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Law No. 312 Of 18 June 2001

Original Language Title:  LEGE nr. 312 din 18 iunie 2001

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LEGE no. 312 312 of 18 June 2001 for approval Government Emergency Ordinance no. 98/1999 on the social protection of persons whose individual employment contracts will be opened as a result of collective redundancies
ISSUER PARLIAMENT
Published in OFFICIAL MONITOR no. 365 365 of 6 July 2001



The Romanian Parliament adopts this law + Article 1 Approval Government Emergency Ordinance no. 98 98 of 24 June 1999 on the social protection of persons whose individual employment contracts will be opened as a result of collective redundancies, published in the Official Gazette of Romania, Part I, no. 303 of 29 June 1999, with the following amendments and additions: 1. Article 1 shall read as follows: "" Art. 1. -(1) The social protection measures provided for by this emergency ordinance shall apply to employees with an indefinite individual employment contract and who are made redundant by collective redundancies, carried out in the processes of restructuring, reorganization, partial or total operational closure of the activity, privatization or liquidation, by companies, national companies, national companies, as well as autonomous kings, commercial companies or other units under the authority of the central or local public administration, units and institutions funded from budgetary and extra-budgetary funds, hereinafter referred to as employers. (2) Social protection measures provided in par. ((1) shall not apply to employees assigned to their own apparatus and to the decentralized public services of the central and local public administration. " 2. Article 2 shall read as follows: "" Art. 2. -It is considered collective redundancy to lay off staff during a period of 60 calendar days, carried out as follows: a) at least 10 employees, if the redundancy employer has between 20 and 100 employees inclusive; b) at least 10% of the number of staff, if the redundancy employer has between 101 and 300 employees inclusive; c) at least 30 employees, if the employer who lays off has more than 300 employees. " 3. Article 3 shall read as follows: "" Art. 3. -By staff made redundant, for the purposes of this emergency ordinance, it is understood the staff to whom the individual employment contract has been opened pursuant to art. 130 130 para. ((1) lit. a) or b) of the Labor Code. " 4. The title of Chapter II shall read as follows: "" Procedure for access to social protection measures applied to staff made redundant as a result of collective redundancies " 5. The title of Section I of Chapter II shall read as follows: "" Measures applied in the case of restructuring " 6. Paragraph 1 of Section I of Chapter II shall read as follows: "" 1. Restructuring of units with full State capital or in which the State holds at least one third of the capital " 7. In Article 4, paragraph 1 shall read as follows: "" Art. 4. --(1) In case of restructuring of the companies in which the State holds at least one third of the total voting rights in the general assembly of national companies, national companies, autonomous regions, companies and other units under the authority of the central or local public administration, the social protection measures provided for by this emergency ordinance shall be applied on the basis of the restructuring programmes approved by the competent bodies in order to eliminate losses or arrears. ' 8. In Article 5, paragraph 1 shall read as follows: "" Art. 5. -(1) The restructuring programs will necessarily contain: the number of personnel existing on the date of their preparation, the number of personnel required to carry out the activity following the restructuring, as well as the number of persons who are to shall be laid off. ' 9. Article 6 shall read as follows: "" Art. 6. -From the financial resources provided to the head V employers may apply for the application of protection measures for employees made redundant collectively on the basis of no more than two restructuring programmes, provided that these programmes are not presented during the same year. ' 10. In Article 7, paragraph 1 shall read as follows: "" Art. 7. -(1) The drawing of individual employment contracts of employees to be made redundant will be made within 60 days from the date of approval of the restructuring program, according to art. 4 4 para. (2), respectively from the date of publication in the Official Gazette of Romania, Part I, of the Government's decision or, as the case may be, of the order of the competent minister, from the date of issue of the