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Amendment to the Labour Code finally approved with effect from 1 October 2023

Amendment to the Labour Code finally approved with effect from 1 October 2023

Czech Republic
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As the amendment is effective as early as 1 October 2023, we provide below an overview of the main changes, indicating the necessary or recommended steps for employers to be taken:

1) Home Office    

Overview of Main Changes

  • HO will only be possible based on a written agreement with 15 days’ notice (can be modified or excluded by agreement). 
  • 3 methods of compensation for costs of HO: (i) proven actual costs, (ii) flat rate per hour as per relevant regulation, or (iii) agreement that no costs are to be compensated. 
  • Protected employees (pregnant women, employees caring for children under 9 or dependents) can request HO - discretionary, only right to written explanation.  

How to Prepare? 

  • Enter into a written HO agreement within 1 month.
  • Select and implement a method of compensation for costs of HO.

Review and modify existing internal HO agreements, guidelines, and regulations. 

2) Agreement on Performance of Work (APW)/Agreement on Working Activity (AWA)

Overview of Main Changes

  • Obligation to schedule employees' working hours and to inform the employees of the schedule at least 3 days before the shift, unless a shorter period has been agreed. 
  • Entitlement to basic scheme allowances (for night shifts, weekend shifts, holidays shifts, difficult working environment).
  • Application of the Labour Code regarding working hours and mandatory rest periods.
  • Entitlement to all work-related impediments as for employment, but newly granted impediments are unpaid. 
  • Holiday entitlement (from 1.1.2024) - same calculation as for employees working on the basis of an employment agreement (notional 20h work week, the employee must work minimum of 4 weeks and 80 hours). 

Option to apply for transfer to the legal regime of an employment agreement - after working a minimum of 180 days in the last 12 months - discretionary, only right to written explanation.

How to Prepare?

  • Revise the existing templates of the APWs/AWAs
  • Conclude amendments to the existing APWs/AWAs

Review and modify existing internal regulations, documentation, and processes.

3) Extension of the Information Obligation

Overview of Main Changes

  • Expanding the scope of information to be provided during onboarding. 
  • Special information obligation when sending employee for work abroad.
  • Reduction of the time limit to 7 days from the start of the employment.
  • Existing employees only need to be “newly” re-informed if they request it. 
  • Possibility to inform electronically if it is possible to save and print the information.  

Information also for APW/AWA to an equivalent extent. 

How to Prepare? 

  • Revise and complete the template information. 
  • Prepare new information for APW/AWA. 

Review and modify existing internal regulations, documentation, and processes. 

4) Electronic Conclusion of Agreements

Overview of Main Changes

  • It will be possible to conclude the employment agreement, APW/AWA and amendments thereto, including termination agreements, electronically, typically by e-mail, even with a simple electronic signature.  
  • Under the condition that, once concluded, the document will be delivered to the employee's private e-mail address, which the employee has notified in writing. 

The employee can withdraw within 7 days (except for termination agreements and if the employee has already started working). 

How to Prepare?

  • Decide on the electronic conclusion of agreements.
  • Obtain private email addresses from employees. 

Review and modify existing internal regulations, documentation, and processes.

5) Delivery of Important HR Documents

Overview of Main Changes

  • Significant narrowing of the list of documents that must be delivered in person pursuant to the Labour Code - in particular termination documents (with the exception of agreements) and salary statement remain.
  • It is up to the employer to choose the main method of delivery (in person at the workplace/anywhere, by e-mail or by databox). Only by classic mail delivery, the impossibility of personal delivery at the workplace is required. 
  • It will be possible to deliver using e-mail with a recognised e-signature, subject to the employee's special consent to his/her private e-mail address (fiction of delivery after 15 days). 
  • It will also be possible to deliver to the employee's databox without his/her consent unless he/she denies deliveries of private messages.

Significant simplification also for e-delivery to a designated employer’s e-mail address (a simple signature is sufficient, 15day fiction of delivery).

How to Prepare?

  • Decide on the use of e-delivery.
  • Prepare wording and obtain qualified employees’ consents.
  • Obtain databox information.
  • Determine and inform employees about email address for delivery to the employer.

Review and modify existing regulations, documentation, and processes.

6) Other Important Changes

Overview of Main Changes

  • Increase in limits for agreed overtime for employees in the healthcare sector.
  • Modified request for parental leave (in writing, at least 30 days in advance, incl. duration)
  • "Shortened" continuous rest week (min. 24 hours, but plus 11 hours)

Shifted burden of proof in certain employee disputes.

How to Prepare? 

  • Review and modify existing internal regulations, documentation, and processes.  
  • New agreements for additional overtime for employees in the healthcare sector.  

By Radek Matous, Partner, Eversheds Sutherland

Eversheds Sutherland at a Glance

Eversheds Sutherland with offices in Bratislava and Prague and as part of an international network, provides comprehensive legal advice also in foreign jurisdictions.

Our team consists of a total of more than 40 lawyers in the Czech Republic and Slovakia, most of whom have previously worked at major international and local law firms and have extensive experience in particular in the areas of corporate law, including mergers and acquisitions, capital markets, real estate, employment law, competition law, litigation and arbitration, energy, infrastructure, as well as environmental and ESG law.

Our advisory services are offered in Slovak, German, Czech and English language. Members of our team include attorneys registered with the Austrian Bar Association. On this basis, and because we are part of Eversheds Sutherland, we are also able to offer extensive legal support on various foreign legal issues.

We listen to our clients, we understand their business and we also understand what they need. So we can always find the best solution for the particular situation. We work quickly, efficiently and take responsibility for our work.

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