Financial aid from the Government for the employment of young people in agriculture and food industry

Authorized companies and authorized individuals (PFA) will be able to apply for money from the state to employ young people in agriculture, aquaculture and the food industry. Mainly, we are talking about a financing program that was applied last year and that is functional in 2020 as well

However, only last week, the Government agreed the funds for 2020, so that applicants may receive the promised money.

According to the draft resolution discussed and adopted on April 29 in the Executive session, the funds for 2020 will be of 1 (one) million lei.

We specify that the rules of the youth employment financing program are included in the Law 336/2018 and in its application norms: the Government Decision 325/2019. We mention that the registrations for financing are possible until the end of 2020.

The program provides, in essence, that the employment of young people up to 40 years in agriculture, aquaculture and food industry is rewarded with a premium between 500 and 1,000 lei for each person and the exemption from paying income tax.

In order to obtain these subsidies, farmers’ employers must meet the requirements of the legislation. Then, they must submit to the territorial agricultural management (in the area of their headquarters) a file containing the following documents:

For the employer:

  • application for registration in the program (attached to the article);
  • copy of the identity document of the legal representative
  • the original ascertainment certificate showing the eligibility criteria regarding the fact that it is registered in the Trade Register, that it operates in the fields of agriculture, aquaculture or food industry and that it is not in forced execution, judicial reorganization, bankruptcy, operational closure, dissolution, liquidation or special administration, suspension or other similar situations
  • the original fiscal attestation certificate from the local authorities, stating that it has no fiscal debts to the local budget (the mention “issued to benefit from Law no. 336/2018” is necessary);
  • the original fiscal attestation certificate from the National Tax Authorities (ANAF), stating that it has no fiscal debts to the general consolidated budget (the mention “issued to benefit from Law no. 336/2018” is necessary);
  • the original of a document from the bank or from the treasury, showing that he has an active account
  • an extract from the Register of the Employees (Revisal) showing the period of employment contracts and duration of work, for employees for whom money is required;
  • statement on the own responsibility of the farmer- employer (annexed to the article);

For employees for whom money is required:

  • copy of the identity document;
  • supporting documents (where applicable) for proving the graduation of specialized studies in the field of agriculture, aquaculture and / or food industry, as well as qualification certificates with national recognition for proving the graduation of professional training courses in agriculture, aquaculture and / or the food industry
  • statement on the own responsibility of the employee for whom money is requested (attached to the article).

The documents must be presented to the authorities in original and in copy, where applicable, the copies being marked with the phrase “in accordance with the original” and signed by the farmer- employer or legal representative.

Subsequently, the territorial managements check the files and approve or reject the applications. In any case, it should be mentioned that the employers accepted in the program will have to submit monthly to these directions, until the 15th of the current month for the previous month, an extract from Revisal and the payroll for the employees for whom money is given. Proving that employees are retained, the departments can approve, from month to month, the payment of subsidies to farmer-employers.

The state will provide monthly money, for 12 months, for companies and PFA-farmers that employ at least 2(two) young people for at least one year, who are up to 40 years old.

Therefore, for each employee, the applicant will be exempt from paying income tax and will receive monthly:

  • 1000 lei for young people with higher specialist agricultural studies, aquaculture and / or food industry;
  • 750 lei for young people with specialized secondary education and those who have attended short-term professional training in agriculture, aquaculture and / or food industry;
  • 500 lei for young people without studies.