decision of the coordinating central authority, respectively from the county or local council, regarding the approval of the restructuring program. " 11. Point 2 of Section I of Chapter II shall read as follows: "" Two. Restructuring of wholly private equity units or to which private shareholders hold more than two thirds of the capital. ' 12. In Article 8, paragraph 1 shall read as follows: "" Art. 8. --(1) In case of restructuring of the companies to which the shareholders are natural persons or legal persons other than the State, and who hold ownership of a stake representing more than two thirds of the total voting rights in the general meeting of shareholders, the social protection measures provided for by this emergency ordinance are carried out following the approval by the county employment agencies, respectively Bucharest, of the restructuring programs in order to eliminate losses or arrears. " 13. Article 9 shall read as follows: "" Art. 9. -(1) For approval, the restructuring programs developed by the companies, adopted by the general meetings of the shareholders, will be evaluated and certified by the Ministry of Development and Forecast. (2) The costs of expertise and certification will be borne by the company subject to restructuring. ((3) The way of evaluation, certification and approval of the restructuring programs provided for in art. 8 shall be determined by Government decision. " 14. Article 11 shall read as follows: "" Art. 11. -The drawing up of the individual employment contracts of the employees to be made redundant will be made within 60 days from the date of approval of the restructuring programmes. " 15. In Article 12, paragraph 3 shall read as follows: "(3) The drawing up of the individual employment contracts of the employees to be made redundant shall be made within 60 days from the date of issue of the act by which the measure of restructuring was ordered or from the date provided for each stage." 16. The title of Section II of Chapter II shall read as follows: "" Measures applied in case of reorganisation " 17. In Article 13, paragraph 2 shall read as follows: " (2) The reorganization plan must necessarily contain: the number of personnel existing at the time of its preparation, the number of personnel required to carry out the activity following the reorganization and the number of personnel to be redundancy. " 18. The title of Section III of Chapter II shall read as follows: "" Measures applied in case of operational closure ' 19. The title of Section IV of Chapter II shall read as follows: " measures applied in the case of privatisation 20. Article 17 shall read as follows: "" Art. 17. --(1) Employees made redundant by collective redundancies in the privatization process regulated by Government Emergency Ordinance no. 88/1997 on the privatization of companies, with subsequent amendments and completions, benefit from the protection measures provided for in this Emergency Ordinance. ((2) The prospectus of the public offering for sale of securities or, as the case may be, the offer document, in the case of sale of securities by means of capital market-specific methods, as well as the sales contract will contain clauses and information relating to staff redundancies through collective redundancies and the securities sold will represent at least one third of the total securities issued. " 21. Article 20 shall read as follows: "" Art. 20. -Redundancy of the staff provided in art. 17 can also be done in stages, under the following conditions: a) the sales contract to provide for the date of commencement of each stage of redundancy by collective redundancies; b) the number of staff made redundant, corresponding to each stage, to meet the conditions of collective dismissal provided for in art. 2 2; c) collective redundancies shall be made within 60 days of the date provided for each stage. " 22. In Article 21, paragraph 3 shall read as follows: "(3) The 60-day period in which redundancies may be made by collective redundancies, in the case of companies that are divided, flows from the date of adoption of the decision of the general meeting of shareholders on division." 23. Article 21 shall be supplemented by paragraph 4 with the following contents: "(4) In the case of the merger, the 60-day period shall run from the date of adoption by the last of the general meetings of the shareholders in the merging companies of the merger decision." 