09 August 2004 (Insight)

Temporary work is considered an integral part of well-functioning labor markets, as it plays a key role in the creation of jobs, integration of workers into the labor market, and economic growth, such as recognized, inter alia, by the documents prepared by the International Labour Organization and the European Commission.

According to a basic definition, the temporary work is a “triangular” working system, based on a three-way relationship established among the temporary worker, a company (acting as temporary work agent - “TWA”) and a user. Pursuant to such system, the TWA employs the worker, by paying him or her, and places such worker at the disposition of the user with a view of performing certain precise and temporary tasks.

In Romania, the temporary work has been introduced by the means of the general provisions stipulated by the Labor Code. However, the real opening of the temporary work market becomes possible only at present, following the passing and coming into force of the secondary legislation for the implementation of the Labor Code (the Government Decision no. 938/2004 concerning the requirements for the setting-up and functioning, as well as the authorization, of the temporary work agents.

As to the cases which may generate temporary work, these are stipulated by the Labor Code: i. replacement of an employee whose labor agreement is suspended, during the suspension period; ii. performance of certain seasonal services and iii. performance of certain occasional of specialized activities.

The temporary work agreement (between the temporary employee and the TWA) should be concluded, as a general rule, for the duration of a single mission of temporary work. Irrespective of the number of missions covered, the duration of the agreement shall not exceed 18 months. Between two missions, the temporary employee shall be at the TWA’s disposal and receive the salary paid by the agent, which cannot be less than the gross minimum national salary.

The TWA is in charge not only with the employee’s salary, but also with the contributions and taxes owed by the temporary employee to the state budget, in compliance with the legal framework in force. Pursuant to the Labor Code, the temporary employees must have access to all services and incentives granted by the user, under the same conditions as the other employees of the user.

The issuance of the first authorizations for the TWAs’ functioning and the commencement of their activity is expected to occur after September 1st, 2004, respectively after the coming into force of the Government Decision no. 938/2004.



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