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Posted Workers in the Czech Republic and a New Regime.

Czech Republic
09.02.21
3
Written by
Randl Partners, advokátní kancelář, s.r.o. largest boutique firm focusing on HR law.
Since the Act came in force on 30 July 2020, posted workers in Czech Republic are now subject to new working conditions. What do you need to do as an employer? This article explains.

Core mandatory national rules

The list of working conditions that have to be ensured for workers posted in the Czech Republic has been extended as follows: 

  • minimum salary, the relevant lowest level of the guaranteed salary, and the obligatory salary components (i.e. remuneration for overtime work, work during public holidays, night work, work in difficult working environments and work on Saturdays and Sundays); 
  • conditions of accommodation, if provided by the employer to the employee; 
  • reimbursement of travel expenses in connection with the performance of work, provided that the usual place of work in the Czech Republic is considered a regular workplace of the posted worker. 

Long-term posting rules

If posting in the Czech Republic exceed 12 months, the performance of work by posted workers is regulated by Act No. 262/2006 Coll. and the Labour Code in its entirety (not just the hard core of working conditions), with the exception of the rules concerning the conclusion, change, and termination of contracts of employment. 

 The basic 12-month period above can be extended by six months (to 18 months in total) upon notification by the posting employer addressed to the competent regional branch of the Labour Office. The notification must be made before the expiry of the 12-month period calculated from the start of the provision of service by the posted worker in the Czech Republic. The notification must be made in writing. Reasons must be given for the extension, however, the law does not specify which reasons are admissible and which are not.  

Notification suffices

Consent of the Labour Office will not be necessary.Calculating time periods: If another posted worker performs the same task at the same place, the cumulative duration of the two postings periods will be considered for calculating the 12-month (or 18-month) period. Performance of ‘the same task at the same place’ must be assessed taking into account the nature of the work performed, the nature of the service provided, and the place of performance of the work / service. 

Periods of posting before 30 July 2020 are not taken into account

Postings of workers to the Czech Republic that began before 30 July 2020 will be considered as begun on 30 July 2020.Information requirements: The user has an obligation to inform the temporary employment agency in cases of posting a worker (assigned to the user by the agency) to another Member State of the EU (in cases of so-called ‘double-posting’). The information must contain: 

  • the place of work in the other EU Member State; 
  • the type of work to be performed by the posted employee; 
  • the date of commencement of work; 
  • the estimated duration of posting; 
  • information on whether the posted employee replaces another previously posted employee. 

Penalties

Non-compliance with the new information requirements described above can be subject to a fine of up to CZK 1,000,000 (i.e. approximately EUR 37,446).  

Authors
Nataša Randlová
Partner - Czech Republic
Randl Partners, advokátní kancelář, s.r.o.