24. The title of Section V of Chapter II shall read as follows: "" Measures applied in the event of liquidation and bankruptcy " 25. Article 23 shall read as follows: "" Art. 23. -(1) Employees made redundant by collective redundancies from employers entering the liquidation or bankruptcy procedure shall benefit from the protection measures provided for by this emergency ordinance, if: a) the liquidation procedure takes place according to the Law no. 31/1990 on companies, republished, as amended, and staff redundancy is carried out within 60 days from the date of publication in the Official Gazette of Romania, Part IV, of the decision of the general assembly of the shareholders ordering the dissolution and liquidation of the company; b) bankruptcy procedure takes place according to the provisions Law no. 64/1995 on the procedure of judicial reorganisation and bankruptcy, as amended and supplemented by Law no. 99/1999 , and the redundancy of the staff is carried out within 60 days from the date of final stay of the decision to open the procedure or to lift the debtor's right to conduct his activity; c) liquidation procedure takes place according to the provisions Government Emergency Ordinance no. 88/1997 , completed and amended by Law no. 99/1999 , and the redundancy of the staff takes place within 60 days from the date of the final stay of the liquidation decision. ((. In the case of domestic companies and other commercial shipping companies or rivers which are liquidated or entered into bankruptcy proceedings, the 60-day period shall run from the date of landing or from the date of issue of the decision of repatriation taken by the liquidator for aircrew on ships in international flights or under arrest, seizure, detention or damage in foreign ports. " 26. In Article 24, paragraph 1 shall read as follows: "" Art. 24. -(1) The employees kept in activity for the completion of the ongoing contracts will be made redundant and will benefit from the provisions of this emergency ordinance upon termination of the activity for which they were maintained. " 27. In Article 32, paragraph 1 shall read as follows: "" Art. 32. -(1) The total amount of money awarded as compensatory payment shall be differentiated, for each person to whom the individual employment contract has been opened according to this emergency ordinance, and shall be equal to: a) 6 average net salaries per unit for employees with a working age of less than 5 years; b) 9 average net salaries per unit for employees with a working age between 5 and 15 years; c) 12 average net salaries per unit for employees with a working age of more than 15 years. " 28. Article 33 shall read as follows: "" Art. 33. -The amounts of money representing compensatory payments shall be paid in equal monthly instalments. " 29. Articles 34 to 38 shall be repealed. 30. Article 39 shall read as follows: "" Art. 39. -The right of the beneficiary to the compensatory payment shall cease on the date of the reinstatement in the establishment from which he was made redundant or in another 31. Article 41 shall be repealed. 32. Article 42 shall read as follows: "" Art. 42. -(1) Companies, companies and national companies, as well as autonomous regions or other units under the authority of the central or local public administration may grant persons made redundant by collective redundancies, from the fund of salaries, individual money compensation, under the conditions and amounts provided for in collective agreements. (2) During 2000 the autonomous regions, companies and national companies and some companies with majority state capital, provided in Annexes no. 1 1 and 2 to Government Emergency Ordinance no. 58/2000 on some measures to strengthen the salary and financial discipline in autonomous regions, companies and national companies and in some companies with majority state capital, in 2000, cannot grant individual monetary compensation under the conditions provided in par. ((1). ' 33. In Article 45, paragraph 1 shall read as follows: "" Art. 45. -(1) Persons made redundant by collective redundancies benefit from seniority in the period for which they receive severance payments, until their individual employment contract is reinstated or until the date of submission of evidence that they have used the amounts according to the purpose for which they requested 34. Article 46 shall read as follows: "" Art. 46. -(1) During the period of the notice provided in art. 27 employees are obliged to participate in the collective predismissal services carried out by the county employment agencies, respectively of the city of Bucharest, or by other service providers in the public or private sector, authorized and selected by them under the law. (2) The following activities constitute collective predismissal services, mainly the following activities: a) advising on the legal provisions relating to the social protection of the unemployed and their professional