Law II

Employee R&R (EL)

Employee R&R (EL)

rights
1. to be provided with protective clothing if necessary
2. to have up to 52 weeks maternity leave
3. to receive minimum wage,
4. to be treated fairly
5. to work in safe environment,
6. to receive training appropriate for this job
7. to have breaks
8. to take a sick leave

responsibilities
1. to come to work on time,
2. to co-operate on health and safety issues,
3. to inform employer if pregnant by the end of 15th week before the due date,
4. to inform employer if unable to come to work,
5. to use work items correctly,
6. to take reasonable care of own safety and that of others
7. to follow set rules and regulations

Employer R&R (EL)

rights
1. to expect regular attendance,
2. to expect work to be carried out to required standard,
3. to expect punctuality,
4. to expect appropriate behaviour in the workplace,
5. to expect employees’ co-operation on health and safety matters
6. to fire employee in some circumstances

responsibilities
1. to provide employee facilities (rest area, cantine)
2. to pay at least minimum wage and to provide a written payslip
3. to provide appropriate training
4. to provide protective clothing/equipment and training on how to use it
5. to ensure equal opportunities (no discrimination)
6. to ensure fair treatment of employees
7. to provide safe workplace

contract law

deals with promises which create legal rights

formed when one party makes an offer that is accepted by other party (sometimes more is expected- consideration- common law)

employment contract, rental contract, lease contract, commercial contract

must be in writing (in SK oral contract is not accepted)

consideration= promise that each party gives eo something of a value

an offer and acceptance must match eo in order for the contract to be binding (if they don’t match → counter-offer)

parties must agree on essential terms (price, subject matter of the contract)

in writing or spoken (oral contract), but the sale of land must be in writing

contracts give both parties rights and obligations (the right to payment for work, the obligation to do work)

a party may want to transfer its rights under a contract to another party= assignment (the assigning party= assignor, the party who gets the rights= assignee)

pay

wage- weekly
salary- monthly
income- annual
payroll- who works for the business & what remuneration each person receives
payslip- info about total gross, netto, social contributions etc
invoice
remuneration= payment

breach of contract

when the party doesn’t do what it’s supposed to do
the other party may file a lawsuit against the breaching party
non-breaching party (injured) may try to get court to award them damages
other remedies= perform the contract (specific performance; the court orders the breaching party to perform the contract); restitution (return what they were given)

language of contracts (clauses) (15)

grievance procedure- the complaint process of the employee; if the employee is unhappy (w employer/colleagues)

disciplinary procedure- when the employee does something wrong/employer isn’t satisfied w employee’s work
confidentiality- to keep certain information secret, to not share info about the company (e.g. inventing the cure for cancer)

sickness and sick pay- to feel ill; the money that the employer must pay an employee when he/she is ill

non-competition- the obligation not to start the same business after finishing the contract
term of contract- validity of the contract (period of time)- definite/indefinite

job title- name of the job (e.g. clerk, cashier)

termination- the way of finishing job; how it can be terminated; 2 months notice period- u have to announce that u want to quit employee- person who works for the company employer- the company remuneration- the payment the employee receives, in brutto

pension- the money a person receives when retired (money from income+employer); II. pillar- obligatory; III.pillar- the employer contributes working hours- the amount of time an employee is obliged to work every week/month; (flexible/amount of hours/at what
time u have to be present at work) holidays- the time the employee is allowed to stay away from work to rest and relax and still receive their money; only in full-time jobs (20-30days)

notice- a warning period

ways to end a contract

1.resignation- (zanechanie) employee resigns from the job; informs the employer about quitting the job by notice (2 weeks in GB; SK longer); when the employee wants to work somewhere else; letter of resignation (writing which contains the wish to resign, valid from the 1st day of the next month)

2.retirement- employee retires at certain age (62 in SK, 65 in GB); can choose to retire earlier if they have enough money (II. and III.pillar- funds for pension); NIC (national insurance contribution)- in GB people pay monthly an amount of money to the gov to pay for their pension

3.redundancy- the employer doesn’t need the employee anymore (business is closing, employee isn’t needed,…); employee receives redundancy payment (final payment)=compensation, which depends on the number of years working for the employer (SK= 3-5 years =2months salary; 6-10y= 3 ms; >10y= 5ms); the employer may offer training for new career (new skills necessary for different job)

