Romania is progressing legislation to implement the EU Pay Transparency Directive, introducing new obligations designed to strengthen equal pay and improve transparency throughout the employment lifecycle.
Although the draft legislation has not yet completed the parliamentary process, organisations should not treat the delay as additional preparation time. The deadline for implementing the EU Pay Transparency Directive passed on 7 June 2026, and the principle of equal pay for equal work or work of equal value is already directly enforceable under both EU and Romanian law. Organisations that begin preparing now will be better placed to meet the new requirements once the legislation comes into force.
Understanding the New Requirements
The proposed legislation has a broad scope and will affect organisations across both the public and private sectors. While some obligations will depend on workforce size, the reforms introduce new expectations around recruitment, pay governance and employee rights that organisations should begin considering now.
The proposals are expected to apply to:
For multinational organisations, the reforms also form part of the wider implementation of the EU Pay Transparency Directive across Member States, making a consistent regional approach increasingly important.
Recruitment Practices Will Need to Evolve
One of the most significant changes affects recruitment and hiring processes. Under the draft legislation, organisations should prepare to:
These measures are intended to promote greater transparency from the beginning of the recruitment process and help reduce the risk of pay discrimination.
Greater Transparency Around Pay
The proposals also place greater emphasis on how organisations communicate and manage pay.
Organisations should begin reviewing:
Employees would also gain the right to request information about their own pay and average pay levels for comparable roles, with organisations expected to respond within 30 working days. Organisations would also be required to inform workers annually, by the end of the first quarter of each calendar year, of their right to request this information. In addition, contractual clauses preventing employees from discussing or disclosing their pay would no longer be enforceable.
New Gender Pay Gap Reporting Requirements
The draft legislation introduces gender pay reporting obligations for organisations with 100 or more employees.
The proposed reporting timetable is:
Organisations will be expected to report information including average and median gender pay gaps, variable pay, and workforce distribution across pay quartiles. For payroll and HR teams, this highlights the importance of maintaining accurate, well-structured remuneration data ahead of the reporting deadlines.
Addressing Significant Pay Gaps
The proposals extend beyond reporting requirements by introducing additional obligations where significant pay differences are identified.
Where reporting identifies an average gender pay gap of at least 5% within a category of workers, and the difference cannot be objectively justified or resolved within the prescribed timeframe, organisations may be required to carry out a joint pay assessment with employee representatives.
This reinforces the importance of ensuring that pay decisions are supported by objective, documented criteria and that any differences in remuneration can be clearly explained.
Strengthening Accountability
The proposed legislation would also strengthen the way pay discrimination claims are assessed.
Organisations should ensure that pay policies, job evaluation frameworks and remuneration decisions are consistently documented, as they may be required to demonstrate that pay differences are based on objective, non-discriminatory factors.
The proposals would also exempt workers' equal pay claims from stamp duty, with claims able to be brought for up to 12 months after employment ends.
The draft legislation also introduces financial penalties for organisations that fail to comply with certain information, reporting or pay assessment obligations. Proposed fines range from RON 10,000 to RON 20,000, increasing to RON 20,000 to RON 30,000 for repeat offences, highlighting the importance of early preparation.
Preparing for Compliance
Although the legislation has not yet been enacted, organisations should begin assessing their existing policies and payroll processes. Organisations with fewer than 50 workers would be exempt from the proposed obligation to disclose pay progression and promotion criteria, although other transparency requirements may still apply.
For organisations operating across multiple European countries, aligning pay transparency processes across jurisdictions may also help simplify future compliance as additional Member States implement the Directive.
Romania – Global Insights
For further guidance on Romanian payroll, employment legislation, workforce compliance and global mobility, visit the Romania Global Insights section on the activpayroll website.
Supporting Organisations Operating in Romania
Pay transparency is becoming an increasingly important consideration for organisations across Europe. While Romania's legislation is still progressing through Parliament, organisations that begin preparing now will be better positioned to meet future compliance requirements.
If you would like to understand how Romania's proposed pay transparency reforms could affect your organisation, speak to our experts today.