Romania strengthens “pantouflage” rules for public officials under Law No. 189/2025

Romania has adopted Law No. 189/2025, a significant legislative development aimed at strengthening the rules governing transitions between public office and private-sector roles. The law introduces a clearer and more centralised framework for managing conflicts of interest arising before and after public employment, with the National Integrity Agency (in Romanian, Agenția Națională de Integritate, “NIA”) designated as the principal oversight authority.

The law responds to growing concerns around pantouflage, commonly understood as the “revolving door” phenomenon whereby individuals move between influential public sector positions and private-sector roles in circumstances that may create undue influence, conflicts of interest or risks to impartial public decision-making. By introducing a formal “reflection period” and additional declaration and monitoring obligations, the law seeks to enhance transparency, accountability and public trust in institutional decision-making.

Why the new law matters

The concept of pantouflage refers to situations in which private interests may be concealed behind formal procedures or nominal compliance, allowing influence to be exercised in ways that are difficult to detect. This risk is particularly serious where an individual who has held a public role moves into a private position connected to matters they previously supervised, regulated, audited or influenced, as well as where a person entering public office has recent links with private entities that may fall within their new area of responsibility.

Law No. 189/2025 aligns Romania’s framework more closely with international integrity standards promoted by the OECD (the Organisation for Economic Co-operation and Development) and GRECO. It is intended to address undue influence risks arising from close public-private relationships and to ensure that relevant transitions are subject to transparent, predictable and enforceable rules.

Key changes introduced by Law No. 189/2025

The law introduces a mandatory twelve-month (12) “cooling-off” period, also referred to as a “reflection period”, which applies both before and after the exercise of certain public functions. During this period, in-scope individuals are subject to restrictions designed to prevent them from exercising public authority in relation to former employers or from taking up private-sector activities that overlap with or interfere with their prior public duties.

The new rules prohibit covered public officials from exercising supervisory, control, audit or oversight powers over former employers or entities with which they have had prior professional or governance relationships. They also restrict the acceptance of employment, management, consultancy or equivalent engagements with entities that were previously subject to the individual’s control, supervision or decision-making influence.

The scope of persons covered by the new framework includes members of the Government, local elected officials, civil servants vested with control or inspection functions, personnel involved in public procurement and individuals entrusted with the management or administration of public funds. Existing restrictions remain in force and are not replaced or reduced by the new measures.

Non-compliance with the restrictions constitutes a contravention and may result in fines ranging from RON 2,000 to RON 10,000, approximately EUR 400 to EUR 2,000. The same sanctioning range applies where an in-scope individual fails to submit the mandatory declaration confirming that they have acknowledged the applicable pre- and post-employment restrictions.

Pre-employment obligations

For a period of twelve (12) months from the date of appointment, election or employment, covered individuals must refrain from exercising supervisory, control, audit or oversight functions in relation to any private entity for which they carried out professional activities, whether paid or unpaid, during the preceding twelve months.

They must also refrain from participating, on behalf of or for the account of the relevant public authority or institution, in the negotiation, award or conclusion of contracts with such private entities. This obligation is intended to prevent recent private-sector connections from influencing the exercise of public authority or public contracting decisions.

Individuals subject to these restrictions must submit a sworn statement identifying their employer or employers during the previous twelve months. Compliance is monitored throughout the cooling-off period and for six (6) months thereafter. Where a recusal is required, the relevant individual must notify the designated monitor and a replacement must be appointed to handle the matter. The Prime Minister is expressly excluded from the recusal obligation.

Post-employment obligations

The law also creates a post-employment regime applicable for twelve (12) months following the end of a covered public mandate, position or activity. During this period, the individual may not carry out paid or unpaid professional activities for a private entity where the activity overlaps with or substantively interferes with the duties performed during the final twelve (12) months of public service and is liable to undermine transparency or impartiality in the relationship between public authorities or institutions and that private entity.

Former officials must file a post-employment declaration with the authority or institution in which they previously served. That authority or institution is required to provide a list of the individual’s activities during the final twelve months of their public role to assist with accurate and compliant reporting.

Where an individual takes up private-sector activity during the cooling-off period, they must submit, within fifteen days, an electronic declaration through the e-DAI system using a qualified electronic signature. The declaration must confirm that the new activity does not overlap with or interfere with their prior public duties and does not affect transparency or impartiality.

Responsible institutional officers are required to notify NIA of missing or non-compliant declarations. NIA will then assess whether the proposed or existing private activity overlaps with the individual’s former public duties, taking into account the degree of involvement, the nature of the role and the relevant geographical scope. The assessment is conducted through a scoring-based framework.

If NIA identifies risks to transparency, integrity or legitimate public interests, it may restrict or prohibit the relevant activity. Conversely, where NIA does not act within the statutory deadline, the activity is deemed compliant.

Mandatory declarations and NIA oversight

A central feature of Law No. 189/2025 is the requirement for in-scope individuals to submit sworn statements confirming that they have taken note of the applicable pre- and post-employment restrictions. These statements form part of the individual’s personnel file and are subject to review and oversight by NIA.

The designation of NIA as the central oversight authority is intended to ensure more consistent enforcement and monitoring. The law also digitises aspects of the process through the e-DAI electronic declaration system, reinforcing the traceability and administrative efficiency of the new framework.

Practical impact

Law No. 189/2025 establishes a unified framework for managing integrity risks associated with public-private employment transitions. It expands the categories of individuals subject to scrutiny, clarifies the conduct that is restricted, introduces mandatory declarations and strengthens NIA’s role in monitoring and enforcement.

Public authorities, public institutions and individuals occupying roles within the scope of the law should carefully assess their obligations both on entry into office and following departure. Private-sector entities engaging former public officials or interacting with newly appointed officials who have recent private-sector links should also consider the potential impact of the new restrictions on employment, consultancy, procurement and regulatory engagement.

The law marks an important step in Romania’s efforts to address pantouflage risks and to align domestic integrity rules with international expectations on transparency, accountability and the protection of the public interest.