Report on Informal Employment in Romania

Informal employment is one of the key features of the Romanian labor market and the main concerns of the Romanian government. Informal employment is not new in Romania. A second economy was present in the communist era, and took various forms, ranging from family farming to off-the-books payments an...

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Bibliographic Details
Published in:OECD Development Centre Working Papers 2008-07 (271), p.1
Main Authors: Parlevliet, Jante, Xenogiani, Theodora
Format: Article
Language:English
Subjects:
Employment
Labor market
Public policy
Studies
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Summary:Informal employment is one of the key features of the Romanian labor market and the main concerns of the Romanian government. Informal employment is not new in Romania. A second economy was present in the communist era, and took various forms, ranging from family farming to off-the-books payments and misappropriation in state-owned enterprises. It is extremely important for policy making to understand the forms that informal employment takes as well as its determinants. This study attempts to shed light on the issue of informal work in Romania. First it reviews the evidence on informal employment, distinguishing its different forms. Second, it provides a detailed description of the characteristics of people in informal employment and the sectors where informal work is most prevalent; and, further, it analyses the factors responsible for the persistence of informal employment. Finally it discusses policy options and measures to deal with informal employment, recognizing its role for poor and vulnerable groups of workers.
ISSN:1815-1949