Restructuring legislation

The law reforms the current system of training whilst in employment. Previously 1,9% of the yearly wage mass in private companies had to be invested in training. The new law dismisses both this system and the sanctions that accompanied it. Instead a new interprofessional goal of 5 days on average spent on training per FTE has been introduced. The 5 days of training have to be concretised by either a new collective agreement or by extending the previous collective agreement.

The new law foresees in the organisation of training, either on a sectoral or company level by creating individual education accounts. In case no collective agreement has been settled on either the sectoral or company level, the employee is still entitled to 2 training days per year for each FTE.

The law aims at both formal and informal training (that are directly related to the job). The training provided can also be related to health and wellbeing at work.

If the employee isn't able to to use up the training days he/she is entitled to, the unused days will be transferred to the next year, without reducing the number of days in that year. 

The employer is obliged to provide conditions for maintaining and improving the employees’ professional qualifications for the efficient performance of their duties under the employment relationship in compliance with the requirements of the performed work and their future professional development. Plans are developed in cooperation with the national employment agency. The employer is responsible for providing vocational training and upgrading employees' professional skills, especially for those who return to work after a long absence.

For the purpose of development of the professional knowledge and skills of employees, the employer is obliged to provide the employees with training based on the interests of the employer’s enterprise and bear the training expenses and pay average wages during the training. There are no specific conditions.

The employer, in cooperation with employee representatives, must draw up and maintain a work community development plan for the systematic and long-term development of the work community. The drawing up and maintaining of the development plan is part of workplace dialogue around for instance the skills needs and skills development of employees. The plan is subject to changes in the case of redundancies due to economic or production-related reasons. In these cases, necessary amendments should be made in the development plan in connection to the dialogue and after the end of cooperation negotiations.

The work community development plan must include:

• Current situation and foreseeable developments that may impact the skills needs of employees;
• Goals and measures to develop and maintain the skills of employees;
• Monitoring procedures;
• Principles for the use of external workforce.

During the drawing up and maintaining of the work community development plan, attention should be paid, where appropriate, to:

• The impact of technological development, and other possible changes on the work community;
• The specific needs of employees in different life situations, in particular the need to maintain the working ability of older workers and those at risk of invalidity, and the employability of employees at risk of unemployment.

The failure to draw up or maintain a work community development plan can lead to fines for the employer.

An employer can in turn be eligible for either tax deductions or financial support for the training of its employees according to the work community development plan. Twice a year, the employer must provide information to the employee representative on the employee structure and numbers, and number of employees with temporary or part time contracts.

If an employer announces the dismissals of at least ten employees on production or economic-related grounds, the employer is obliged to draw up an Action Plan during the start of cooperation negotiations. The Action Plan needs to, among other things, include the promotion of the use of unemployment services and education for the dismissed employees. In the case a dismissal concerns less than ten employees, a policy must be presented during the start of cooperation negotiations. The policy shall support the employees’ search for other jobs or training.

According to the Employment Contracts Act, if an employer needs more employees for tasks suitable for employees who are already working part-time for the employer, the employer must offer such employment to the part-time employees. If these part-time employees need further training in order to perform new duties, the employer is obliged, within reasonable limits, to provide such training.

An employer who has dismissed an employee on financial or production-related grounds is obliged to offer the employee training to promote employment. This applies to companies employing 30 people or more, and to employees who have been employed by the employer for an uninterrupted period of five years or more. National employee and employer representatives do however have the right to change this in Collective Agreements.

Furthermore, instead of dismissing or temporarily laying off an employee, the employer must, within reasonable limits, seek to arrange relevant training to the employee so as to allow the employee to stay at the company. However, an employer may furlough employees if such training cannot be reasonably arranged.

Employers are required to finance the vocational training system and according to the Labour code, the employer is obliged to ensure the adaptation of employees to their workplace. Furthermore, the legislator and the case law forced them to be more active through schemes like the personal training account, the obligation to negotiate Anticipatory management of employment and competencies plan or the commitment to organise a career interview for each employee.

​Personal training account (Compte personnel de formation, CPF)

According to article L. 6111-1, all private sector employees are required to have a personal training account (CPF), valid from their first entry in the labour market until their retirement. The CPF allows employees with 16 years of age or more to acquire training entitlements that are registered in the account for the whole working life. Changing jobs or alternating between work and unemployment does not affect an individual's right to training.

The CPF is part of the occupational personal account (Compte personnel d’activité, CPA), which aims at securing the individual's professional career by strengthening freedom of action and removing obstacles to mobility. The CPA can be opened by any person with 16 years of age or older, who is employed, looking for a job or accompanied by public employment services in a career orientation and integration project. The service is accessible from an online website. 

