articol Romanian Labour Code - Art. 21. [non-compete clause]
 

Romanian Labour Code

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Art. 21. [non-compete clause]
(1) When concluding the individual employment contract or during its performance, the parties may negotiate and include a non-compete clause in the contract, requiring the employee, after the cessation of the contract, to abstain from performing, in his/her own interest or for a third party, an activity competing with that performed for the employer, against a monthly non-compete benefit the employer undertakes to pay during the entire non-compete period.
(2) The non-compete clause shall only take effect when the activities prohibited to the employee upon the cessation of the contract, the amount of the monthly non-compete benefit, the time limits of the non-compete clause, the third parties for whom it is prohibited to perform activities, and the geographical area where the employee may reasonably compete with the employer, have been specifically provided for in the individual employment contract.
(3) The monthly non-compete benefit owed to the employee may not be a wage-like benefit, shall be negotiated and shall amount to at least 50% of the average gross wage income of the employee during the previous six months before the cessation of the employment contract or, if the duration of the individual employment contract was less than six months, of the average gross wage income owed to him/her during the contract.
(4) The non-compete benefit shall be an expense made by the employer, deductible when calculating the taxable income, and the tax shall be collected from the beneficiary natural person, according to the law.