Young NEETs May Receive up to RON 1,250 per Month on First Employment

Guide for employers—Emergency Ordinance no. 11/2026

Young people who are not in employment, education or training—known as NEETs—may now receive a stability allowance on entering employment for the first time, of up to RON 1,250 per month. The measure was introduced by Emergency Ordinance no. 11/2026, which amends Law no. 76/2002 on unemployment insurance and employment incentives.

In the HR and payroll advisory work I coordinate, this legislative change has already generated many questions from employers: who qualifies, what must be checked before signing the employment agreement and what risks arise if the documentation is incomplete. The main points are summarised below.

Who may receive the stability allowance?

All of the following conditions must be met:

• the person is at least 16 and under 30 years of age;
• the person is not employed;
• the person is not enrolled in education;
• the person is not participating in vocational training;
• the person is registered with the territorial employment agency;
• the person is entering employment for the first time;
• a full-time employment agreement of indefinite duration is concluded.

How much is the allowance?

The stability allowance is paid over a total period of 24 months:

• RON 1,000 per month during the first 12 months of employment;
• RON 1,250 per month during the following 12 consecutive months.

The maximum total support is RON 27,000.

The allowance is funded from the unemployment insurance budget and:

• is non-taxable;
• is not subject to mandatory social security contributions;
• is paid in proportion to time actually worked;
• is also paid for periods of annual leave.

What happens if the first employment agreement ends?

The young person may retain entitlement if the first employment relationship ends and they are employed by another employer within no more than 60 days, subject to the statutory conditions. Ending the first agreement therefore does not automatically result in permanent loss of support where re-employment takes place within the statutory period.

What should the employer check before signing?

Based on our advisory experience, employers should verify the following before concluding the individual employment agreement:

• the candidate’s registration with the employment agency;
• their NEET status;
• that this is their first employment;
• that the agreement is for an indefinite duration;
• that the position is full-time.

The allowance is paid directly to the employee and is not a salary cost borne by the employer.

Can the employer also receive a subsidy?

Separately from the young person’s allowance, employers hiring young NEETs may receive, subject to Article 85 of Law no. 76/2002, a subsidy of RON 2,250 per month for 12 months.

To obtain the subsidy, the employer must enter into an agreement with the employment agency and maintain the employment relationship for the minimum period required by law. The employee’s allowance and the employer’s subsidy are separate measures with different beneficiaries and conditions, so we recommend recording them separately in HR and payroll records.

Risks of refusal, suspension or recovery

The main situations that may lead to refusal, suspension or recovery include:

• employment before registration with the employment agency;
• a fixed-term employment agreement;
• a part-time agreement;
• inability to prove that this is the first employment;
• incorrect declaration of NEET status;
• exceeding the 60-day period for re-employment;
• payments based on documents or information that do not reflect reality.

Amounts received without entitlement may be recovered by the employment agencies under the statutory procedure.

Conclusion

The stability allowance offers young NEETs financial support of up to RON 27,000 for entering and remaining in the labour market, provided they register with the employment agency in advance and enter employment for the first time under a full-time agreement of indefinite duration. For employers, careful verification before signing remains essential to avoid subsequent recovery risks.

Relevant Geseidl services

The Geseidl HR & Payroll team provides employers with comprehensive support in checking eligibility, preparing documentation and administering employment agreements for young NEETs, as well as advice on accessing the related subsidies. Contact us for an assessment of your specific situation.

Article by Laura Vasilescu, Employment Law Expert and Senior HR & Payroll Consultant — Geseidl Consulting Group