Five major legislation changes in posting of workers
The National Council of the Slovak Republic approved an amendment to the Labor Code effective as of 30 July 2020. This amendment will introduce changes adopted in the European Directive no. 957/2018, amending the original Directive 96/71/EC on the posting of workers in the framework of the provision of services. The new directive is based on the need to strike balance between promoting freedom to provision of services and ensuring same conditions on the one hand, and the need to protect the rights of posted workers, on the other.
The amendment to the Slovak Labor Code reflects the changes in European legislation and introduces the following changes:
- Extension of working conditions forming so-called a core to the 'remuneration' system, which will also include mandatory wage components such as wage benefits for work, compensation for meals, accommodation, transport in the event of a business trip up to the extent and under conditions such as those paid to Slovak employees, applying the principles of avoiding double cost recovery.
- Adjustment of conditions of hiring employees, i. e. the conditions under which temporary assignment to the territory of the Slovak Republic may take place.
- Clear distinction of the posting by length as follows:
- Short-term posting up to 12 or 18 months, where labor law of the Slovak Republic applies only to a limited extent of the core;
- Long-term posting of more than 12 or 18 months, which is governed by the Slovak Labor Code, with the exception of the rules for the establishment, commencement, and termination of employment, a ban on engaging in other competition activities during employment.
- Under the transitional provisions, the duration of postings started before 30 July 2020 will be considered as having started on 30 July 2020.
- Introduction of rules for calculating the length of posting in relation to so-called the secondment of posted employee, i.e. the situation where the posted employee is replaced by another posted employee in the same place and with the same type of work.
- Adjustment of the information obligation of the user employer to the temporary employer, when an employee posted by a temporary employer to the user employer in the territory of the Slovak Republic is to be posted to another country in regards to cross-border provision of services.