4.dismissal- fired/sacked; employee is dismissed bc the employer is not happy with their performance/behavior; employers must inform the employee but if the employee is guilty of great misconduct, employer doesn't have to follow this rule

5.fixed-term contract ends- employee stops working because their contract has ended

working from home

pros: own time management; no commuting; no dress code; saving money on transport; less stress

cons: weak relationship with colleagues; distractions at home; no routine; lack of social interaction; no face-to-face communication; no motivation

CV

outlines our qualifications, work experience and strengths & achievements

the first document a future employer will see= important first impression

should be constantly enhanced

essential info (name, contact, education, employment history, skills, references)

desirable info (personal profile, volunteering, achievements, projects, interests)

ideally 1-2 pages, most important info on front page, consistent font, size, spacing, language

tailoring the CV for the job one applies for

avoid- photos (only if required), discrimination, mistakes, no CV on top but name

transferable skills- skills that can be transferred from one job to another (everything you’ve learned & trained in previous jobs, training etc., e.g. leadership, critical thinking, analytical reasoning, interpersonal communication)

soft skills= people skills (work ethic, leadership, teamwork, interpersonal skills)

labour law and employment in SK

1.entitlement to work in SK

it is prohibited to employ persons without an established emplyment relationship for all citizens (slovak, european, non-eu)

eu citizens- can stay for 3 months without any formalities&conditions; after 3 months they must apply for residence in slovakia (the reason for authorization is employment in SK)

non-eu citizens- entitled to work in slovakia if they have permit/temporary residence permit for the purpose of employment

time periods for granting temporary residence permits and reductions of related administrative burden have been introduced= more flexible employment of non-eu citizens

2.employment contracts

the employer and employee must agree on minimum specifications that will be included in the contract (job description, place of work, date on which employment commences, salary unless agreed in a collective bargaining agreement)

obligations (acquaint employee with work rules, health and safety regulations, collective agreements)

contract duration- definite/indefinite period; definite- for max 2 years extension available only twice during these 2 years, must be agreed in writing otherwise → indefinite period

probationary period (max 3 months for general employees; for managerial positions up to 6 months)

3.termination of employment

a) mutual agreement

b) immediate termination- only in exceptional circumstances stipulated by the Labour Code; employer must terminate the employment within 2 months since becoming aware of the grounds for i.t.

c) termination in the probationary period- by both e&E, without providing any reasons, by written notice delivered at least 3 days before the termination

d) notice- both e&E, by written notice, e for any reason, E in situations stipulated in the LC (e.g. relocation, redundancy, breach of working discipline=dismissed/not fulfilling work tasks satisfactorily & failed to rectify the insufficiencies- the e was warned prior to this)

e) lapse of time- if contract for a definite period

f) expiry of residence permit in case of foreign employees- by virtue of time/revocation

notice period- min.1 month in SK, 2m if employed for 1/<5 y; 3 months if employed for 5/> y

social contributions and income tax

social contributions- E is required to pay monthly contributions to health insurance, social insurance and advances of the income tax

contributions (sickness insurance, pension contribution, disability insurance, unemployment i, i to finance support during short-time work, guarantee i, accident i, reserve fund, health i)= 36.20% E; 13.40% e

minimum monthly wage= 750€, hourly=4.31€

income tax- tax year= calendar year, income taxed at rate of 19% (<47,537€ annual income) and 25% (>47,537 annual income); citizens liable to personal income tax on their worldwide income

working time and vacation

regular working time- max weekly working time is 40h, two-shift system= 38.75h; three-shift system= 37.5h; possible to ask for uneven distribution of working time

overime-based on agreement w the employer, may reach up to 400h per year, orderd by E only 150h, the rest must be agreed on w e; e entitled to allowance based on LC

time off- e working constantly for at least 60 days in a cy entitled to paid leave based on proporionate basis → basic annual leave= 4 weeks, 5 weeks for e that are 33 yo/older; e taking care of children entitled to extra time off based on the day it was born- e.g. 200/365×5= 2.75= 3 extra days off

