Romania's Govt. plans to support companies that want to resume operations

29 April 2020

Romania's Government is currently exploring ways to subsidize part of the labor cost for companies that resume operations, labor minister Violeta Alexandru said on Tuesday, April 28, G4media.ro reported.

This support should replace the passive measure of subsidizing the technical unemployment costs for employers hit by the coronavirus pandemic, enforced during the state of emergency.

The state will no longer cover the technical unemployment costs after May 15, when the state of emergency will end. However, companies in the sectors most severely affected by the crisis could still benefit from this state support, Alexandru added. She explained that the Government's support would be customized for categories of companies resuming operations at an earlier or later stage.

"The challenge is analyzing what sectors have been hit and to what extent," Alexandru explained.

The Government intends to replace the measure of technical unemployment with an active measure to support the resumption of activity in the various areas affected. Those who will resume operations earlier will probably have some support, while for those who will resume at a slower pace, the support will be adapted to this slightly slower pace, she explained.

Companies in Romania have suspended over one million individual labor contracts (of a total of 6.5 mln) since the state of emergency started on March 16. 

editor@romania-insider.com

(Photo source: Facebook/Violeta Alexandru)

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Romania's Govt. plans to support companies that want to resume operations

29 April 2020

Romania's Government is currently exploring ways to subsidize part of the labor cost for companies that resume operations, labor minister Violeta Alexandru said on Tuesday, April 28, G4media.ro reported.

This support should replace the passive measure of subsidizing the technical unemployment costs for employers hit by the coronavirus pandemic, enforced during the state of emergency.

The state will no longer cover the technical unemployment costs after May 15, when the state of emergency will end. However, companies in the sectors most severely affected by the crisis could still benefit from this state support, Alexandru added. She explained that the Government's support would be customized for categories of companies resuming operations at an earlier or later stage.

"The challenge is analyzing what sectors have been hit and to what extent," Alexandru explained.

The Government intends to replace the measure of technical unemployment with an active measure to support the resumption of activity in the various areas affected. Those who will resume operations earlier will probably have some support, while for those who will resume at a slower pace, the support will be adapted to this slightly slower pace, she explained.

Companies in Romania have suspended over one million individual labor contracts (of a total of 6.5 mln) since the state of emergency started on March 16. 

editor@romania-insider.com

(Photo source: Facebook/Violeta Alexandru)

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