Social protection measures for employees – technical unemployment

On 04.10.2021 it was published in the Official Gazette no. 945 Emergency Ordinance no. 111 of October 2, 2021, for 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.

Starting with 04.10.2021 and until December 31, 2021, for the period of temporary suspension of the individual employment contract, at the initiative of the employer, as a result of the effects produced by the SARS-CoV-2 coronavirus, employees benefit from an indemnity of 75% of the basic salary corresponding to the job occupied, but not more than 75% of the average gross salary used to substantiate the state social insurance budget (not more than 4,035 lei).

The measure applies to the following categories of employees:

– the employees of the employers during the period of temporary interruption of the activity, totally or partially, in the context of the increase of the incidence of the spread of SARS-CoV-2 coronavirus and of the measures for diminishing the impact of the type of risk;

– the employees of the employers whose activity was suspended as a result of the epidemiological investigation carried out by the public health directorates, except for the employees who are on medical leave and who receive the afferent social insurance indemnity;

 

In the situation where an employee has concluded several individual employment contracts from which at least one contract is active and from which he obtains income at the level of the technical unemployment indemnity, he does not benefit from the indemnity.

If an employee has concluded several individual employment contracts and all are suspended as a result of the situations described above, he benefits from the technical unemployment benefit related to the individual employment contract with the most advantageous salary rights.

If the employer’s budget for the payment of staff costs allows, the technical unemployment allowance may be supplemented by the employer.

The employees who will benefit from the technical unemployment indemnity cannot benefit at the same time from other fiscal facilities.

The technical unemployment indemnity is subject to the taxation and payment of compulsory social contributions (CAS, CASS) but the labor insurance contribution (CAM) is not due.

The measure does NOT apply to employees of the following employers:

– public institutions and authorities;

– employers who at the date of requesting the granting of these amounts are in bankruptcy, dissolution, liquidation or who have suspended activities or on whom restrictions are imposed for reasons other than those generated by the spread of SARS-CoV-2 coronavirus.

 

In order to settle the amounts, the employers will request the indemnity based on request and declaration on their own responsibility, accompanied by the document attesting the temporary interruption of the activity, totally or partially (we will return with details after the publication of the methodological norms).

The application and the supporting documents are submitted monthly, until the last day of the month following the one for which the indemnity is requested.

In the situation in which this term is exceeded, the indemnity related to the respective month is no longer granted.