What should I know about hiring in Slovakia?
The Slovak Republic’s Labour Code is the primary legislation governing the nature of work relationships in the country. The Labour Code requires an employment contract between an employer and an employee to establish employment relations.
Work performance contracts, work activities contracts, and temporary student job contracts are the three other types of contracts recognized by the Labour Code in addition to employment contracts.
Employee registration is the responsibility of the company. The company must notify the relevant healthcare authorities within eight business days of the employee’s first job. Before starting work, the employee must register with the appropriate social authorities.
It’s important to note that there may be many qualified applicants in Slovakia because of the high unemployment rate.
Why is Slovakia a good choice for finding remote employees?
There are many reasons why Slovakia is a desirable location from which to recruit remote workers. First, compared to other developed countries, the cost of living in Slovakia is relatively low.
Secondly, Slovakia is a beautiful country with many attractive residential areas, such as the capital city of Bratislava and the gorgeous High Tatras mountains. This ensures that you will have a high standard of living as a remote worker!
Furthermore, the internet in Slovakia is fast and reliable because of the country’s advanced infrastructure. Moreover, as a remote worker, you may easily maintain your connections and output even when working from home.
How can Native Teams help you hire in Slovakia
There are a few things to bear in mind if you’re planning to hire in Slovakia. Of course, the first step is to team up with a reliable company that has already successfully recruited the country. Working together with Native Teams is one technique that may be useful. Our employer of record services in Slovakia can help you find qualified candidates, welcome them into your organization, and comply with all relevant laws and regulations regarding compensation, benefits, and taxes.
Hire your first Slovakian employee with Native Teams.
Legal requirements for hiring in Slovakia
The government of Slovakia has established a minimum wage, and no worker in Slovakia may be paid less than this amount. The minimum wage in Slovakia is EUR 646 per month or EUR 7,752 per year.
Contributions & taxes
Included in the total employer cost of 35.20% are 1.40% for sickness insurance, 14% for the old age pension, and 3% for disability insurance.
Also deducted are 1.00% for unemployment insurance, 0.25% for guarantee insurance, and 0.80% for accident insurance.
As a final allocation, 4.75% goes to the solidarity reserve fund and 10% to health insurance.
The rate of corporate income tax is 21%.
Total Employee Taxes are 13.40%.
The tax rate on personal income is between 19% and 25%. This is because each individual’s yearly gross income determines their taxable income.
To calculate the salary and taxes in Slovakia please click here.
The typical pay period length is one whole month. The company must pay at least once every month.
Is there a 13th salary in Slovakia?
Companies are under no obligation to pay employees for the 13th month but may do so at their discretion if they feel it is warranted based on performance.
Probation period rules
The length of a worker’s probationary period is often specified in the employment contract. However, the probation term for operational duties is capped at 3 months, and for managing ones, it is capped at 6 months.
The length of the notice period is based on the following factors:
- Unless the Labor Code requires a lengthier notice period, a minimum of one month’s notice must be given to all employees;
- For terms between 1 and 5 years, a minimum of 2 months’ notice is required;
- For terms of 5 years or more, a minimum of 3 months’ notice is required;
- If an employee has been with the company for 1 year or less and wants to leave, they must give 1 month’s notice;
- Employees who have worked for the company for 2 years are entitled to two months of notice.
Severance pay is owed to terminated workers in most cases where the reasons for their dismissal fall into the following categories:
- The worker’s health has deteriorated to the point where they can no longer do their job;
- Either the company closed down or relocated, and the worker is unwilling to follow;
- The worker is being laid off.
The amount of severance pay depends on the duration of service, the cause for termination, and the nature of the termination. Employees terminated with notice must be paid at least four times their average monthly salary.
The typical work week consists of 40 hours, broken down as follows: Monday through Friday, 8 hours per day. Officially, a worker in the Slovak Republic can only put in 40 hours per week, and if asked to put in more than that, they need written permission from their employer and must not work more than 52 hours per week.