reintegration; b) placing on locally existing vacancies and training in ways of searching for a job; c) professional reorientation within or outside the employing unit, including through short-term training courses; d) survey of employees and their information on active measures to combat unemployment. (3) For the realization of collective predismissal services employers are obliged to notify in writing, within 3 days from the approval of the restructuring programs, the county employment agencies, respectively of the municipality Bucharest, about redundancies through collective redundancies, with the mention of the number of staff to be fired. (4) The collective predismissal services may also benefit, upon request, persons made redundant by collective redundancies, provided in art. 42. (5) Employers of persons referred to in par. (4) will communicate in writing to the county employment agencies, respectively of the city of Bucharest, within 5 days from the granting of the notice, the list of persons who have requested collective predismissal services. " 35. In Article 47, paragraph 2 shall read as follows: "(2) Active measures to combat unemployment mean those measures aimed at supporting job seekers." 36. In Section III "Measures to stimulate companies in the restructuring process" of Chapter IV, Articles 51 to 54 shall be repealed. 37. In Article 56, paragraph 3 shall read as follows: "" (3) The expenditure shall be provided for, shall be approved, shall be distinguished and shall be distinctly pursued within the expenditure chapter of the budget of the Fund for the payment of unemployment 38. In Article 60, letter a) of paragraph (1) shall read as follows: " a) violation of art. 25 and 32 are sanctioned with a fine of 10,000,000 lei to 15,000,000 lei; " 39. Article 60 shall be inserted after Article 60 with the following contents: "" Art. 60 60 ^ 1. --(1) As of 22 June 2000, compensation payments granted from the budget of the Fund for the payment of unemployment benefits only to persons made redundant by collective redundancies in the units provided for in the Restructuring Plan the application of the Business Restructuring And Reconversion Programme (RICOP), contained in the Annex to the law approving this emergency ordinance, which becomes Annex no. 2 2 "List of units set out in the Restructuring Plan for the implementation of the Business Restructuring And Reconversion Programme (RICOP)". ((2) As of June 22, 2000 compensatory payments are no longer granted from the budget of the Fund for the payment of unemployment benefits to persons made redundant by collective redundancies under restructuring, reorganization, closing partial or total operational activity, privatization or liquidation, approved after this date, except for the persons referred to in par. ((1). (3) The compensatory payments, unemployment benefit or support allowance, ongoing on June 22, 2000, will continue to be granted from the sources, in the amounts, for the durations, in the succession and under the conditions established by the normative acts who have regulated these rights. (4) For the purposes of paragraph ((3), severance payments, unemployment benefit or ongoing support allowance shall be: a) payments that started before 22 June 2000, which continue after that date; b) payments of which the amounts were fixed before 22 June 2000 and the payment of the amounts shall be made after that date; c) payments due to persons made redundant by collective redundancies after June 22, 2000, if the restructuring, reorganization, partial or total operational closure of the activity, privatization or liquidation were approved before 22 June 2000, provided that the dissolution of the individual employment contracts of these employees is made within 60 days from the date of approval of the above-mentioned programs or, as the case may be, within the 60-day period provided for in art. 23 23 para. ((2); d) payments due to persons to be made redundant by collective redundancies in stages, on the basis of restructuring or privatization programs approved before 22 June 2000, which have provided for stages of redundancy after that date; e) compensatory payments granted in two instalments, of which the first instalment was paid before 22 June 2000; f) the compensatory payments established by the final and irrevocable decisions in the proceedings which began before 22 June 2000. '; 40 articles 61, 62 and 3 of Article 63 shall be repealed. 