From 1 January 2019, training entitlements acquired under the CPF are monetised and deducted in euros. From 2020, if an employee works at least half of the legal or contractual working time for the whole year, the employer credits the CPF with up to €500 per year (subject to a total maximum of €5,000) at the end of the year. If the employee works less than half of the legal or contractual working time for the whole year, the employer credits the CPF at the end of that year in proportion to the time worked.

Rights stated on the account can be supplemented at the time of use if the holder does not have sufficient money to complete the course taken. It can be topped up by the employer, the employee, sectoral-level collective agreements or the public employment services. In case of unemployment, the account can be supplemented by the state or the competent regional employment authority. Collective agreements at company level might also provide for additional financial contributions paid by the employer towards personal training accounts.  

In order to be eligible for the CPF, courses must be mentioned on an official list accessible online. Examples of listed courses include training programmes awarding a professional qualification, accreditation of prior experiential learning and training courses dedicated to business creation. The account holder has full control over the use of the CPF, which cannot be debited without her consent.

Skills development plan (Plan de développement des competences)

According to L. 6312-1, an employer must offer training as part of the skills development plan, which aims at ensuring that employees adapt to their workplace and maintain their ability to retain their jobs, particularly in light of technological developments. 

Even though not legally compulsory, the skills development plan is a document that gathers all the training initiatives selected for employees. The plan can support the employer in complying with legal duties mentioned in article L. 6312-1. Employee representatives need to be informed and consulted about the employer's decision to set up such a plan.

The skills development plan distinguishes between the following two initiatives:

• Mandatory training initiatives, pursuant to collective agreements: They aim at developing skills directly applicable to the performance of the employee's duties or linked to a planned change or modification of the employee's duties within the employment contract. As the employee is not required to express her consent to these mandatory initiatives, her refusal to take part in them can constitute grounds for dismissal, unless the employer offers the employee a skill assessment or a validation of prior experience (Validation des acquis de l'expérience - VAE). Even though these initiatives take place during working hours, the employee is entitled to the contracted remuneration and social protections.
• Other training initiatives, referred to as non-compulsory: They aim at developing skills applicable to other professional roles different than the employee's current one either within or outside the company. In all cases, the employer needs to obtain the written consent of the employee. The employee's refusal to take part in them cannot constitute grounds for dismissal. If these initiatives take place during working hours, the employee is entitled to the contracted remuneration and social protections. If these initiatives take place outside of working hours, they need to comply with the time limit per employee as defined by company-level collective agreement. In case of no company-level collective agreement, article L. 6321-6 provides for a limit of 30 hours per year, per employee. Before undertaking training, the employer needs to agree with the employee on the amendments to the employment contract with respect to change of qualification and increase in remuneration among others.

The skills development plan may include as well the following actions:

• Skill assessement;
• Validation of Professional Experience (Validation des acquis de l'expérience - VAE);
• Fight against illiteracy.

Career interview (Entretien professionnel)

According to article L. 6315-1, employees are entitled to a career interview at least every two years. The interview allows employees to consider their career development in terms of qualifications and roles. Every six years, the employer has to produce an individual written evaluation for all employees. In companies with 50 employees or more, the latter document is used by the employer to check whether the employee has benefited from sufficient training. A copy of the document is as well delivered to the employee. If the employee did not benefit from a career interview and at least one non-compulsory training initiative, a financial bonus is automatically credited to the employee's CPF.

Commitment to fund vocational training

According to articles L. 6331-1 and L. 6331-6, employers contribute to funding vocational training through an earmarked contribution. Employers fund vocational training with a single, compulsory contribution. The latter amounts to 0.55% of the gross monthly salary for companies with fewer than 10 employees. The contribution rises to 1% of the gross monthly salary for companies with 10 or more employees, which are allowed to reduce their contribution to 0.8% if they agree to allocate the remaining 0.2% directly to the employees' CPF.

Anticipatory management of employment and competencies (Gestion prévisionnelle des emplois et des compétences, GPEC)

According to article L. 2242-20, the employer has an obligation to launch negotiations every three years on its corporate strategy with respect to the foreseeable effects on employment. The following list include topics covered by the negotiations:

• the introduction of an 'anticipatory management of employment and competencies' scheme, which includes supporting measures like training or validation of prior work experience;
• the conditions for internal occupational and geographical mobility (if applicable), which need to be specified even if introduced in the company through a collective agreement;
• the general three-year guidelines on vocational training and the targets, objectives and desired outcomes of the skill development plan;
• the forecasts on the use of employment contract typologies, working time arrangements, traineeships and the measures taken to reduce the use of precarious forms of employment;
• the conditions on which subcontractors are informed about strategic guidelines of the company that might have an effect on their profession, employment and skills;
• the career development of employee representatives and the exercise of their duties.

