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Minimum Salary for Foreign Business Owners in Romania

Romania has established its position as a strategic gateway for international entrepreneurship within the European Union, synthesizing the advantages inherent to EU membership with the substantial growth potential characteristic of an emerging market. The nation’s legislative framework has been developed to facilitate foreign investment, presenting a competitive fiscal environment and optimized business registration protocols that have garnered significant attention from the entrepreneurial community.

A distinguishing characteristic of Romania’s commercial system is the equitable treatment afforded to both foreign and domestic business proprietors under statutory law. Entrepreneurs, whether originating from European Union member states or non-EU territories, are accorded identical rights and responsibilities as Romanian citizens in the establishment and administration of their commercial entities. This principle of parity encompasses various organizational structures, with the Limited Liability Company (SRL) emerging as the predominant choice, owing to its minimal capital prerequisites and streamlined governance framework.

The establishment of commercial enterprises in Romania has evolved into a highly efficient process, with registration typically completed within 3-5 working days through the National Trade Register Office (ONRC). This enhanced accessibility, in conjunction with moderate registration fees and reasonable operational expenditures, has elevated Romania’s status as an increasingly preferred destination for international business proprietors seeking to establish a commercial presence in Eastern Europe.

In accordance with Romania’s business environment and its implications for international entrepreneurs, business owners must comply with national labor laws. The Romanian Labor Code stipulates in Article 164, paragraph (3) that ”The employer is obligated to guarantee payment of a monthly gross salary at least equal to the minimum gross basic salary for the country.”

Following the implementation of EU Directive 2022/2041 of the European Parliament and of the Council on adequate minimum wages in the European Union, the guaranteed national minimum gross basic salary will increase to 4,050 lei per month starting January 1, 2025.

In net terms, this increase represents a rise from 2,363 lei to approximately 2,574 lei, marking a significant step toward ensuring a decent standard of living for Romanian employees. This amount is calculated after deducting mandatory social contributions, including social security contribution (CAS), social health insurance contribution (CASS), and income tax. 

Under Romanian national law, foreign business owners operating in Romania must ensure their employees receive a monthly gross salary that is at least equal to the minimum gross basic salary, which will be raised to 4,050 lei per month starting January 1, 2025.

You can contact us at any time for business registration in Romania.