most common employee benefits

cash/non-cash benefits

cash benefits= financial bonus on top of the standard wage/salary

non-cash benefits- company car (even for private use), extra holiday, company pc/mobile, reimbursement of sporting and cultural events, premium healthcare, flexible working hours/optional home working, contribution to old-age pension scheme

meal allowance- E obliged to allow e to choose between meal vouchers and financial contribution for meal; paper meal vouchers not used anymore (gastrocard/or only within the workplace)

special types of contracts

besides employment contract three other contract types: work performance contract, work activities contract, temporary student contract

e must be informed about the days and time periods the E needs him for, must be given at least 24 prior notice about the assigned work task otherwise e is entitled to refuse to perform such work, if the E cancels the work without giving a 24 hours prior notice the e is entitled to a refund of at least 30% of the remuneration he would normally receive

work performance contract- (dohoda o vykonani peace) only if the extent of work doesn’t exceed 350 hours in a cy, concluded for max 12 m

work activities contract- (dohoda o pracovnej cinnosti) working period may not exceed 10h per week, contract concluded for max 12 m; work activities contract for the performance of seasonal work (as of Jan 2023) may not exceed 520h per cy, weekly working time <40 h, contract concluded for max 8m

temporary student job contract- contract concluded only with a person w the status of student under the age of 26, work performance may not exceed 20h per week, contract concluded for max 12 m

company law

deals with the creation and regulation of business entries (happens at the registration company house)

common forms of business entities= company, business

company

=a group of people treated as a legal person with separate identity from its shareholding members

can own property, enter into contracts, sue others an be sued

partnership is not a legal person and can’t own a property in its own name

company formation/registration= process of registering company- can be created by individuals, specialised agents, attorneys, accountants; most frequently done electronically

certificate of incorporation= issued once the company’s constitutional documents and statutory forms have been filled

constitution of company consists of: a) memorandum of association (principal objects of the company); b) articles of association (regulate internal management and administrative affairs, e.g. rights and obligations, corporate contracts, conduct of meetings)

shareholders= owners of the company, invest money, get shares in return
employees= people who work for the company
accountants= deal with financial paperwork
company secretary= makes sure legal requirements are followed (e.g. duty to send an annual return to Companies house)
a board of directors= manage affairs of the company, have the power to run the company- make all decisions about the management of the company
creditors= people (including banks, other companies) who the company owes money to
debtors= people who owe money to the company
regulators= oversee the functioning and fairness of financial markets
auditor= qualified accountant who inspects all the financial records of a company

sole proprietorship: owned and operated by a single individual who has unlimited liability for the business’s debts
partnership: owned and operated by 2/> individuals who share the profits, losses, and liabilities of the business, don’t have separate legal personality
publicly listed company (corporation): a business entity with shareholders who have limited liability (they aren’t personally responsible for the company’s debts), it has separate legal personality from its shareholders & can issue shares to the public, trading on a stock exchange

closing a company

correct procedures must be followed in order to close a company

three options

1.the company is no longer trading- the Comapny House has the right to remove/strike off a company from the central register of companies (when the comp. doesn’t submit any annual account and returns- won’t happen if there’s no business for 2-3 years, but if it happens for very long period of time they can dissolve the company)

2.the shareholders wish to close the company- the shareholders must liquidate (wind up, close) the company, usually because the company goals for which the comp was set up have been reached, or they don’t want to carry on w the business); if the company is solvent- the shareholders follow a process called a member’s voluntary liquidation; the person appointed to liquidate the comp=liquidator (qualified insolvency practitioner), he must sell (realise) the assets of the company and give money to the creditors (the rest is given to the shareholders), then the registrar dissolves the company

