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Labor Law Reform


2 July 2015

Chisinau, Moldova - Turcan Cazac is pleased to inform about the progress of our common effort with AmCham Moldova in amending the labor laws to liberalize some legal restrictions for business.

Recently, the Government approved a bill to amend the Labor Code that, once enacted by the Parliament, will allow the employers, inter alia, the following:

  • to terminate an employment contract under a mutual agreement with the employee (so far, only resignation or dismissal are regulated as legal grounds of employment termination due to the initiative of the parties);
  • to expand the term of duty of confidentiality after the expiration or termination of an employment contract from one to two years;
  • to resolve on staff redundancy due to the economic reason not only a legal one as currently is required under the law;
  • to enter into a fixed term employment contract for implementation of the investment or technical assistance project (as to expressly outline the temporary nature of the project and therefore its eligibility for a fixed term employment)

and other amendments bringing the labor rules in line with the market economy requirements.

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