If you’re hiring in Romania, here’s what you need to know upfront: employees are entitled to a minimum of 20 paid working days of annual leave, 15 public holidays, and a suite of parental protections that include both maternity and paternity rights. Romania’s sick leave framework changed significantly on February 1, 2026, under Government Emergency Ordinance No. 91/2025, introducing a new first-day unpaid rule and a tiered indemnity structure. Mandatory benefits cover public health insurance and a three-pillar pension system. Getting all of this right from day one matters, and this guide gives you the full picture.
Annual leave
Romania sets a statutory floor of 20 paid working days of annual leave per year. Collective agreements or employment contracts can raise this figure, but they can’t go below it. The right to paid leave is inalienable under Romanian law, which means employees can’t waive it and employers can’t pay them out of it in lieu of time off (except on termination).
Vacation pay
Vacation pay must be no less than an employee’s base salary plus any fixed contractual benefits. It isn’t calculated solely on basic salary. Crucially, you must pay vacation pay at least five working days before the leave period begins.
How leave periods work
Employees and employers can agree to split annual leave across multiple periods. The only firm rule is that at least one continuous block must be 15 consecutive working days. All remaining days can be taken in shorter segments at mutually agreed times.
Carrying leave forward
Unused annual leave can be carried forward to the following calendar year. Employees have until 18 months from the start of the year after it was earned to take any carried-forward days. After that window closes, the entitlement lapses.
Public holidays
Romania has 15 public holidays each year. These are separate from annual leave entitlement. The full list for 2026 is below.
| Date | Holiday |
|---|---|
| January 1 | New Year’s Day |
| January 2 | New Year’s Holiday |
| January 24 | Unification Day |
| Good Friday | (date varies) |
| Easter Sunday | (date varies, Orthodox calendar) |
| Easter Monday | (date varies, Orthodox calendar) |
| May 1 | Labour Day |
| June 1 | Children’s Day |
| Orthodox Whit Sunday | (date varies) |
| Orthodox Whit Monday | (date varies) |
| August 15 | Assumption of Mary |
| November 30 | Saint Andrew’s Day |
| December 1 | National Day |
| December 25 | Christmas Day |
| December 26 | Boxing Day |
Employees who follow a non-Christian faith are entitled to two days off for up to three religious holidays of their own religion, provided the religious community is state-recognised in Romania. This applies in addition to the standard public holiday list.
Sick leave
Romania’s sick leave rules changed materially on February 1, 2026, under Government Emergency Ordinance No. 91/2025. The new framework is in effect until December 31, 2027. Employers hiring in Romania need to understand the split between who pays what and when.
Who pays and for which days
The new structure works as follows:
- Day 1 (common illness, code 01): unpaid. This is new as of February 1, 2026. The day still counts as a contributory period for social security purposes, but the employee receives no payment for it.
- Days 2 to 6: paid by the employer.
- Day 7 onwards: paid by FNUASS (the National Single Fund for Social Health Insurance).
There are exceptions to the unpaid first-day rule: official quarantine or isolation orders and infectious diseases are exempt, meaning those conditions are covered from day one.
Tiered indemnity rates
For medical certificates issued from August 1, 2025 onwards, sick leave indemnity is calculated on a tiered basis using the employee’s average gross monthly income from the previous six months:
| Period of absence | Indemnity rate |
|---|---|
| Days 1 to 7 | 55% of average gross monthly income |
| Days 8 to 14 | 65% of average gross monthly income |
| Days 15 and beyond | 75% of average gross monthly income |
The indemnity is capped at 12 gross national base salaries. The maximum duration for sick leave in a rolling 12-month period is 183 days. Any extension beyond 90 days requires a specialist medical opinion.
Termination protection
Employees can’t be dismissed while on medical leave. This is a firm statutory protection, and any termination during a sick leave period would be unlawful.
Maternity leave
Maternity leave in Romania runs for 126 calendar days in total. An employee can begin leave up to 63 days before the expected birth date, and at least 42 days must be taken after delivery. The post-natal period is mandatory and can’t be waived.
Maternity benefit
The maternity benefit is set at 85% of the employee’s average earnings over the previous 12 months. The National Social Security Fund covers the full cost, so there’s no employer funding obligation beyond the administrative side. Eligibility requires the employee to have worked at least one month in the 12 months before the leave begins.
Breastfeeding breaks
During the first year after birth, employees who are breastfeeding are entitled to two one-hour breaks per day, or an equivalent daily reduction of two hours in their working schedule. These breaks are paid working time.
Termination protection
Employees can’t be terminated while on maternity leave. This protection applies for the full duration of the leave period.