3.the company has no money- the company is insolvent= has no money to pay its debts, however not all insolvent companies must close

limited company

=limited liability company= s.r.o./spol.s.r.o. in SK

most popular

partners (shareholders) are not liable for company’s debts only liable w company’s assets up to the stock capital=5000€

can consist of only one person (e.g. barber, hairdresser) but can work together in a partnership= share one space

the owner must have residency in Slovakia

memorandum of association: contains the aim of setting up a company, partners and directors must be identified in memorandum as well as the company’s name, place of registered seat, scope of business (what you want to do) and the value of company’s stock capital (at least 5000€), trade license (some available for everyone, some require higher education- e.g. beautician, teacher, plumber

a bank account must be set up into which the share capital is deposited, then the certificate is delivered to the district court for registration which delivers it to the county registry court, finally, after completing the registration the company is put into commercial register entry which generates a business identification number

the company must be registered for corporate income tax as well as value added tax

general meeting held at least once a year- important decisions, appointment of the board, etc.

shareholders own a share in the comp (no more than 50, don’t have to have residence permit); profit of the company divided among partners; executive directors have the right to act in the name of the company (residence necessary, can be only one/>)

sole trader

a type of business managed and owned by a single investor with unlimited liability

this business may not be sold

sole trader is responsible for the business' debts with his personal assets

to apply for this u have to be 18 yo and have clear criminal record

trade= a business under a trade license (issued after the registration with the companies registrar)

3 types of trades: a) unqualified trades- general conditions for performing a trade (DJ); b) manufacturing trades- general conditions + required obtaining of special technical qualification (barber, beautician); c) permitted trades- general conditions + required obtaining of special training or experience (teacher)

final steps: 1. filling the application for trade licence and sending it to the trade licensing office; 2.applying for business authorisation for service; 3.receiving the trade licence (+the tlo notifies the health insurance company instead of you)

ltd vs sole trader

LTD: 1.Registration- higher costs
2.Liability- up to the company’s assets
3.Compulsory Health insurance- may not be paid at all
4.Business expansion- members/directors can be added/changed
5.Selling business- may be sold

Sole trader: 1.Registration- lower costs
2.Liability- unlimited liability (personal assets)
3.Compulsory Health insurance- obligatory to pay
4.Business expansion- only one person
5.Selling business- cannot be sold

sale of goods

broad area of law largely governed by legislation, where it isn’t governed by legislation, it is governed by the common law or by general priciples of law in non common-law jurisdictions

legislation- sets forth the nature of what is involved in the sale of goods; what constitutes a sale and goods, contract formation, price, passage of title, warranties of title, implied warranties, express warranties, disclaimers of warranties, remedies for breach of warranty, delivery & acceptance of goods and the passing of risk (sale of goods act 1979)

sale- the transfer of title in a good from the seller to the buyer

goods- tangible chattel (movable → no land or property)

contract formation= requirements applied to contracts w added details such as agreements implied by conduct of the parties

the price- set forth in the agreement, the buyer is generally required to pay a reasonable price

passage of title- good title is transferred from seller to buyer (not to a third-party buyer from a person not authorised to do so by the holder of the title), good faith and apparent authority

implied warranties- not explicitly stated but imposed by the law due to the nature of the transaction (e.g. that u can dive 5m deep but no deeper with apple watch without damaging it)
express warranties- a spoken/written promise made by the seller about the quality, performance or other considerations concerning the goods covered by the contract which would affect the buyer’s decision to purchase (e.g. the producer guarantees the product will work for 10 years)
warranty of fitness- warranty that the goods being sold are suitable for the purpose for which the buyer is purchasing them (e.g. guarantee that racing bike will work in the mountains as well as on the road)
warranty of merchantability- warranty that the goods being sold are of a quality that generally conforms to ordinary standards of similar goods sold under similar circumstances (conforms to the pictures e.g. McDonald’s)
warranty of title- warranty that the seller of the goods owns them (e.g. the goods haven’t been stolen or already sold to sb else) title=the product
breach of warranty- a violation of the warranty when the goods don’t comply in some regards with an express or implied promise at the time of sale
disclaimer of warranty- a negation or restriction of the rights under a warranty given by a seller to a buyer (e.g. Alza says it’s not responsible for delivery but GLS is)

remedies for breach of warranty- responsibility to pay damages due to errors in the goods

delivery and acceptance of goods- contains provisions regarding the time, limitations and manner of which the sale of goods become complete

passing of risk- who’s responsible if the goods are lost or damaged

exclusions and disclaimers- two means of limiting warranty liability

retention of title- the seller maintains ownership of the goods until the payment is complete