Collective dismissal in Romania: what the law gives you
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Collective dismissal in Romania: what the law gives you

Consultation, the ITM and AJOFM, 30 days, 20 working days, 45 days: the Labour Code step by step, checked against the official text.

This week in Romania, Bucharest’s transport company STB handed out 796 dismissal notices in one day, and the transport minister announced a collective dismissal of about 1,500 people at CFR Marfă. If an employer starts talking about “restructuring”, the Labour Code gives employees more than most people realise: a written consultation, fixed deadlines, a wait of at least 30 calendar days before any dismissal decision, at least 20 working days of notice, a 45-day right to be rehired first, and 45 calendar days to go to court. I read each article in the official consolidated text on legislatie.just.ro. Here is what they say, in plain English.

This is general information, not legal advice. I am an engineer, not a lawyer. Laws change and every case has details that matter. Before you sign, refuse or contest anything, check with a labour lawyer or your union.

Contents · 9 sections

TL;DR #

  • A dismissal is “collective” in Romania from 10 people in 30 days at a firm of 21 to 99 staff, 10% at 100 to 299, and 30 people at 300 or more (art. 68).
  • The employer must consult the union or representatives in writing, including the criteria for who goes, and copy the labour inspectorate (ITM) and employment agency (AJOFM) (art. 69-70).
  • After consultation it must wait at least 30 calendar days before issuing decisions (art. 72); each person then gets at least 20 working days of notice (art. 75).
  • A dismissal that skips the procedure is void (art. 78); you have 45 calendar days to go to court (art. 268).
  • This autumn’s Romanian wave is mostly state companies with money problems: STB and CFR Marfă.

When is it “collective”? #

Article 68 of the Labour Code (Law 53/2003) defines collective dismissal as dismissals, within 30 calendar days, for one or more reasons not related to the employee, of:

  • at least 10 employees, if the employer has more than 20 and fewer than 100 staff;
  • at least 10% of employees, if it has at least 100 but fewer than 300;
  • at least 30 employees, if it has 300 or more.

Two details matter. First, other terminations started by the employer for reasons unrelated to the person also count towards the number, provided there are at least five dismissals. Second, the reason must be that the job itself is abolished, and article 65 says that abolition “must be effective and have a real and serious cause”. A post that is “abolished” and refilled under a new title is the classic thing courts look at.

The EU floor is Directive 98/59/EC on collective redundancies. Its thresholds have the same shape, and it requires consultation “in good time with a view to reaching an agreement”, notification of the public authority, and at least 30 days before dismissals take effect. Romania’s Code goes in the same direction and adds its own deadlines.

The procedure, step by step #

Step 1 is consultation (art. 69). The employer must consult the union, or employee representatives where there is no union, “in good time and with a view to reaching an agreement”. The talks must cover at least ways to avoid or reduce the dismissals, and ways to soften their effects, including retraining. During the consultation the employer must give, in writing:

  • the total number and categories of employees;
  • the reasons for the planned dismissals;
  • the number and categories affected;
  • the criteria for deciding the order of dismissal;
  • the measures planned to limit the number of dismissals;
  • the measures to soften the effects, and the compensation to be paid under the law or the collective agreement;
  • the date or period of the dismissals;
  • the deadline for representatives to make proposals.

Article 69(3) adds that the order-of-dismissal criteria are applied to separate employees after an evaluation of how well they met their performance objectives. So a recent evaluation can matter.

Step 2: a parent company abroad is no excuse (art. 69(4)-(5)). These duties apply even when the decision is taken by a company that controls the employer. The employer cannot say it broke the rules because head office did not send the information.

Step 3: the labour inspectorate and the employment agency get a copy (art. 70). The same day the notice goes to the union or representatives, a copy must go to the county labour inspectorate (ITM) and the county employment agency (AJOFM).

Step 4: ten days for counter-proposals, five days for a reasoned answer (art. 71). Representatives have 10 calendar days from receiving the notice to propose ways to avoid or reduce dismissals. The employer must answer in writing, with reasons, within 5 calendar days.

Step 5: formal notice, then a 30-day wait (art. 72). If the employer goes ahead after consultation, it must notify the ITM and the AJOFM in writing at least 30 calendar days before issuing the dismissal decisions. That notice must include the results of the consultation. The union or representatives get a copy the same day and can send their own views to the ITM. On a reasoned request, the ITM can shorten the 30 days, but that does not touch the individual notice period.

Step 6: the employment agency looks for solutions, and the ITM can add 10 days (art. 73). During the 30 days, the AJOFM must look for solutions and share them. If issues are still unresolved, the ITM can postpone the decisions by up to 10 calendar days.

Step 7: individual notice (art. 75). Each person dismissed gets at least 20 working days of notice. Following a 2024 ruling of the High Court of Cassation and Justice on uniform interpretation, the period starts on the day after the notice is communicated. A contract or collective agreement may give more.

Step 8: the decision itself (art. 76-77). The dismissal decision must be in writing and must state the reasons, the length of notice, the criteria for the order of dismissal, and a list of vacant jobs in the company with the deadline for applying. It takes effect when it is communicated to the employee.

Step 9: breaking the procedure voids the dismissal (art. 78). A dismissal made without following the legal procedure is “struck by absolute nullity”. This is why the paperwork matters so much.

