The Insider's Guide to Hiring in Romania

Quick Overview

Can you hire? Yes
Employer cost 6.25%
Best model EOR
Continent Europe
Population~ 19 million
LanguageRomanian
CapitalBucharest
Country code+40
Min wageRON 4,050 per month
Working hours8 hours per day
WeekdaysMonday through Friday
Work hours per week40 hours per week
CurrencyRomanian Leu (RON)

Can you hire?

Yes

Via entity or EOR. Entity needed: Yes (or use EOR)

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Employer cost

6.25%

On top of gross salary

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Best model

EOR

Recommended for most companies

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Direct Hire

Local Entity

Set up a local entity. Full control, full compliance responsibility.

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Contractor

Freelance

Engage freelance or project-based talent. Lighter compliance, strict scope rules.

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EOR

RemotePass

Hire without an entity. RemotePass handles compliance, payroll, and visa.

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What does a $60,000 hire cost in Romania?

Drag to adjust salary

Total annual employer cost

Key Takeaways for Hiring in Romania

  • Minimum wage: RON 3,700/month
  • Standard working hours: 8 hours/day per day / 40 hours per week
  • Recommended hiring model: EOR
  • Local currency: Romanian leu (RON)

Continent

Europe

Capital

Bucharest

Currency

Romanian Leu (RON)

Language

Romanian

Pay Date

Last working day of the month

VAT

19%

Overview

IndicatorDetails
Population~ 19 million
LanguageRomanian
CapitalBucharest
CurrencyRomanian leu (RON)
Country code+40
Min wage4,050 RON gross / month.
Working hours8 hours per day
WeekdaysMonday to Friday
Work hours per week40 hours per week

Payroll

Average employer cost

6.25%

CategoryDetails
13th SalaryNot mandatory; subject to employer discretion
Avg employer tax6.25%

Tax Breakdown

Personal Income Tax (PIT)

CategoryRate / Details
Flat Rate10% on all income

Corporate Income Tax (CIT)

CategoryRate / Details
Standard Rate16%

Social Security Contributions

CategoryRate / Details
Employee Contribution25%
Employer Contribution22.75%
Total Contribution47.75%

VAT

CategoryRate / Details
VAT19%

Onboarding Process

Onboarding in Romania typically includes the following steps to ensure a smooth transition for new hires:

  1. Employment Contract — Must be in writing; include job title, duties, salary, working hours, leave entitlements, and termination conditions
  2. Registration with Authorities — Register the employee with the National House of Public Pensions (CNPP) for social security and health insurance
  3. Payroll Setup — Ensure accurate calculation and withholding of taxes and social security contributions
  4. Employee Documentation — Collect personal identification, bank account details, and tax information
  5. Provide Clear Job Expectations and Training Opportunities — Clearly communicate job responsibilities and offer training to help new employees understand their roles and integrate into the company culture.
  6. Workplace Policies — Provide access to company policies, health and safety guidelines, and any applicable collective agreements
  7. Pre-boarding — Pre-boarding Pre-boarding

Employee Leave Policies

Sick Leave

  • Paid by employer for the first 5 days; thereafter, by Social Security

Maternity Leave

  • 126 days (fully paid)

Paternity Leave

  • 10 working days; an additional 5 days if the father completes a childcare course.

Parental Leave:

  • Up to 2 years; can be shared between parents.

Annual Leave

14 Public holidays in Romania

MonthDateHoliday
January1stNew Year’s Day
January2ndDay after New Year’s Day
January24thUnification Day
April20thOrthodox Easter
April21stOrthodox Easter
May1stLabor Day
June1stChildren’s Day
June8thOrthodox Pentecost
June9thDescent of the Holy Spirit
August15thAssumption Day
November30thSaint Andrew’s Day
December1stNational Day
December25thChristmas Day
December26thBoxing Day

Termination Process

RequirementDetails
Notice PeriodEmployee-Initiated: 20 working days Employer-Initiated: 20 working days for employees; 45 working days for management
Severance PayNot mandatory; subject to employment agreements
Probation PeriodDuration: General Employees: Up to 90 calendar days Management Positions: Up to 120 calendar days
Personal DetailsName, contact information, and role of the employee.
Legal Disclaimer: The information provided in this guide is intended for general informational and guidance purposes only and does not constitute legal, financial, or human resources advice. While we strive to keep the information up to date and accurate, laws and regulations in Romania are subject to change. We recommend consulting with qualified legal and HR professionals for advice specific to your situation. RemotePass does not accept liability for any errors, omissions, or outcomes related to the use of this information.

Supporting Guides

Contractor Rules

Hiring, engagement, and misclassification rules

Read Guide →

Work Visas

Visa types, sponsorship, and permit process

Read Guide →

Payroll

Pay cycles, salary structure, and employer cost breakdown

Read Guide →

Taxes

Corporate tax, VAT, and personal income tax

Read Guide →

Benefits & Leave

Annual leave, public holidays, and statutory benefits

Read Guide →

Termination & Severance

Severance, notice periods, and the offboarding process

Read Guide →

Finally, a Payroll Partner That Actually Gets Romania

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