The Ministry of Labour and Social Security (MMSS) is preparing a draft law on employment, which it hopes would eliminate employment by civil convention, a form of activity MMSS officials deem as "grey market" work.
According to the latest estimates, nearly two million people are employed on the "grey" or "black" market in Romania.
Labour minister Marian Sarbu told a news conference on Tuesday that "these types of employment will be eliminated in order to ensure the observance of the legal norms regulating work relations, as well as employees' health and social security." The MMSS official specified the civil conventions would no longer exist, as this type of employment does not bind the employer to pay social security contributions, therefore the employee is not insured.
The new act also aims at discouraging such practices so that it increases the minimal and maximal fines to be paid by those hiring people illegally. Those found to be employing people from the "black" or "grey" market will be fined with five to ten million lei per employee, according to the minister.
Those currently employed by civil convention will have the possibility to choose between concluding an individual full-time or part-time employment contract.
The people employed by an individual part-time contract will benefit from all the rights, depending on the time actually spent at work, according to the law. The work done while under contract will be considered length of service, as well as a time for which the contribution to the public pension system is paid.
"As soon as this law is out, every employee will benefit from the employee protection, as the juridical norms in force will apply to everybody," the Minister added.
The draft also stipulates penalties for those using child labour, endangering the children's life, health, mental or physical development by doing so.
"The fines for this crime will reach 30 to 60 million lei," Sarbu said. He says that the draft law on employment has already been sent to various ministries for endorsement, and is to be sent to Parliament for debate and enactment in two months.
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