Richard Knobloch | 29.11.2024
Upcoming amendment to the VAT Act with effect from January 2025Taxes, accounting, law and more. All the key news for your business.
In an effort to respond to the current needs of the labour market and suggestions received from practice, the Ministry of Labour and Social Affairs has introduced a so-called flexible amendment to the Labour Code to ensure greater variability in employment relations. It is intended to strengthen the competitiveness of employers while preserving the protection of workers’ rights. The key changes include support for reconciling family and work life for working parents, new rules for giving notice of termination of employment, the possibility for employees to self-schedule their working hours and an increase in the maximum length of probationary periods.
Employees on parental leave will be able to perform the same work for their employer as they did before the leave began, either under an agreement to complete a job or an agreement to perform work. At the same time, return to the same job will be guaranteed even if the employee returns from parental leave before the child reaches the age of 2. Currently, this entitlement only applies to return from maternity leave.
In the event that an employee ceases to be medically fit to continue working as a result of his/her occupation, he/she receives special compensation for damage caused by an occupational accident or disease. In the area of termination of employment, the notice period is shortened to 1 month in the event of employee misconduct. Another novelty is the postponement of the start of the notice period – it will now be linked to the date of delivery of the notice to the other party, so that the employee has the opportunity to start in a new position earlier.
Reduction also applies to employees’ daily rest periods. Employees may have their rest period reduced to as little as 6 hours by agreement with their employer in the event of an extraordinary or emergency situation. Rest will be replaced the following day. The probationary period will be extended, on the contrary. The maximum length of this period will be up to 4 months, or 8 months for senior positions.
Other innovations include the extension of cases where it is possible to agree with an employee on payment of wages in a currency other than the Czech currency. In addition, it is proposed to allow minors aged 14 and over to do light work during the main summer holidays to provide more work experience and possibility to earn extra money.