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Efforts have been made to promote gender equality in the workplace. Moldova has laws and policies in place to address gender-based discrimination and promote equal opportunities for women in the workforce.
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Moldova presents a cost-efficient labour market, offering competitive wages compared to numerous Western European countries and North America. This can prove especially beneficial for enterprises seeking to economize on labour expenses. Moldovan individuals often possess multilingual capabilities, with proficiency in languages such as English, Russian, and Romanian.
This linguistic diversity can hold substantial value for businesses engaged in international operations. Furthermore, Moldova boasts an expanding talent pool specializing in information technology (IT), software development, and related tech industries, making it a expand centre for IT outsourcing and software development firms.
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The minimum wage in Moldova is 4,000 MDL per month.
Standard Working Hours
In Moldova, the customary work week consists of 40 hours, with a daily schedule of 8 hours. For individuals employed in potentially hazardous environments, any reductions in contracted work hours are outlined within the employment contract or the collective bargaining agreement. The standard work week is Monday – Friday.
The maximum allowable overtime is 4 hours in a single day and 120 hours in a year. These limits can vary depending on the industry, occupation, and other factors.
Overtime is usually compensated at a higher rate than regular hours, often at 150% or more of the regular hourly rate. The exact rate can be defined in employment contracts, collective bargaining agreements, or labour laws.
The payroll cycle in Moldova is a monthly basis. There is no legal obligation to offer a 13th salary, however, bonuses are common in Moldova and are outlined in the employment agreement.
Paid time off
Employees have the right to an annual allocation of 28 paid leave days, which can be divided if one period of time is a minimum of 14 consecutive days.
Employees have the right to take sick leave, with the employer covering the payment for the initial 5 days of illness, while the social security agency takes over compensation for the subsequent duration of the sick leave.
In most cases, women employees are granted maternity leave for 70 calendar days preceding childbirth and 56 calendar days following this period. Additionally, employees are typically qualified for a partially compensated break until their child turns 3 years old. The length of this break is dependent on the employee’s seniority, position, and insurance plan. Funding for both maternity leave and the partially compensated break is drawn from the social insurance fund.
Fathers have the right to a 14-day paternity leave, during which they receive compensation equal to 100% of their usual wages. This leave can be taken within 8 weeks of the birth of a new child.
Termination of Employment
Employers have the authority to conclude a fixed-term contract based on specific grounds: business-related, personal, or due to employee misconduct. This action mandates the provision of notice and a written clarification for the termination. Workers have the right to a severance package that corresponds to one week’s salary for each year of service, and a minimum of one month’s salary, if they are being released due to financial circumstances such as bankruptcy or economic reasons.
The standard notice period is typically 30 days, with the notice period commencing on the day immediately after the application’s registration. For employees, the notice period required is 14 calendar days, provided in written form.
The probationary periods can extend for a maximum of 3 months, except in situations where employees are appointed for official roles, in which case the probation period can be up to 6 months.
For individuals who intend to extend their stay beyond 90 days after entering Moldova with a long-stay visa, the requirement is to apply for a residence permit from the Bureau for Migration and Asylum under the Ministry of Internal Affairs. Additionally, foreign nationals who have resided in Moldova on a residence permit for a specific duration might qualify for Moldovan citizenship.
The Standard rate of VAT in Moldova is 20%.