This Law repeals the provisions of the Fiscal Code regarding social contributions related to part-time employment contracts, which prior to this normative act, were computed by reference to the national minimum salary.

Thus, starting with January 1, 2020 (when this Law enters into force), the social contributions for part-time contracts shall be calculated taking into account the actual income obtained, without a minimum ceiling.