Paternity leave
Fathers are entitled to 10 paid days of paternity leave, to be taken within two months of the child’s birth. If the father completes an accredited childcare course, he’s entitled to an additional five days, bringing the total to 15 days. The extra five days must be taken during the standard two-month window.
Paternity leave pay is funded through the state social system. You’ll want to confirm the administrative process for registration at the point of hiring, as this affects how reimbursement is handled.
Parental leave
Romania’s parental leave system is separate from maternity leave and available to either parent. Understanding the benefit calculation and the recent CASS change is important for workforce planning and payroll.
Eligibility
To qualify for parental leave, an employee must have received taxable income for at least 12 months within the two-year period before the child’s birth. Social insurance contributions must also be in place during that period.
Benefit and duration
The parental leave allowance is set at 85% of the employee’s average net income over the previous 12 months. The benefit is capped at RON 8,500 per month. The minimum payment is 85% of the gross national minimum wage. Leave runs until the child turns two years old, or until age three if the child has a disability.
Cass deduction from august 2025
From August 1, 2025, the 10% CASS health insurance contribution applies to the parental leave allowance. In practice, this means recipients receive approximately 10% less in net terms than the gross calculated allowance would suggest. This is worth factoring into conversations with employees about their expected income during leave.
Return to work protections
An employee returning from parental leave is protected against dismissal until the child reaches age three. If the child has a disability, this protection extends to age four. This isn’t a procedural technicality; it’s a substantive bar on termination during that window.
Exceptional parental leave
A separate category of exceptional parental leave applies when schools or childcare facilities close and the employee can’t work remotely. The payment rate is 75% of the employee’s base salary, capped at 75% of the economy’s average gross salary. This type of leave is available only for children aged 12 or younger, and only one parent at a time can claim it.
Carer’s leave
Employers must grant carer’s leave on request when an employee needs to care for a relative or household member with a serious medical condition. Romanian law provides this as an employee right, so it isn’t discretionary. The specific conditions and duration are set by law, and employers should treat requests through the standard HR process.
Mandatory benefits
Romania’s mandatory benefits framework covers public health insurance and a three-tier pension system. All of these are statutory obligations for employers operating there, either directly or through an Employer of Record (EOR).
Public health insurance (cnas)
All employees in Romania are automatically enrolled in the public health insurance system administered by CNAS (Casa Națională de Asigurări de Sănătate). The system is funded by the CASS contribution of 10%, which is deducted from the employee’s gross salary. This entitles employees to access public healthcare services in Romania.
Pillar I: public pension (cnpp)
The state pension is mandatory for all employees and administered by CNPP (Casa Națională de Pensii Publice). It’s funded through the CAS contribution of 25% of gross salary, paid by the employee. This forms the foundation of retirement income for Romanian workers.
Pillar ii: mandatory private pension
Employees under the age of 35 are required to participate in the Pillar II private pension scheme. Contributions are managed by authorised private pension funds and are directed from within the employee’s overall CAS contribution. Participation is mandatory by law for this age group, not optional.
Pillar iii: voluntary private pension
Pillar III is a voluntary top-up pension. Employers can contribute up to EUR 400 per year per employee on a non-taxable basis. This is a useful benefit to offer as part of a competitive package, particularly for senior or long-tenure hires.
FAQ
Do Romanian employees get sick pay from their first day off?
Not under the rules in force from February 1, 2026. Day one of a common illness absence is unpaid for the employee, though it still counts toward their social security contributory record. The employer’s obligation to pay begins from day two and runs through day six. FNUASS picks up from day seven onwards.
Can an employee be dismissed during maternity or sick leave?
No. Romanian law expressly prohibits terminating an employee’s contract while they’re on maternity leave or medical leave. Any dismissal during these periods would be unlawful.
What’s the maximum amount an employer can contribute to Pillar III pension without it being taxed?
Employers can contribute up to EUR 400 per year per employee to a Pillar III voluntary pension scheme without the contribution attracting income tax. Contributions above that threshold are treated as taxable income for the employee.
How long can an employee carry over unused annual leave?
Unused days carry forward to the following calendar year. The employee has until 18 months from the start of that following year to use them. After that window, the entitlement lapses.
Does parental leave allowance get reduced by health insurance contributions?
Yes, from August 1, 2025 onwards. The 10% CASS health insurance contribution is deducted from the parental leave allowance, so the net amount employees receive is roughly 10% lower than the gross figure. This is a relatively recent change and one that employees may not yet be fully aware of.
Managing Romanian employment law from abroad is complex, from tracking the February 2026 sick leave reform to administering the three-pillar pension system correctly. An EOR handles the statutory obligations on your behalf, including payroll, contributions, and compliance, so you can hire in Romania without setting up a local entity. RemotePass offers EOR services across Romania and a growing list of markets, giving you a single platform to manage your distributed team.
