Social Reference Indicator (IRS) – increased from March 1

According to Law no. 225/2021 for amending and supplementing Law no. 76/2002 on the unemployment insurance system and stimulating employment, starting with March 1, 2022, the value of the reference social indicator is updated, ex officio, in each year, on March 1, with the average annual inflation rate from the previous year, final indicator, communicated by the National Institute of Statistics.

Thus, according to articol  33 ^ 2 and 33 ^ 3 of Law no. 76/2002, articles introduced by Law no. 225/2021, published in the Official Gazette no. 735 of July 27, 2021, the value of the reference social indicator is updated, ex officio, every year, on March 1, with the average annual inflation rate from the previous year, the definitive indicator, communicated by the National Institute of Statistics.

We mention that in the conditions in which the situation in which the average annual inflation rate has a negative value, the last value of the social reference indicator is kept.

We remind you that according to articol  33 ^ 1 of Law no. 76/2002 on the unemployment insurance system and employment stimulation, the value of the reference social indicator was, until March 1, 2022, 500 lei.

In accordance with Article 5(IX) of Law No 76/2002, the social reference indicator of unemployment insurance and employment stimulation, hereinafter referred to as the social reference indicator, is the unit expressed in lei at the level of which the monetary benefits borne by the unemployment insurance budget are reported, granted both to ensure the protection of persons under unemployment insurance and to stimulate certain categories of persons to take up employment and employers to take up employment.

The average annual inflation rate for 2021, according to data published by the National Institute of Statistics, is 5.1%, so that the value of IRS increases from March 1, 2022 from 500 lei to 525.5 lei.

It is important to point out that, depending on the reference social indicator, certain rights are calculated that may benefit employees or former employees, among which we mention the allowance for parental leave (article 2 of Emergency ordinance (OUG) no. 111/2010), the allowance for unemployment (article 39 of Law no. 76/2002), social benefits (see Law no. 416/2001), benefits granted to persons with disabilities (Law no. 448/2006).

Thus, from March 1, the minimum limit of the amount of the monthly allowance related to the parental leave has also increased. More precisely, because, according to OUG 111/2010, the value of the monthly allowance cannot be less than the amount resulting from the application of a multiplication coefficient of 2.5 to the IRS value, its minimum threshold is, starting from March, at 1,314 lei .

The indemnity is, in fact, 85% of the average net income achieved in the last 12 months, but it must fall within the lower limit mentioned above and the maximum value of 8,500 lei.

Also, because this is also calculated according to the IRS, and the value of the allowance for parental leave in the case of twin, triplet or multiplet pregnancies is increased. In addition, it will record an increase and the allowance received in case of overlapping two parental leave.

Thus, as a result of the application of the new ISR value, the calculation basis for the unemployment indemnity will be increased from 375 lei to 394 lei, the insertion premium will increase from 1,500 to 1,576 lei and the subsidy for marginalized persons, of from 2,000 to 2,102 lei.

The same percentage increase, of 5.1%, will be applied in the case of social assistance benefits. The social assistance is to increase from 142 to 149 lei, the minimum allowance for raising a child, from 1,250 to 1,314 lei.

The increase of the IRS value leads to the increase of the minimum guaranteed income received by families and single persons as a form of social assistance, established by Law 416/2001.

Specifically, it will have the following values:

• 149 lei (ISR 0.283) for a single person;
• 268 lei (0.510 IRS) for families of two people;
• 375 lei (0.714 IRS) for families of three people;
• 465 lei (0.84 IRS) for families of four;
• 554 lei (1,054 IRS) for families of five people;
• 38 lei (ISR 0.073) for each other person over the number of five people, who are part of the family.

In addition, the monthly allowance for people with disabilities has increased from 350, as it is now, to 369 lei, in case of a severe disability, and from 265 to 279 lei, in case of severe disability.

Also from March 1, 2022, the allowance for family support was increased, provided in Law 277/2010 on the allowance for family support – Republished, with subsequent amendments and completions.

Thus, according to the law, depending on how high is the average monthly net income per family member (relative to IRS), the monthly amount of the allowance is set according to IRS:

Thus, according to the law, depending on how high is the average monthly net income per family member (relative to IRS), the monthly amount of the allowance is set according to IRS:

Legal basis:

• Law 76/2002 on the unemployment insurance system and employment stimulation;
• Law 225/2021 amending and supplementing Law no. 76/2002 on the unemployment insurance system and stimulating employment;
• Law 277/2010 on the allowance for family support – republished;
• OUG 111/2010 regarding the leave and the monthly allowance for raising children.