Rights after the decision #

  • First call on the old job for 45 days (art. 74). For 45 calendar days after the dismissal, if the post is re-created in the same activity, the person dismissed has the right to be rehired first, without an exam, competition or probation. The employer must say so in writing, and the person has 5 calendar days to accept in writing.
  • Times when nobody can be dismissed (art. 60). These include medical leave with a certificate, a pregnancy the employer knew about, maternity leave, childcare leave up to the child’s age of two (three for a child with a disability), and annual, paternity or carer’s leave. A 2025 High Court ruling says the test is the date the decision is issued. Note that article 60(2) says these protections do not apply to dismissals that follow judicial reorganisation, bankruptcy or dissolution of the employer.
  • Compensation is not automatic (art. 67). Employees may receive compensation “under the law and the applicable collective agreement”. The Code sets no general minimum, so the collective agreement and the contract decide.
  • 45 days to go to court (art. 268). A claim about the termination of a contract can be filed within 45 calendar days from the day the person learned of the measure. Law 269/2021 extended that deadline from 30 days.

Who the procedure doesn’t cover #

Article 74(5) says articles 68 to 73 do not apply to employees of public institutions and public authorities. State-owned companies are a different matter: they are employers like any other. Article 74(6) also excludes fixed-term contracts, unless they are ended before they expire.

This autumn’s wave #

The Romanian layoff news this month is mostly about the state sector and its money problems, not AI.

STB, Bucharest’s public transport company, has been insolvent since September. On 11 November its judicial administrator said it had issued 796 dismissal notices and abolished an equivalent number of posts, alongside 919 vacant posts. Those dismissed would get compensation of between 20,000 and 40,000 lei, he said. Unions are contesting the selection criteria. LSN News, my news engine, followed the story across 16 Romanian outlets. According to the administrator, the longer-term plan is about 7,000 fewer staff over three years.

CFR Marfă, the state freight railway, lost its operating licence in the spring but still has employment contracts running. On 9 November the transport minister said a collective dismissal of about 1,500 people was needed and that the state would have to find about 56 million lei (about €11 million) for unpaid wages and compensation, according to Agerpres. LSN News has the coverage.

In the private sector, the labour inspectorate in Bihor reported receiving a collective-dismissal notice from an IT company for early 2027. A NewMoney–INSCOP barometer found that about one entrepreneur in five is preparing layoffs. That is a survey, so treat it as a mood reading, not a count.

Checklist #

If a collective dismissal is announced at a workplace, this is what I would tell anyone affected:

  1. Find out who represents you: the union, or the elected employee representatives. Talk to them early; the 10-day window for counter-proposals is short.
  2. Ask for the written notice under article 69, especially the criteria for the order of dismissal and how they will be scored.
  3. Ask for your own evaluation and your own score in writing. Article 69(3) ties the criteria to performance objectives.
  4. Note the dates: when the ITM and AJOFM were notified, when the 30 days end, when your notice starts. Missing steps can void the decision.
  5. Check whether you are in a protected situation under article 60, and tell HR in writing if you are.
  6. Read your collective agreement for compensation, longer notice and extra criteria.
  7. Keep every document and take notes of meetings.
  8. If you are offered a “mutual agreement” instead, remember it is not a dismissal. Some of the protections above may not apply, and it can affect unemployment benefit. Ask a lawyer before you sign. My earlier post on the AI layoff wave covers severance tax and unemployment benefit.
  9. Watch for your old job for 45 days after you leave.
  10. Count 45 days from the decision for a possible court claim, and see a lawyer well before that.

Frequently asked questions #

How many dismissals make it a collective dismissal in Romania? #

It depends on the size of the employer: at least 10 people within 30 days at a firm of 21 to 99 staff, at least 10% at a firm of 100 to 299, and at least 30 people at a firm of 300 or more. Other employer-initiated terminations for reasons unrelated to the person count too, if there are at least five dismissals.

How much notice must the employer give? #

Two separate periods apply. The employer must notify the ITM and AJOFM at least 30 calendar days before issuing decisions, and then each person gets at least 20 working days of individual notice. A contract or collective agreement can give more.

Is severance pay mandatory? #

Not under the Labour Code itself. Article 67 says compensation is paid under the law and the applicable collective agreement, so it depends on the collective agreement, the contract or what is negotiated.

How long do I have to challenge a dismissal? #

45 calendar days from the day you learned of the decision, under article 268 as amended by Law 269/2021. See a lawyer well before the deadline.

Does the procedure apply if the decision came from a parent company abroad? #

Yes. Article 69 says the duties apply even when a controlling company takes the decision, and the employer cannot excuse a breach by saying head office did not send the information.

The lesson #

Laws move. In my library, Mugur Popescu’s guide to Romanian small-business law describes an earlier version of this procedure, with a 45-day advance notice to the union before dismissal decisions. Today’s text is different, as above. Old books, old blog posts and AI chatbots all repeat outdated rules with total confidence. The procedure is the main protection employees have in a collective dismissal, so read the current consolidated text on legislatie.just.ro, check the date of the version you are reading, and remember that this is general information as of 13 November 2026, not legal advice. A contract, a collective agreement and the facts of a case can change the answer, so check with a labour lawyer or a union before acting.