Emergency Ordinance (OUG) no.2 regarding the establishment of social protection measures for employees and other professional categories in the context of prohibition, suspension or limitation of economic activities, determined by the epidemiological situation generated by the spread of SARS-CoV-2 coronavirus, such as and for the modification and completion of some normative acts it was published in the Official Gazette (Part I) no. 61 of January 20, 2022.
Technical unemployment benefits – important issues in 2022:
Starting with the date of entry into force of this emergency ordinance and until March 31, 2022, for the period of temporary suspension of the individual employment contract, at the initiative of the employer, according to Article 52 paragraph (1) letter c) of Law no. 2003 – Labor Code, republished, with subsequent amendments and completions, as a result of the effects produced by the SARS-CoV-2 coronavirus, unemployment insurance, but not more than 75% of the average gross salary (4571 lei) provided by the Law on the state social insurance budget for 2022 no. 318/2021.
According to article 15 of Law no. 318/2021, the average gross salary used to substantiate the state social insurance budget for 2022 is 6095 lei
The above provisions benefit employers’ employees during the interruption or temporary reduction of activity, as a result of the implementation of measures to reduce the impact of the type of risk provided by Government decisions to extend the alert in Romania.
In addition, the indemnity also benefits the employees of the employers whose activity was suspended as a result of the epidemiological investigation carried out by the county public health directorates, respectively of the Bucharest municipality, except for the employees on medical leave and who receive the related social insurance indemnity.
The technical unemployment allowance is granted and calculated according to the number of days in which the activity was suspended, but not later than March 31, 2022.
We emphasize the fact that the allowance is subject to taxation and payment of mandatory social contributions, according to the provisions of Law no. 227/2015 on the Fiscal Code, with subsequent amendments and completions.
The calculation, withholding and payment of the income tax, of the state social insurance contribution and of the social health insurance contribution is performed by the employer from the indemnities received from the unemployment insurance budget.
It is important to mention that for the calculation of the income tax the provisions of article 78 paragraph (2) letter b) of Law no. 227/2015 apply (no personal deduction is granted).
“2. The monthly tax referred to in paragraph 1 shall be determined as follows: ………………………………………….. …………………….
- b) for the incomes obtained in the other cases, by applying the quota of 10% on the calculation basis determined as the difference between the gross income and the obligatory social contributions related to a month, due according to the law in Romania or according to the international legal instruments , as well as, as the case may be, of the individual contribution to the state budget due according to the law, on each place of their realization.
The declaration of the income tax, of the state social insurance contribution and of the social health insurance contribution is made by the employer by submitting the 112 declaration. ”
The term for payment and declaration of fiscal obligations is given on the 25th, inclusive, of the month following the month in which the payment is made from the unemployment insurance budget.
According to article 220 ^ 5 of Law no. 227/2015, with subsequent amendments and completions, no insurance contribution for work is due for the technical unemployment indemnity. by the employer by submitting the 112 statement. “
We mention that in the conditions in which an employee has concluded several individual employment contracts, of which at least one contract is active for the period provided in article 1, paragraph (1) of the EMERGENCY ORDINANCE 2/2022 (20.01.2022 – 31.03 .2022), from which he obtains income at the level of the indemnity provided also in the same article, he does not benefit from the respective indemnity. If an employee has concluded several individual employment contracts and all are suspended as a result of the situations provided above, he benefits from the technical unemployment benefit related to the individual employment contract with the most advantageous salary rights.
As in the old legislative provisions, in the situation where the employer’s budget for the payment of personnel expenses allows, the allowance can be supplemented by the employer.
We specify that the period provided in article 1, paragraph (1) of the EMERGENCY ORDINANCE 2/2022 (20.01.2022 – 31.03.2022), for which the employees whose individual employment contracts are suspended and the employers of these employees do not owe the insurance contribution for work, constitutes a contribution period without the payment of the contribution in the social health insurance system for the holidays and the indemnities of social health insurance. For the establishment and calculation of the social health insurance indemnities provided by the Government Emergency Ordinance no. 158/2005, the minimum gross basic salary per country guaranteed in payment is used, in force during the period provided by the EMERGENCY ORDINANCE 2/2022.
Granting of technical unemployment allowance:
In order to grant the amounts necessary for the payment of the unemployment indemnity, the employers submit, by e-mail, to the county employment agencies, as well as to the Bucharest municipality, within whose radius they have their registered office, an application signed and dated by the legal representative accompanied by a statement on their own responsibility and the list of persons to benefit from this allowance, assumed by the employer’s legal representative, according to the model to be approved by order of the Minister of Labor and Social Solidarity within 10 working days from the entry into force of this emergency ordinances, at the proposal of ANOFM and published in the Official Gazette of Romania, Part I.
EMERGENCY ORDINANCE 2/2022 specifies that employers assume responsibility for the correctness and veracity of the data entered in the aforementioned documents.
The payment of the indemnity will be made to the accounts opened by the employers at the credit institutions.
Attention! The documents are submitted in the current month for the payment of the indemnity from the previous month.
The payment from the unemployment insurance budget of the indemnities is made within maximum 15 days from the submission of the documents.
The payment of the indemnity is made to the employee within maximum 3 working days from the receipt by the employer of the amounts. Useful aspects:
Within a calendar month, employers may request for the same period of the month, for different employees, the granting of the indemnity provided by this EMERGENCY ORDINANCE and the settlement of the indemnity provided in article 1 paragraph (7) of the EMERGENCY ORDINANCE no.132 / 2020 on measures support for employees and employers in the context of the epidemiological situation caused by the spread of the SARS-CoV-2 coronavirus, as well as for stimulating the growth of employment.
During the same calendar month, employers may benefit for the same employee, for different periods of the month, the allowance provided by this EMERGENCY ORDINANCE and the settlement of the allowance provided in Article 1 paragraph (7) of the EMERGENCY ORDINANCE no. 132/2020.
According to article 5 of the EMERGENCY ORDINANCE 2/2022, the employees of the following employers do not benefit from the allowance provided in article 1 paragraph (1):
- public institutions and authorities;
- employers who at the date of requesting the granting of these amounts are in bankruptcy, dissolution, liquidation or who have their activities suspended or on which restrictions are imposed for reasons other than those generated by the spread of coronavirus.
Legal basis:
¾ EMERGENCY ORDINANCE no. 2/2022 on the establishment of social protection measures for employees and other professional categories in the context of prohibition, suspension or limitation of economic activities, determined by the epidemiological situation generated by the spread of SARS-CoV-2 coronavirus, as well as for modification and completion of some normative acts;
¾ Fiscal Code (approved by Law no. 227/2015, published in the Official Gazette no. 688 of 10.09.2015), with subsequent amendments and completions;
¾ Law 318/2021 on the state social insurance budget for 2022;
¾ EMERGENCY ORDINANCE 132/2020 on support measures for employees and employers in the context of the epidemiological situation caused by the spread of SARS-CoV-2 coronavirus, as well as to stimulate employment growth.