Romania: Proposed changes would increase family-related leaves

Employer Action Code: Monitor

Bill 378/2022 would introduce a variety of amendments to the Labor Code, including an increase in employer-paid paternity leave and the introduction of paid carer leave. The bill’s chief aim is to transpose European Union (EU) directives 1152 (on transparent and predictable working conditions) and 1158 (on work/life balance) of 2019, which is required of all member states by August 2022. The bill is currently with the Senate for approval.

Key details

Notable changes to the Labor Code include:

• Increasing the minimum entitlement to employer-paid paternity leave from five to 10 workdays: Note, paid leave may continue to be increased to 15 days if the father has completed a medically certified “infant care course.”
• Introducing employer-paid carer leave (five workdays annually), which may be used to care for a relative or seriously ill individual living in the same household: Qualifying conditions would be established separately by government order. In addition, employees may request up to 10 paid days per year for family emergencies (employees must make up any missed work time).
• Protecting staff who take any of the above-mentioned leaves against employer discrimination and termination: Protections also cover employees who file complaints against their employers. Leave periods would also count as active service periods.
• Expanding the mandatory elements that employment contracts must address, relating to place of employment, method of wage payment, overtime and shift compensation, trial period and any benefits-in-kind provided by the employer (among others): In addition, work rules must cover notice of termination and vocational training programs (if any).
• Giving employees with at least six months of consecutive service priority consideration for internal vacancies that would provide safer and/or more predictable working conditions: Employees may also request temporary flexible working hours.

Employer implications

Given the EU mandate for all member states to transpose the two directives, it is expected that the bill will be passed into law, although its exact provisions are still subject to parliamentary change and approval. Among companies surveyed by WTW, the enhancement of statutory family-related leaves is rare, with fewer than 10% of companies providing paternity leave in excess of requirements. In addition, only 2% provide paid compassionate leave. Employers should continue to monitor developments in order to remain compliant while reviewing the potential impact of the amendments on their policies and practices.