Hire your remote team in Romania

Only 499 EUR per employee per month

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Hiring a remote team in a country as Romania comes with a lot of overhead, such as compliance, local laws, taxes, etc. As a company, you don't want to worry about knowing all the local laws. Instead you want to focus on your remote team and the business. Rivermate's Employer of Record (EOR) solution helps companies hire remote employees in Romania. We take care of global payroll, taxes, benefits, compliance and HR activities. So you can focus on growing your business.

A remote team

1. Hire a remote team in Romania with Rivermate

Payroll, benefits, taxes, and compliance can be difficult to manage in Romania, particularly if you don't have established local relationships. You can hire employees in Romania effectively, conveniently, and in full compliance with all relevant labor laws using Rivermate's global Employer of Record (EOR) solution. We handle the responsibilities and legal risks associated with foreign employment so you can concentrate on growing your company.

2. Introduction

Rivermate is a global employment solutions company that provides Employer of Record services in Romania.

As an employer of record, we help you hire employees and run payroll services in Romania, allowing you to avoid the necessity of first establishing a branch office or subsidiary in Romania.

It is not necessary to establish an entity in order to hire an employee. We can hire your employee in any country with a few mouse clicks. Using our Employer of Record solution, you can have full compliance, benefits, and automated payments.

If you wish to hire a remote team in Romania or individually hire remote employees in Romania, Rivermate’s global employer of record services will make sure that the process will be as seamless as possible for you.

Send us a message so we can talk about how Rivermate’s Employer of Record Romania services can best help your company!

3. Hire a remote team in Romania

Romania gets its name from the Latin word "Romanus," which means "citizens of the Roman empire." Romania is the largest country in Southeastern Europe and one of the world's most workaholic countries. Romania has the most pure gold reserves in Europe. The Romanian people's hard work has resulted in miracles, and the country is home to many inventions. Architects, sculptors, designers, and researchers will find paradise in Romania.

According to macrotrends reports, Romania's unemployment rate has decreased from 7.2% in 2011 to 3.9% in April 2019, indicating rapid economic growth year after year. Manufacturing laborers, business markets, freight handlers, heavy truck drivers, teaching, and shop sales executives are among the top employable talent in the country. Exports, service, restaurant, lodging, machine manufacturing, transportation, and textile industries have experienced the fastest growth in the last ten years.

4. Cost of living in Romania

Romania's cost of living is $650, which is 1.44 times less expensive than the global average. Romania ranked 131st out of 197 countries in terms of cost of living and 53rd in terms of quality of life.

In Romania, the average after-tax salary is $688, which is enough to cover living expenses for 1.1 months.

5. Cost of renting in Romania

The cost of living in a country is determined by a variety of factors, including the city in which the person resides, the type of industry dominant in that area, state revenue, taxation policies, and much more. One of the most important factors influencing the cost of living is location. The table below provides information on the cost of living in Romania.

The average rent in Romania ranges between USD 300 and $500 per month, depending on the city and type of accommodation. Living alone is more expensive than living in a shared living space.

The cost of living in Romania varies greatly between cities. Cities are divided into tiers, and the cost of living varies according to the tier. Tier 1 cities have higher salaries and, as a result, higher living costs. Tier 2 and Tier 3 cities have different costs depending on their economic status.

Tier-1 status is granted to all major metropolitan and large cities. These cities have higher wages and higher living costs. Bucharest, Cluj-Napoca, and Lasi, for example.

Some cities are classified as New Tier 1 towns. These are emerging capital cities with rapid growth rates. New Tier 1 cities include Constanta, Craiova, and Brasov.

Tier 2 cities are the capital cities of a province, or almost all large cities with moderate economic growth. Tier 2 cities include Galati, Ploiești, and Oradea, to name a few.

Finally, Tier 3 cities are significantly smaller than Tier 2 cities. These cities have low economic growth and lower living costs.

6. Major industries in Romania

Romania is well-connected to other countries by sea and air, making it a major trading nation on a global scale. Romania has one of the largest market shares for machine tools, accounting for nearly 6% of the total. In addition, Romania is actively seeking export opportunities in European and American markets.

