President Iohannis promulgates law on undeclared labour, employers risk big fines, jail

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President Klaus Iohannis has promulgated the law that sets new fines for undeclared labour.

Thus, the employers may be fined RON 20,000 if they accept at work people without an individual labour contract. If employers continue this practice after being fined, they risk up to two years in prison, reports.

The Senate did not approve the new fines, but the Chamber of Deputies, as decision-making body, approved the law in mid-March, providing the capping of the total amount of the fines to a ceiling of RON 200,000. The draft bill received 177 votes for, 71 against and 6 abstentions.

According to the bill adopted by the Chamber of Deputies, ‘undeclared labour’ means: “accepting a person at work without an individual work contract, in writing, the day before the start of the activity at the latest; accepting an individual at work without sending the contract to the general register of employees’ record, no later than the day before the start of the activity.”


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