The outcome of the negotiation has to be assessed at the date of expiry of the agreement.

According to article L. 2242-21, negotiations may also cover: 

• the channels for information and consultation with the works council on collective dismissals;
• the definition of employment categories threatened by economic and technological developments;
• the procedures for association with subcontractors on the anticipatory management of employment and competencies scheme;
• the conditions under which the company takes part in actions on the anticipatory management of employment and competencies at the territorial level;
• the implementation of mobility leaves under the terms planned by article L. 1237-18;
• the training and sustainable integration of young people into employment, the employment of older employees and the transmission of knowledge and skills, the prospects for the development of apprenticeship programmes, as well as the arrangements for the reception of apprentices and trainees and the improvement of the working conditions of older employees.

Under the Works constitution act, both the employer and the works council should promote vocational training and occupational education of employees, in cooperation with the authorities responsible for training and training support. They are, however, not obliged to do so.

On request of the works council, the employer has to investigate the training demand among employees and discuss questions regarding training. The employer and the works council have to consider enabling workers to participate in training, taking into account the company related requirements. The specific needs of older employees, part-time employees and employees with family obligations ought to be considered.

The qualification opportunities act was adopted in December 2018 and entered into force in 2019. The act expanded the subsidies provided by the Federal Employment Agency to train employees whose employment activities can be replaced by technologies, that are otherwise affected by structural change, or seek further vocational training in a bottleneck job. Before the reform, the training was reserved to unqualified workers, older workers in SMEs, and workers at risk of unemployment.

The qualification opportunities act changes the support lines in Social code III. Employees and employers are entitled to guidance for qualification and training measures (Art. 29) and can receive subsidies for training measures (Art. 82) through the Federal Employment Agency. A number of conditions will apply for qualifying to the training (e.g.): Knowledge and skills must go beyond job-related, short-term adaptation training; professional qualification must date back at least four years; duration of the training must be at least 160 hours and training must not be provided by the employer.

In May 2020, the act on promoting further training during in a time of structural change took effect. It eases regulations for the Federal Employment Agency to support employers and workers in their training efforts. Amongst other things, the new rules foresee that local employment agencies can increase subsidies for course costs and wages if at least every fifth employee in the company needs training. Small- and medium-sized companies (defined as those with fewer than 250 employees) can receive higher subsidies even if only ten per cent of their employees undergo continuous training. As before, the training course must meet certain standards but its minimum duration was lowered from 160 to 120 hours. Due to this reduction, employees can choose from a greater number of courses to meet their needs.

The employer must create a training plan based on the diagnosis for training needs of the employees. The training plan should be annual or multi-annual. The plan must specify objectives, the training entity, the training actions, the place and schedule of the training. 

The elements not possible to be specified in the training plan will be reported to the workers concerned, to the works council or, in its absence, to the inter-union committee, trade union committee or the trade union delegate.

The regulation does not apply to micro enterprises, defined as enterprises employing fewer than 10 workers.

One of the aims of vocational training must be related to promoting the qualification or retraining of workers who are at risk of becoming unemployed.

In the scope of lifelong learning the employer shall ensure:

• a minimum number of annual training hours for each employee (40 hours per year), either through programmes carried out in-house or allowing time-off to attend training programmes outside on their own initiative. Fixed-term contracts of less than three months are excluded and, in the case of other fixed-term contracts, the number of hours is calculated proportionally to the length of the contract. The same rule applies for temporary workers;
• that continuous training should target at least 10% of employees every year;
• the promotion of the development and improvement of the qualifications of employees in order to improve their performance and increase productivity and competitiveness of the company.

If a company has been declared as facing economic difficulties or is in the recovery process, the employer may temporarily reduce the normal working hours or suspend the employment contracts. The reduction or suspension must have a predefined duration not exceeding six months. Only in the case of a catastrophe or other occurrence which has severely affected the normal activities of the company the reduction or suspension may have the duration of one year.

During the reduction or suspension of the contract, workers are entitled to receive a minimum amount equal to two-thirds of the gross wage (without discounts) that they would receive if they were working normally. Additionally, during the period of reduction or suspension of the contract the training should be oriented to the company's viability and the maintenance of jobs, or the development of the workers' qualification in order to increase their employability. The training plan is drafted by the employer, following the consultation of the workers covered and opinion of the worker representative structure.  