Romania began to invest primarily in crude oil, construction, mining, chemicals, and telecommunications. Romania currently invests heavily in R&D, electronic goods, automobiles, the IT industry, and medical device manufacturing.

The manufacturing sector is the fastest growing, accounting for nearly 28% of total GDP. Romania is the world's leading producer of software, semiconductors, sculptors, and machine tools. The government also intends to create new jobs in this sector for those who are currently unemployed.

The largest sector, the service sector, which accounts for nearly 62% of GDP, has yet to reach its full potential. The government is also working to improve the service sector and increase employment. This sector employs 73% of the Romanian workforce, trailing only Japan, the United States, and the United Kingdom.

Romania leads Europe and ranks sixth globally in terms of IT specialists, with over 100,000 specialists. Romania controls 5% of the offshore software development market, ranking third in the world in terms of exports after China and India.

The Romanian government has periodically encouraged companies to increase employment and has changed labor laws.

7. Hiring cost in Romania

Hiring Cost: The cost of hiring is an important factor to consider when hiring new employees. It is determined by a variety of other factors, including the cost of living in the city and overall expenditure in the city. When you go to hire someone in a specific city, several important factors influence the cost of hiring, such as:

- Onboarding costs

- Training

- The cost incurred in taking interviews, conducting the screening process, and completing the hiring

- Opportunity costs

8. Employment laws Romania

All major employer and employee benefits are guaranteed under Romanian labor law. These regulations include, but are not limited to, the following:

1. safety and health at work;

2. the framework for informing and consulting employees;

3. posting employees;

4. protecting Romanian citizens working abroad;

5. material benefits, such as coupons;

6. the general record of employees;

7. gender equality in the workplace.

9. Top skills Romania

Romania is a country that heavily invests in youth skills, resulting in a very dynamic job market. There are numerous entry-level job opportunities available for enterprising and ambitious new graduates. Senior-level positions benefit from experience and industry expertise.

Major industries hiring the most in Romania include:

- IT, Research, and Technology

- Vehicle Manufacturing

- Health and Fitness

- Mining and Transport

- Transportation

- Sales and Marketing

- Chemicals

- Telecommunication

10. Economic landscape in Romania

According to World Bank data, Romania's GDP per capita increased from 28% to 58.6% relative to advanced economies over the last two decades. From 2000 to 2020, this 30-percentage-point increase places it fifth in the world. In 2019, Romania's economy was classified as a high-income country by the World Bank, with per capita income reaching USD 13000. Expert analysts predict 1.1% growth between the third and fourth quarters of 2021.

11. Market size in Romania

The Romanian labor market is large enough to provide jobs for all of the country's working-age population. The retail, e-commerce, information technology, and service sectors are experiencing unprecedented growth. The anticipated decrease in unemployment is a positive sign for the absorption of the Romanian labor force. Furthermore, the connected nation has proven useful in bridging the talent gap caused by the pandemic.

12. Minimum wage in Romania

Romania has two minimum gross wages guaranteed in payment. For full-time employees or those who work schedule of 8 hours per day, from Monday to Friday, the minimum wage is RON 2,230 a month. For employees assigned in positions for which higher education studies are required and have at least one year of seniority in the higher education area, the minimum wage is RON 2,350 a month.

The minimum gross wage is amended yearly under the conditions of law.

13.Why choose Rivermate to hire your remote team in Romania?

Establishing an entity in Romania to hire a team takes time, money, and effort. The labor law in Romania has strong worker employment protection, requiring great attention to details and a thorough awareness of local best practices. Rivermate makes expanding into Romania simple and effortless. We can assist you with hiring your preferred talent, managing HR and payroll, and ensuring compliance with local legislation without the hassle of establishing a foreign branch office or subsidiary. Our PEO and Global Employer of Record (EOR) solutions in Romania give you peace of mind so you can focus on running your business. Please contact us if you'd like to learn more about how Rivermate can help you hire employees in Romania via our Employer of Record (EOR) / PEO solution.

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