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Europe

Moldova

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Employer of Record (EOR) in Moldova

What you'll learn

  • Country Introduction
  • Tax Breakdown for Employers
  • Statutory Leave Laws
  • Minimum Wage and Working Hours
  • Termination Process
  • Additional Information
Moldova Introduction

Moldova is a landlocked country in Eastern Europe, bordered by Romania and Ukraine. The service sector has grown to dominate Moldova's economy and accounts for over 60% of the nation's GDP. While the country is landlocked, it is close to the Black Sea, (separated from an estuary of the Black Sea by only 3 km of Ukrainian territory).

Paid Leave and Statutory Leave

Parental Leave

Pregnant employees are entitled to paid maternity leave for 70 calendar days before the due date and 56 calendar days after. Employees can usually also receive partially paid leave before their child turns 3 years old. Both leaves are paid for by social insurance.

Mothers with 2+ children under 14 are entitled to 4 additional days of paid leave each year, and can also be granted additional unpaid leave for child nursing. Fathers can share the maternity leave benefit, and can receive 14 days of paternity leave when the child is born.

Sick Leave

Employees are entitled to 5 days of fully paid sick leave each year paid for by the employer. After day 5, employees can take leave that is paid for by social insurance.

Paid Leave

There are 13 public holidays in Moldova, and employees are entitled to 28 days of paid time off each year. At least one part of that time off must be taken as 14 calendar days. Employees can also qualify for other types of leave such as bereavement.

Wage Requirements and Working Hours

The minimum wage is MDL 1,900 per month for private sector employees, with a standard workweek of 40 hours per week at 8 hours per day. Overtime work in Moldova is limited to 120 hours per year.

Termination Process

Process

Employers can terminate an employment contract with just cause, provided they give the employee written notice with an explanation for the termination.

Notice Period

The notice period is generally 30 days in Moldova.

Severance Pay

Employees are entitled to severance pay after working one year with the employer. The amount of severance depends on how long the employee worked at the company, usually calculated as 1 week of wages for every year worked. At least 1 month’s salary is due if the reason for termination is economic reasons.

Additional Information

While there is no statutory requirement to provide a 13th salary, annual bonuses are common in Moldova.

OVERVIEW
Language(s):
Romanian
Currency:
Moldovan Leu (MDL)
Capital City:
Chișinău
Population:
3.2 Million
Cost of Living Rank:
119th
VAT (Valued Added Tax):
10%
Employer TaxES
28.5%
(estimated)

★  24% - Social Security

★  4.5% - Health Insurance

Simplified Global HR and Payroll.
Let’s work on it together.

We've made the process really simple
with only 3 steps.

1

Remote candidate

You've sourced a full-time employee or contractor located in a country where your company is not incorporated.

2

Cost Calculation

Pass us the details of your candidate and we will let you know exactly what it costs to employ your candidate in that country.

3

Onboarding & Admin

Sit back and relax as we onboard your new team member and take care of all the local compliances and admin work.

Same-day onboarding
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Available in 150+ countries
How Remofirst employs in Moldova

It can be prohibitively expensive to establish an entity in every country you want to hire talent in, so Remofirst will hire and pay your employee on your behalf while you manage their daily duties. Remofirst will handle formal HR procedures and employment contracts that adhere to local laws, so that you can simply approve invoices via our platform. When you work with an Employer of Record (EOR) you can compliantly hire the best employees around the world.

How employees in Moldova get paid
Your employee's hours, time off, holidays, bonuses, and commissions are automatically calculated into payroll. Remofirst will invoice you in either US Dollars (USD), Euros (EUR), British Pounds (GBP), Canadian Dollars (CAD), or Singapore Dollars (SGD) around the 15th of each month to make sure your employees in Moldova are paid on time in Moldovan Leu (MDL). To make it even easier, you can summarize your entire global team's salaries to aggregate them into one payment (instead of many individual payments).
Full-time Employees vs Global Contractors

Unlike full-time employees, contractors work on projects with multiple companies at a given time and are technically self-employed. Full-time employees are solely focused on their employer and usually receive benefits (such as health insurance, equity or stock options, and time off) as an additional form of compensation. While it can be cheaper to work with international contractors instead of paying benefits to a full-time employee, you run the risk of misclassification. It's recommended to work with an EOR for contractor onboarding and payments, so you can know that your international contractors are paid compliantly and on time.

Dependable support for employees
Whenever the employee or employer has a question about benefits, Visas, or anything else related to international employment in Moldova, they can use our platform's chat function to get answers from our team of experts. Every client of Remofirst also receives a dedicated account manager that will serve as a point of contact for global HR support.