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| September 24, 2018

Major amendment to the Labour Code

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The amendment is expected to come into force in the second half of 2019 with some of its parts coming into force in 2020. It is not certain whether all of the proposed changes will be adopted. The amendment was already in talks some time back, however, some changes are new. It is currently in the reflection process.

These are some of the proposed changes:

Temporary assignment – change of conditions

An employer and their employee could sign an agreement regarding a temporary assignment of the employee to another employer no sooner that 1 month after the first day of employment (right now that time period is 6 months). It shall not be further possible to provide payment for temporary assignment of the employee to another employer. An employer who temporarily assigns an employee to another employer is entitled to reimbursement of costs by the other employer. This regards costs which have provably arisen in connection to the temporary assignment.

New rules for agreements performed outside of the employment contracts

Concerning agreements on work activity, the maximum allowed scope of half of the set weekly work time should be considered within a period of 26 consecutive weeks (currently it is 52 weeks). 

Minimum and guaranteed wage

There is a proposal for a new firmly set mechanism for adjustment of the minimum wage and conditions for assessment of the lowest rates of guaranteed wages. The aim is to set the adjustment mechanism in a way that the minimum wage would be increased regularly. (that is Growth of the average wage shall be accompanied by growth of the minimum wage. However, should the average wage decrease, that would not lead to a decrease of the minimum wage, which would remain the same.)

Bonus for a divided shift

If an employer schedules a shift divided into 2 or more parts, the employee is entitled to a bonus of 30% of the average hourly wage for every such divided shift. The break must be of at least two hours (continuously or in total).