The Slovak Labour Code regulates both employment contracts in the traditional sense but also agreements falling outside employment in the form of agreements about work performance, about work activity and agreements for student work. These agreements differ from the traditional employment relationship model in that they are defined by the goal to be achieved and a maximum permitted number of hours. For example, agreements about work performance are subject to a maximum of 350 hours per calendar year, those agreements defined by work activity are subject to a weekly maximum number of 10 hours and those relating to student work are dependent upon the individual retaining student status.
With effect from 1 July 2014, the Slovak Labour Code was amended in respect of these three types of non-employment relationships to deter their use by employers as a means of avoiding employment. Prior to July, the Code permitted these agreements to be of indefinite length provided certain conditions were met. The amendment now limits their duration in each case to a maximum of 12 months, at which point the agreement will automatically terminate. Any purported extension of an agreement beyond 12 months will be void. However, it will be possible to negotiate a new agreement, on identical terms if the parties agree. Importantly, all agreements already in place before 1 July 2014 will terminate automatically by 30 June 2015 at the latest.
An additional change which affects agreements about work activity and agreements for student work, is that employers must now ensure payments are made to the workers at the very latest by the end of the calendar month following the month in which any work has been performed. This amendment seeks to ensure that remuneration is paid monthly, and that employers pay all necessary statutory contributions (such as mandatory social insurance and health insurance). Prior to this particular amendment, it was possible for employers to delay payment until termination of the agreement, causing considerable delay for the workers but also in respect of payment of mandatory social and health insurance contributions. Employers are now obliged to check, when agreements about work performance or work activity are entered into, that workers are duly registered with the applicable social and health insurance authorities.