- Per GEO no. 30/2020, during the state of emergency, for the period of suspension of the individual employment agreements initiated by the employers due to technical unemployment caused by the effects produced by COVID-19, the affected employees shall benefit from an indemnity of 75% of the basic salary corresponding to the occupied job, which will be borne from the unemployment insurance budget (but no more than 75% of the medium gross salary provided by Law no. 6/2020 on the state social security budget for 2020).
- The employers must meet the following conditions:
- the employers decide the total or partial discontinuity of their activities based on decisions issued by the competent public authorities as per the applicable legislation, during the state of emergency (in this case, a certificate of emergency situations issued by the Minister of Economy, Energy and Business Environment is required); or
- the employers reduce their activities due to the effects of COVID-19 epidemic and do not have the financial capacity to pay all the salaries to their employees, the indemnities being covered by the unemployment insurance budget for maximum 75% of the employees having individual employment agreements active at the date of entering into force of GEO no. 30/2020 (in this case, an affidavit given by the employer is required from which must result the decrease of incomes of minimum 25% in comparison to the average incomes afferent to the period January – February 2020 and the lack of financial capacity to pay all employees).
- The indemnity is subject to taxes and other mandatory social contributions that shall be calculated, retained and paid from the indemnities received from the unemployment insurance budget.
- In order to obtain the amounts representing indemnities, the employers shall submit a series of documents having the form and content provided by the annexes to GEO no. 30/2020.
act legal Romania Botezatu Estrade Partners Bucharest, Romania
Phone: +40 756 049 286 Send an email
Compliance with state aid programmes Contract Law Data monitoring and data protection Debt restructuring & avoidance of insolvency Digital transformation Dispute Distressed M&A in Europe Employment Global mobility and smart work Handling of corona related fines & disputes Health protection Insolvency | Restructuring New taxation measures Public procurement Real Estate recovery in Europe Reduction of personnel costs in Europe Sustainable energy sector recovery