41. In Article 64, paragraph 1 shall read as follows: " Article 64. -(1) Article 4 of Law no. 145/1998 on the establishment, organization and functioning of the National Employment Agency shall be completed by letter h) which shall read as follows: h) approves the restructuring programs for the companies to which the shareholders are natural or legal persons other than the State, and who hold ownership of a stake representing more than two thirds of the total voting rights in the general assembly. " 42. In the emergency ordinance the name "State Property Fund" is replaced by the name "Authority for the Privatization and Administration of State Participations", and the name "Agency for Employment and Vocational Training", with the name "Employment Agency". 43. Title of point B of the Annex to the Emergency Ordinance, which becomes Annex no. 1, will have the following contents: "" B. NORMATIVE ACTS THAT ARE REPEALED, EXCEPT FOR THE PROVISIONS GOVERNING THE EXECUTION OF COMPENSATORY PAYMENTS, ONGOING ON JUNE 22, 2000, UNTIL THE EXHAUSTION OF THESE PAYMENTS " + Article 2 Articles 29 to 37, 39, 40, 44, 45 and 49 Government Emergency Ordinance no. 98/1999 on the social protection of persons whose individual employment contracts will be opened as a result of collective redundancies, approved by Government Decision no. 624/1999 and published in the Official Gazette of Romania, Part I, no. 376 of 6 August 1999, shall be repealed. + Article 3 Government Emergency Ordinance no. 98/1999 , published in the Official Gazette of Romania, Part I, no. 303 of June 29, 1999, with subsequent amendments and completions and with those brought by this law, will be republished in the Official Gazette of Romania, Part I, giving the texts a new numbering. This law was adopted by the Chamber of Deputies at its meeting on March 27, 2001, in compliance with the provisions of 74 74 para. (1) of the Romanian Constitution. CHAMBER OF DEPUTIES PRESIDENT VALER DORNEANU This law was adopted by the Senate at the meeting of 24 May 2001, in compliance with the provisions of art. 74 74 para. (1) of the Romanian Constitution. p. SENATE PRESIDENT, DORU IOAN TARACILA + Annex ----- ((Annex no. 2 2 to emergency ordinance) ------------------------------------- LIST comprising the units set out in the Restructuring Plan the application of the Business Restructuring Programme retraining (RICOP) No. crt. Commercial Company LocalityArea RICOP area no. 1: Bacau, Iasi, Neamt, Vaslui 1.CHIMCOMPLEXOnestiBacau 2.AEROSTARBacauBacau 3.RAFOOnestiBacau 4.CAROMOnestiBacau 5.STOFE BUHUSIBuhusiBacau 6.COMTOMTomestiIasi 7.FORTUSIasiIasi 8.TEROMIasiIasi 9.NICOLINAIasiIasi 10.ANTIBIOTICERediuIasi 11.PETROTUBCordunNeamt 12.FIBREXSavinestiNeamt 13.MOLDOSINVasluiVaslui 14.RULMENTIBarladVaslui Area RICOP no. 2: Braila, Buzau, Galati 1.CELHART DONARISBrailaBraila 2.ROTECBuzauBuzau 3.CORDBuzauBuzau 4.ICMRSGalatiGalati 5.SIDEXGalatiGalati 6.INTFORGalatiGalati RICOP area no. 3: Arges, Dambovita, Teleorman, Prahova 1.ARGESANAPitestiArges 2.AROCampulungArges 3.UPETTargoviste isteDambovita 4.COSTTargoviste isteDambovita 5.SAROTargoviste isteDambovita 6.National Society ROMARM-S.A., MoreniMoreniDambovita Branch 7.National Society ROMARM-S.A., Middle Branch I.L. CaragialeDambovita 8.ELSIDTituDambovita 9.TURNUTurnu MagureleTeleorman 10.ROVARosiori de Stars Teleorman 11.ELECTROTURRISTurnu MagureleTeleorman 12.National Society ROMARM-S.A., Subsidiary Company Plopeni- S.A. PlopeniPrahova RICOP area no. 4: Dolj, Gorj, Olt, Hunedoara, Valcea, Alba 1.IUGCraiovaDolj 2.MATCraiovaDolj 3.ELECTROPUTERECraiovaDolj 4.National Society ROMARM-S.A., Branch Branch. MRovinariGorj 7.TRANSPORT SERVICES WITH TERASIERE EQUIPMENT MMotruGorj 8.ELECTROCARBONSlatinaOlt 9.RULMENTISlatinaOlt 10.ALROSlatinaOlt 11.ROMVAGCaracalOlt 12.CORAPETCorabiaOlt 13.ALPROMSlatinaOlt 14.UMIROMPetrosaniHunedoara 15.SIDERURGICAHunedoara doaraHunedoara 16.SIDERMETCalanHunedoara 17.Society National ROMARM-S.A., Branch OrastieOrastieHunedoara 18.UZRINGS SODICE GOVORARamnicu ValceaValcea 19.CET GOVORARamnicu ValceaValcea 20.National ROMARM-S.A., BabeniBabeniValcea Branch 21.National ROMARM-S.A., Branch DragasaniDragasaniValcea 22.National Society ROMARM-S.A., subsidiary of Cugir-S.A. CugirAlba Commercial Company Area RICOP no. 5: Brasov, Covasna 1.NITRAMONIAFagarasBrasov 2.ELECTROPRECIZIASaceleBrasov 3.CELOHARTZarnestiBrasov 4.BRAFORBrasovBrasov 5.TRACTORULBrasovBrasov 6.RULMENTULBrasovBrasov 7.ROMANBrasovBrasov 8.I.A.R. GhimbavBrasov 9.HIDROMECANICABrasovBrasov 10.VIROMETVictoriaBrasov 11.national Society ROMARM-S.A., Subsidiary Of The Company Tohan-S.A. ZarnestiBrasov 12.national Society ROMARM-S.A., Subsidiary Company "Carfil"-S.A. BrasovBrasov 13.National Society ROMARM- S.A., MetromBrasovBrasov Branch 14.FACTORY OF TOOLS RASNOVRasnovBraşov 15.COLOROMCodleaBrașov 16.SUBASSEMBLIES AUTOSfantu GheorgheCovasna 17.M.T.S. Târgu SecuiescCovasna -------