Over 100,000 temp jobs could be destroyed by “abusive controls” of Romania’s ANAF, say players

Romanian employment agencies that are securing temporary work for people in western Europe warn the market could be wiped out by what they call “abusive controls” of tax authorities.

Over 100,000 jobs are at risk and more than 300 employment agencies could disappear, said representatives of the newly formed National Association of Temporary Work Agencies (ANIMT).

Stephane Tison (in picture), ANIMT founder, said: “A number of 30 out of the 300 temporary work agencies in the countries already have their accounts seized as of this August due to abusive controls of the anti-fraud department within the National Fiscal Agency (ANAF).”

He added that authorities have interpreted in a “subjective manner” the labor legislation, asking agencies to pay retroactive tax for subsistence allowance paid in the last few years, which would account for up to several million euros for each firm.

“By claiming that the in the case of temp workers, tasked with carrying out a mission in a place known ab initio, the change of the work place does not intervene, control authorities stating that temp workers can not be considered nor delegate or detached, thus, not having the right to travel allowance,” said the association in a memorandum submitted to the government.

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Tison said that in companies where the state is majority shareholder, such as in airline operator Tarom, the subsistence allowances are not taxed. In addition, authorities are not taxing the allowances of foreigners doing temp jobs in Romania.

Alexandru Marin, the lawyer of the association, said that agencies were open to discussing any changes in the regulation of temp work as long as they are not applied retroactively.

Temporary employment agencies pay each year over EUR 265 million in labor taxes to the Romanian state, according to Tison.

Ovidiu Posirca