According to the labour code, employers have the obligation to ensure, at their own costs, the participation of all employees in vocational training programmes.

The training period depends on the number of employees; employers shall ensure participation in professional training at least once every two years if they have at least 21 employees, and at least once every three years if they have fewer than 21 employees.

According to the labour code, an employer with more than 20 employees must design and implement annual vocational training plans in consultation with the trade union or, as the case may be, the representatives of the employees. Such training programme becomes an addendum to the company collective agreement.

Under the law, the main objectives of vocational training are to provide for:

• professional readjustment caused by socioeconomic restructuring;
• qualification changes caused by economic restructuring, by social mobility or by changes in the labour capabilities;
• better social integration of individuals in compliance with their professional aspirations and the demand of the labour market;
• training of human resources able to contribute to higher competitiveness of the labour force;
• updating of knowledge and improvement of professional training in the main occupation as well as in related occupations;
• acquisition of advanced knowledge, modern methods and procedures required to fulfil professional tasks;
• updating of specific knowledge and skills needed for the position and the job, and improvement of professional training to enhance employment opportunities;
• acquisition of advanced knowledge, modern methods and procedures needed to carry out professional activities;
• prevention of unemployment risks;
• access to vocational skills;
• career development and advancement.

The employees have the right to be informed about the contents of the vocational training plan. Subsequent, the employee having enjoyed a vocational training course or an internship financed by the employer may not resign for a certain period of time, negotiated by the parties, otherwise he/she would have to pay back all expenses generated by the vocational training.

Regulations encouraging employers to ensure the training of employees can also be found in Government Ordinance 129/2000, republished in the Official Gazette of Romania no. 110 from 13 February 2014 and in the Law no. 76/2002 regarding unemployment benefits and labour force employment stimulation.

Under these regulations, an employer seeking to ensure the professional training of the employees must consult the trade unions or the representatives of the employees when designing professional training plans, in compliance with sectoral development plans and strategies.

The law also provides certain incentives for employers who provide vocational training courses (article 48 (1) of Law no. 76/2002).

The Government decision No. 474/2022 amends and supplements the Methodological Rules for implementing the provisions of Government Ordinance No. 129/2000 on vocational training of adults, approved by Government Decision No. 522/2003.The normative act regulates the implementation of the provisions of Government Ordinance No 129/2000 on adult vocational training, republished, amended and supplemented by Government Emergency Ordinance No 96/2016. The act is amending and supplementing certain normative acts in the fields of education, research, vocational training and health.

Act No. 311/2001 Coll. of the Labour Code provides a 'general background' for skill development and training of employees. It includes:

• increasing/deepening the qualification of employees needed for the employees' work performance agreed in their employment contract, and
• participation in additional education (lifelong learning) particularly required by law.

As these activities limit workers' availability to work, employers may provide employees with time off from work and wage compensation (in amount of the employee's average monthly wage) if the skill development and training is compliant with the needs of the employer. The Labour Code specifies the length of time off provided for individual education and training activities usually by the number of days. For instance, two days for each partial exam, five days for a final exam.

An employer is obliged to retrain an employee who is to be transferred to a new workplace or to a new type of work or manner of working, if such is necessary, particularly with regard to changes in work organisation or to other rationalising measures. The Labour Code only regulates conditions for increasing and development of qualifications regardless of whether it is long-term or short-term training; it does not regulate long-term training directly.

There is no legal regulation that would expressly state employers’ obligations to plan the development of their employees’ skills and competencies whether on a permanent or occasional basis.

An employer is obliged to provide education, training and further training to workers if the needs of the working process require so or if education, training or further training may prevent the cancellation of the employment contract for reasons of incompetence or for business reasons. In accordance with the needs of education, training and further training of workers, the employer has the right to refer the worker for education, training and further training. Education, training and further training are defined as a right and obligation of the employer and the worker alike.

The duration and the course of education and the rights of the contracting parties during and after the education are to be laid down in a contract on education and/or a collective agreement. A worker who is undergoing education, training or further training has the right to absence from work to prepare for or take exams, at least when the worker takes an exam for the first time.

The employer must ensure equal treatment in respect of the personal circumstances regarding access to training, education, and requalification.

A temporary work agency is obliged to provide the worker with education, training and further training as described above. The temporary work agency and the user undertaking must lay down the education, training and further training of the worker during their assignment to the user undertaking.