Understanding the provisions regulating labor relations is extremely important for any company, regardless of its field of activity. To establish a lasting relationship, the employer must know the rights and obligations that come into effect once an employment contract is signed. It is also essential for the employer to be aware of the employees’ rights and obligations to ensure full compliance with the legislation.

In Romania, the Labor Code stipulates that the rights and obligations regarding labor relations between the employer and the employee are established by law, through negotiation, within collective labor agreements, and individual employment contracts.

A very important aspect is that employees cannot waive the rights recognized by law. Any transaction aiming to renounce the legally recognized rights of employees or limit these rights is null and void.

Employer’s Obligations in Labor Relations

According to Article 40 of the Labor Code, the employer has the following obligations regarding their employees:

a) To inform employees about working conditions and aspects related to labor relations;
b) To ensure the permanent technical and organizational conditions considered in the development of work norms and appropriate working conditions;
c) To grant employees all rights deriving from the law, the applicable collective labor agreement, and individual employment contracts;
d) To periodically communicate the unit’s economic and financial situation to employees, except for sensitive or secret information that could harm the unit’s activity if disclosed. The frequency of these communications is established through negotiation in the applicable collective labor agreement;
e) To consult with the union or, as appropriate, with employee representatives regarding decisions likely to substantially affect their rights and interests;
f) To pay all contributions and taxes for which it is responsible, as well as to withhold and transfer the contributions and taxes owed by employees, according to the law;
g) To establish the general employee register and make the required entries as prescribed by law;
h) To issue, upon request, all documents attesting to the applicant’s status as an employee;
i) To ensure the confidentiality of employees’ personal data;
j) To respond in writing, within 30 days of receiving the employee’s request regarding the right to transfer to a vacant position that offers more favorable working conditions, provided the employee has completed their probation period and has at least 6 months of seniority with the same employer.

Employer’s Rights in Labor Relations

The Labor Code also stipulates a series of rights for the employer:

a) To establish the organization and functioning of the unit;
b) To determine the duties corresponding to each employee, according to the law;
c) To issue mandatory orders for the employee, subject to their legality;
d) To exercise control over the manner of fulfilling job duties;
e) To identify disciplinary offenses and apply appropriate sanctions, according to the law, the applicable collective labor agreement, and internal regulations;
f) To set individual performance objectives and the criteria for evaluating their achievement.

Employee’s Obligations and Rights

Like the employer, the employee also has a series of rights and obligations regulated by law.

Employee’s Obligations in Labor Relations:

a) To fulfill the work norm or, as applicable, to perform the duties assigned according to the job description;
b) To respect work discipline;
c) To comply with the provisions of the internal regulations, the applicable collective labor agreement, and the individual employment contract;
d) To show loyalty to the employer in performing job duties;
e) To observe workplace safety and health measures;
f) To maintain the confidentiality of work-related information;
g) Other obligations provided by law or applicable collective labor agreements.

Employee’s Rights:

a) The right to remuneration for work performed;
b) The right to daily and weekly rest periods;
c) The right to annual leave;
d) The right to equal opportunities and treatment;
e) The right to dignity at work;
f) The right to workplace safety and health;
g) The right to access professional training;
h) The right to information and consultation;
i) The right to participate in the determination and improvement of working conditions and the work environment;
j) The right to protection in case of dismissal;
k) The right to collective and individual negotiation;
l) The right to participate in collective actions;
m) The right to form or join a union;
m1) The right to request transfer to a vacant position that offers more favorable working conditions if the probation period is completed and the employee has at least 6 months of seniority with the same employer;
n) Other rights provided by law or applicable collective labor agreements.

For any employer, knowing all these rights and obligations becomes an important advantage in labor relations, as it will expose them to fewer risks from a legislative standpoint.