DLP Insights

Constitutional Court, judgment no. 155 of May 21, 2014, stated the constitutional lawfulness of art. 32, par. 4, letter b), of Law 183/2010, considering fully reasonable the choices taken by the legislator with reference to the Article 3 of the Constitution.

The fixed term contracts, entered into in order to replace an absent employee, benefit of better treatments. In case of replacement of an employee absent for maternity leave, the employer, who has no more than 19 employees, is entitled to a 50% reduction of the relevant social security contributions.

The Law no. 78/2014 came into effect on May 20, 2014 and, consequently, the fixed-term discipline changed three times in 60 days.

The Ministerial Decree of February 14, 2014, published in the Official Gazette no. 123 of 29 May 2014, has confirmed for this year the opportunity for employers to take advantage of the social security contribution reduction for 2013 bonuses provided by the second-level bargaining.

20% threshold does not apply to all fixed term contracts. The law provides for employment relationships which are exempted: (i) employers who have up to 5 employees can enter into one fixed term employment relationship;