Trade unions to challenge with Ombudsman transfer of payment of social security contributions to employees

Romanian trade union confederations on Wednesday will challenge with Ombudsman the piece of legislation passed by the Government regarding the transfer of payment of social contributions from employers to employees, according to a press statement released by the National Trade Union Bloc (BNS). 

"On Wednesday, November 15, 2017, at 13:00hrs, the trade union confederations of Romania will challenge with the Ombudsman the piece of legislation passed by the Government regarding the transfer of payment of social contributions from employers to employees," according to BNS officials. 

The emergency ordinance amending and supplementing Law 227/2015 regarding the Tax Code, which provides for the transfer of social contribution payments from employers to employees, was published in the Official Journal at the end of the previous week. 

Starting on January 1, 2018, the level of contributions paid against gross wages is to decrease by 2 percentage points, from 39.25 percent to 37.25 percent, but out of the total of 20 percentage points of the 22.75-percent contributions due by employers will switch to employees. Thus, 35 percent out of the gross wages will be social security contributions the employers withhold on behalf employees, while the remaining contributions incumbent on employers, namely 2.75 percent (after the transfer of 20 percentage points), will further decrease to 2.25 percent and cover unemployment, occupational accidents, sick leave and wage arrears. AGERPRES .