An employment relationship is a relationship between an employee and an employer, in which the employee voluntarily participates in the organized work process of the employer and in it, for payment, personally and continuously performs work according to the instructions and under the control of the employer.
A worker (hereinafter: worker) according to this law is any natural person who is in an employment relationship on the basis of an employment contract. An employer (hereinafter: the employer) under this law is a legal and natural person and another entity, such as a state authority, local community, branch of a foreign company, and diplomatic and consular representation, which employs a worker based on an employment contract.
An employment contract concludes an employment relationship. Rights and obligations based on the performance of work in an employment relationship and inclusion in social insurance based on an employment relationship begin to be realized with the day of commencement of work agreed in the employment contract. The employer is obliged to register the employee for mandatory pension, disability and health insurance as well as unemployment insurance in accordance with special regulations and hand over a photocopy of the application within 15 days of starting work. If the date of commencement of work is not specified, the date of conclusion of the employment contract shall be considered as the date of commencement of work.
The employment contract is concluded for an indefinite period of time, unless otherwise stipulated by this law. If the duration of the employment contract is not specified in writing, or if the employment contract for a fixed period is not concluded in writing at the start of work, it is assumed that the employment contract is concluded for an indefinite period. The parties to the employment contract are the employer and the employee.
Persons who have reached the age of 15 may enter into an employment contract.
An employment contract with a person who has not reached the age of 15 is void.
Payment for work under an employment contract consists of a salary, which must always be in cash, and any other types of payments, if so determined by a collective agreement. When it comes to wages, the employer must take into account the minimum set by law or the collective agreement, which directly binds the employer. The salary consists of the basic salary, part of the salary for work performance and bonuses. An integral part of the salary is also payment for business performance, if this is agreed in a collective agreement or an employment contract. For the break during the day’s work, the worker receives payment as if he were working.
The basic salary is determined taking into account the complexity of the work for which the employee has concluded an employment contract. The employee’s work performance is determined by taking into account the economy, quality and scope of the work for which the employee has concluded an employment contract. Supplements are determined for special working conditions resulting from the distribution of working hours, namely for night work, overtime work, work on Sundays, work on holidays and work on statutory holidays. Supplements for special working conditions resulting from special work loads, adverse environmental influences and work hazards that are not included in the complexity of the work can be determined by a collective agreement.
The amount of supplements from the previous paragraph can be determined in the collective agreement in a nominal amount or as a percentage of the basic salary for full-time work or the corresponding hourly rate.
The employee is entitled to allowances for work under special working conditions, which result from the distribution of working hours:
– for night work,
– for overtime work,
– for work on Sunday,
– for work on holidays and working days off according to law.
The amount of supplements from the previous paragraph is determined by a collective agreement at the activity level. Allowance for work on Sunday and allowance for work on statutory holidays are mutually exclusive. Allowances are calculated only for the time when the employee worked under the conditions for which the allowance is due.
The employee is entitled to an allowance for length of service. The amount of the allowance for length of service is determined in the collective agreement at the activity level. When calculating the allowance for length of service, within the framework of the collective agreement, the extent of the pensionable period obtained by performing temporary and occasional work for pupils and students can also be taken into account.
The employer must provide the employee with reimbursement of costs for meals during work, for transportation to and from work, and reimbursement of expenses incurred while performing certain tasks and tasks on a business trip. If the amount of work-related cost reimbursement is not determined by a collective agreement at the activity level, it is determined by a by-law. If, due to reasons on the part of the employee, the cost of transportation to and from work subsequently increases, the employee has the right to reimbursement of such increased cost of transportation to and from work, if this is stipulated in the collective agreement at the activity level, or if it is agreed with employers. The employer is obliged to reimburse the employee for work-related expenses monthly in accordance with Article 134 of this Act.
The employer is obliged to pay an employee who has the right to annual leave holiday pay at least in the amount of the minimum wage. Recourse must be paid to the employee no later than July 1 of the current calendar year. With the collective agreement at the activity level, in case of insolvency of the employer, a later deadline for the payment of holiday pay can be set, but no later than November 1 of the current calendar year. If the employee has the right to use only a proportional part of the annual leave, he is only entitled to a proportional part of the holiday pay. If an employee has a part-time employment contract, he has the right to holiday pay in proportion to the working time for which he has concluded an employment contract, except in cases where the employee works part-time in accordance with Article 67 of this Act.
