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Amendment to the Labour Code introduces several changes

In May, the amendment to the Labour Code enters into force and brings about a number of changes among other things related to wage surcharges, base salary level, outside the employment work contracts, and standardisation of work.

On 14 February 2018 the National Council of the Slovak Republic approved Act No. 63/2018 Coll., amending Act No. 311/2001 Coll. Labour Code as amended (hereinafter referred to as the "Labour Code") and amending certain laws (hereinafter referred to as the "Amendment"). The Amendment will enter into force on 1 May 2018.
 
The Amendment introduces, in particular, the following amendments:
 
A. Wage surcharges:
a) increase of the minimum wage surcharge granted to an employee for night work from the current 20% rate of the minimum wage in EUR per hour for each hour of night work to 50% of the minimum wage in EUR per hour, whilst an employer who, due to the nature of work or operating conditions, requires that the majority of the work to be carried out as night work, there is a possibility for an agreement (unless such a worker performs hazardous work) upon lower amount of wage benefit, but not less than 35% of the minimum wage in EUR per hour;
 
b) increase of the minimum wage allowance for work on holidays from the current rate of 50% of the employee's average earnings to 100% of the employee's average earnings;
 
c) Introduction of a new special wage surcharge for work performed during the weekend, for which the employee, in addition to the salary received, would be entitled to the following wage surcharge:
1. on Saturday: 50% of the minimum wage in EUR per hour;
2. on Sunday: 100% of the minimum wage in EUR per hour.
 
In the case of an employer who, due to the nature of work or operating conditions, requires to carry out the work – regularly – on Saturday or on Sunday, a lower wage allowance surcharge may be agreed upon, not less than:
1. on Saturday: 45% of the minimum wage in EUR per hour;
2. on Sunday: 90% of the minimum wage in EUR per hour.
 
The transitional provisions of the Amendment provide that from 1 May 2018 to 30 April 2019, the amount of the wage benefit per hour is as follows:
 
a) Work on Saturday
1. not less than 25% of the minimum wage in EUR per hour;
2. not less than 20% of the minimum wage in EUR per hour, for an employer who, due to the nature of work or operating conditions, requires to carry out the work – regularly – on Saturday;
 
b) Work on Sunday
1. not less than 50% of the minimum wage in EUR per hour;
2. not less than 40% of the minimum wage in EUR per hour, for an employer who, due to the nature of work or operating conditions, requires to carry out the work – regularly – on Sunday;
 
c) Night work
1. not less than 30% of the minimum wage in EUR per hour and, in the case of an employee performing hazardous work, at least 35% of the minimum wage in EUR per hour;
2. in the case of an employer who, due to the nature of work or operating, requires that the majority of the work to be carried out as night work, it may be agreed, unless the worker performs hazardous work, lower wage benefit, but not less than 25% of the minimum wage in EUR per hour.
 
B. Base salary level. In connection with the amendment to Act No. 5/2004 Coll. on employment services effective from 1 May 2018, pursuant to which the employer is required to disclose the amount of the basic salary component in the publication of an employment offer, the Amendment also introduces an employer's obligation not to propose the basic salary component at a lower amount than stated in the advertisement.
 
C. Contracts for work performed outside the employment relationship. According to the Amendment, the provisions of the Labour Code regulating the claims of employees for work on Saturdays, Sundays, night work, and tough work, for which the minimum amount of performance is deducted from the amount of the hourly minimum wage, will be also applied to employees in labour relations who perform works based on contracts for work performed outside the employment relationship.
 
D. Standardisation of work. The Amendment further establishes the employer's obligation to introduce only such labour consumption standards which are processed on the basis of objective measurements and analyses of the required amount of work and the resulting working frequency of the concerned employee. The employers must not apply labour consumption standards that could result in the threat to safety or health of employees.

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