Leave and benefits
There are 14 official holidays in Slovakia:
- The emergence of Slovakia and the New Year
- Feast of the Epiphany
- Good Friday and Easter Monday
- International Workers’ Day
- Day of Freedom from Fascism
- Slavic Apostles Cyril and Methodius
- Slovak National Uprising
- Day of the Constitution of the Slovak Republic
- Day of Our Lady of Sorrows
- All Saints’ Day
- Day of the Velvet Revolution
- Christmas Eve
- Christmas Day
- 10 sick days are provided to employees annually, with the first 3 days paid at a rate of 25.00% of the employee’s regular wage;
- During the 4th through 10th days of sick leave, the employee will get 55.00% of their regular pay;
- After the first 10 days of sickness absence, employees receive 55.00% of their regular daily rate as a social security payment.
Maternity leave & paternity leave
The law guarantees a woman working full-time 34 weeks of paid maternity leave. There are 43 weeks of paid maternity leave available to employees expecting twins or more and 37 weeks for employees expecting a single child.
A woman is legally entitled to at least 14 weeks of unpaid leave for giving birth, and most companies require it to begin between 6 and 8 weeks before the due date.
During a mother’s time away from work to have a baby, the Social Security Administration will pay 75% of the worker’s regular income.
If the mother is not eligible for maternity or parental leave, the father is entitled to 28 weeks of leave, beginning when the kid is 6 weeks old. In addition, Social Security provides paid paternity leave for single fathers for up to 31 weeks.
Other leave (marriage, bereavement, exam leave)
Employees are eligible for up to 3 days of paid absence in the event of the death of a child or spouse. A worker is eligible for 1 day of paid time off to attend the funeral of a parent or sibling, the parent or sibling of the worker’s spouse, the spouse of the worker’s brother, grandparents, or grandchildren, and another day if the worker is responsible for arranging the funeral.
Maternity leave and benefits for adoptive and adoptive parents total 28 weeks, and it’s possible to take advantage of the time off until the youngster turns 3.
Before a child becomes 3 years old, either parent is entitled to unpaid leave from their job.
Family care leave
Employees are permitted to accompany a family member to a medical facility for care in the event of an unexpected illness or accident and for scheduled checkups and treatments. However, employees may take no more than seven days off work per year to care for a single family member, and they will not be compensated for their time away from the office during that time.
What are the minimum vacation days?
Full-time and part-time workers receive the same annual allotment of 20 paid vacation days. Paid time off (PTO) and accrual rates change with an employee’s age. The typical period for receiving compensation is four weeks, but anyone working for a company that is 33 or older is eligible for five weeks of paid vacation.
Health security & private insurance
Anyone who has worked for an employer for at least three months within the previous fifteen months is entitled to free medical and dental care through the Social Security Administration.
* Native Teams can support you in finding the best private insurance in the country. Contact us and we will send a comparison of insurance packages and prices*
Relocation and work permits
Native Teams will apply for your work visa in the nation on your behalf and serve as your Employer of Record. All the required documents can be uploaded using our app. Until you have your work and residency visa, Native Teams will support you by providing you with frequent information on the progress.
How long is the visa/work permit process?
2 to 4 weeks depending on the authorities and provided documents.
Which documents do you need?
Why use Native Teams for hiring in Slovakia?
Native Teams lets you employ team members ‘like a local’ meaning you get all the benefits of a global team, wherever you are based. Here are the reasons why you should use Native Teams for hiring:
- No paperwork: We will handle all the necessary paperwork for you.
- Save on taxes: We help you handle your taxes.
- No company set up: You can expand your business using our company entitles.
- Online onboarding: We’re here to ensure your onboarding process is trouble-free.
- No accounting: We will handle all of your accounting needs, including invoicing, payroll, and more.
- Increase your profit: We assist you in growing your business and maximizing your profits.
- Compliance expertise: we can assist your company in navigating the regulatory environments and ensure you meet all relevant requirements.
- Local support: We can assist you in understanding and complying with the relevant local laws.