Romania’s labour crisis set to worsen as foreign-worker permits slashed by government and xenophobic attacks rise

Despite a severe labour shortage, Romania’s government has cut thousands of foreign-worker permits in 2026, a move that critics say is a populist measure in response to a wave of anti-immigrant sentiment sweeping the European Union country.

According to figures by the European Employment Services, Romania faces a labour shortage of about 600,000 workers across more than 150 occupations – including construction, retail, and the service industry. 

The looming labour gap prompted Romania’s employers’ associations to request an increase in the number of foreign worker permits in 2026 by 150,000. However, the government decided instead to slash the number of permits by 10,000 compared to this year, arguing that public sector workers who have been laid off could plug the shortage. 

The government is currently pursuing a series of austerity measures, which include redundancies in the public sector, to help bring down Romania’s large budget deficit, which stood at over 9% last year, one of the highest in the European Union. 

In an interview with Context, Labour Minister Florin Manole said that the employers’ request went unanswered because they had created “No argument,” he said. “It was just a statement – 150,000.”

But employers justify their request to increase foreign workers by claiming they cannot find enough Romanians who want, or who are able, to fill the available jobs needed in sectors like construction, retail, cleaning, and bars and restaurants.

“Macroeconomic indicators foresaw a possible increase in unemployment next year,” Manole said. “Considering, on the one hand, the statistics, and on the other, the prime minister’s statements about the next ‘reforms,’ we considered it appropriate to propose a reduced number of foreign workers, which was the argument.”

Corina Constantin, the vice president of the Employers’ Association of Labor Force Importers (PIFM), stated that the request for the 150,000 additional permits was calculated “based on analyses of the personnel deficit in essential economic sectors.” 

Constantin stated that even a decrease of 60,000 permits below market demand could generate budget losses of over 540 million lei per year, effects that would reverberate throughout the economy. 

“The request is based on concrete data,” she told Context.

Former labour minister Raluca Turcan of the National Liberal Party criticised the government’s move to reduce foreign permits in a post on Facebook, calling it a “reckless political decision.”

She said that instead of listening to what the business sector needs, the coalition government is pursuing “a populist measure that will cause blockages in vital sectors.”

“I cannot imagine how a person earning 7,500 lei or more in a state company would agree to work in animal farms, housekeeping, garment factories, or food delivery for the minimum wage,” she said. 

Romania already has the biggest labor shortage in the 27-nation EU, and foreign workers are contributing nearly four billion euros to the national GDP. 

But foreign workers – most of whom hail from Nepal, Sri Lanka, Turkey, India, or Bangladesh – have faced rising racism and discrimination, and in recent months, have been subjected to violent attacks following controversial remarks by a member of the far-right AUR party. 

A furore erupted in recent months after prominent AUR deputy Dan Tanasa publicly urged Romanians to refuse deliveries from foreign workers. 

“Stop encouraging the import of unskilled workers from Asia and Africa,” he said on Facebook. “Wake up!” 

Shortly after his comments, a deliveryman from Bangladesh was violently attacked in the street with his attacker calling him “subhuman” – which many linked to the deputy’s anti-immigrant rhetoric.

Romania’s hospitality and food industry body, which covers hotels, restaurants, and catering, stated after the attack in a press release that “it could not function” without the support of foreign workers.

Several other racist and xenophobic attacks have since been reported. 

“They are part of our teams and contribute to the stability and continuity of businesses,” said Daniel Mischie, the chief executive of City Grill Group. “We need predictability, a safe and fair environment for all employees, regardless of nationality.”

“Attacks like the recent one have no place in a modern society,” he added.  

Tanasa, however, continued his anti-immigrant rhetoric after the spate of assaults, saying that he does not want Romania to become “a colony of cheap labor.”

Some delivery drivers from Glovo have started displaying the message “I am Romanian” on the bags to protect themselves from potential xenophobic attacks, according to reports on social media.

Additionally, Romania’s labour shortage – worsened by years-long emigration, an ageing population, and pressure on the government to reduce the deficit – risks becoming a long-term drag on economic development.