The Slovak Investment and Trade Development Agency (SARIO) is a government-funded allowance organization that works under the supervision of the Ministry of Economy of the Slovak Republic. SARIO’s primary objective is to improve the standard of living of Slovak citizens by increasing employment and reducing regional disparities. Mission The mission of SARIO is to promote growth and economic development, and improve the quality of life in Slovakia. Vision SARIO works actively to make the Slovak Republic a country with a well developed economy and an educated population with a high quality of life. In order to achieve these goals, SARIO utilises valuable contacts both in Slovakia and abroad.

1. Newsletter
Slovak Investment and Trade Development Agency
August/ 2011
What will bring
new labor code?
More on page 2
1

2. hoT TopIc
what will bring new labor code?
Key changes to selected employment regulations
probATIoN perIoD FIxeD-Term smooth retirement, new
regulation introduces “shared
employmeNT
T o allow a better assessment
of the skills and overall
working positions” (in Slovak
F ixed-term employment delené pracovné miesto).
suitability of new managing contracts can now be
employees1 for their new entered into for up to
positions, employers will be The “flexi account” (in Slovak
three years instead of
able to increase the standard the previous two-year
flexi konto 2) becomes a
three-month probation maximum term. Within these standard instrument, which
period to up to six months. three years, a fixed-term can be used for serious
employment contract can operational reasons and the
be extended or renewed a related decreased ability
1
This term is redefined, and maximum of three times. of the employer to assign
theoretically may include board
members provided their functions
work to the employees
are clearly distinguishable from the (defined as an obstacle
executive function of a board member to performing the work
(which executive function should be WorkINg TIme attributable to the employer).
governed by the provisions of the
Commercial Code). Otherwise the term AND overTIme
W
is intended to cover employees who
report directly to the board or their
ith the aim of promoting In the relevant circumstances,
immediate subordinates. the employment of the employer is allowed
parents with young children, to grant employees paid
students and to help a time off, which is recorded
on the employees’ flexi-
account as negative time.
once the obstacle ceases
to exist, however, not later
than within the next 12
months, the employees are
obliged to work more hours
without extra payment until
the negative time on their
flexi account balances.
NoN-compeTe
uNDerTAkINgS AND
coNFIDeNTIAlITy
F or the first time under
Slovak labour law,
employers can expressly
restrict their employees’
competitive activities
following the termination of
employment. The restriction
2
New section 142a (previously section
252c of the Labour Code).
2

3. hoT TopIc
prevents ex-employees not during the previous six months); over 5 years/liquidation or
only from being employed by relocation of the employer,
a competitor, but also covers redundancies, poor health:
competing with the employer • reducing the overall notice period of 3 months
as sole traders or executives compensation to be provided
of another company. to the employee in the case
of invalid employment
termination from 12 to group lAyoFFS
T
9 times the employee’s he definition of group
holIDAy average monthly earnings; layoffs becomes more
p reviously, employees’
holiday entitlement was
either four or five weeks, • either notice period
connected to the actual size
of the employing entity.
under the new regulation, a
depending on a set of multiple or severance payment, group layoff can take place
conditions. The amendment but not both. only in an employer with 20
simplifies the conditions by or more employees and if the
providing that all employees employment is within the time
over the age of 33 shall be
As a general rule, an employee
period of 30 days terminated
entitled to five weeks of is entitled to severance
by notice or otherwise for
holiday per calendar year. payment only if his/her
reasons not attributable
The effectiveness of this employment is terminated to the employees, with:
change has been delayed till 1 by agreement due to:
January 2012 in order not to
complicate calculating holiday • at least 10 employees
• the employer or its part if the employer’s total
entitlements during 2011.
being wound up or relocated; number of employees is
between 20 and 99;
TermINATIoN • the employee’s
redundancy being triggered • at least 10% of the total
T erminating employment
undergoes several
important changes, most
by organisational or
operational changes;
work force if the employer’s
total number of employees
but not all of which make is between 100 and 299;
terminating employment • the employee being unable
more flexible (faster) and to perform the work, given
less costly for the employer.
• at least 30 employees if
his/her health status (to be the employer’s total number
proved by submitting the of employees exceeds 300.
respective medical certificate).
The main changes include:
• eliminating the employer‘s
NoTIce perIoD
duty to consult termination
notices and immediate
employment termination with In accordance with the new
regulation, the following
notice period applies:
employees’ representatives;
• when terminating an Duration of employment
employment contract for less than 1 year:
unsatisfactory work, the notice period of 1 month
employer must prove that
it previously informed the Katarína
employee about his/her Duration of employment Matulníková
unsatisfactory work during over 1 year: Senior Associate
the previous two months notice period of 2 months Allen & Overy
(previously such “second- Bratislava, s.r.o.
chance” information might
have been given at any time Duration of employment
3

4. INveSTmeNT NeWS
honeYwell
laUnched
conStrUction
h
oneywell launched
construction of a
factory in which 446
jobs are to be created in
the first phase in the IpZ
presov-Zaborske industrial
zone. The investment will
be worth eur 38.3 million.
honeywell Turbo will be
producing turbochargers for
passenger and cargo vehicles
from spring 2012 there.
4

5. INveSTmeNT NeWS
new JobS in FiĽaKoVo
S
wedish company employs 200 people. It
Dometic plans to produces components and
create 350 new accessories for caravans. The
jobs in Filakovo or its company intends to increase
surroundings. Dometic has its staff to 550 thanks to
been operating in Filakovo increasing production.
since 1995 and currently
5

6. INveSTmeNT NeWS
wine in KoŠice
T
he company will invest items. The company will
Kosice-based Caste eur 300,000 into the employ 30 people. caste
will launch wine reconstruction of the plans to produce fruit
production. obsolete manufacturing hall wines and refill table wines.
in the industrial zone David. The company will also
The company’s investments make its own peT bottles.
will exceed eur 1.5 million The production launch is
after including the price scheduled for this autumn.
of technologies and other
6

7. INveSTmeNT NeWS
inVeStMentS
in leVoČa
The new industrial zone in Levoca
found its first investor.
T
he czech-german- and helicopters and later
French consortium to expand its production
Shalter company will by components for ships.
invest eur 7,8 million in
the town. The company
will employ 150 people by
2017. The consortium plans
to produce little special
components for aircrafts
7

8. ecoNomy NeWS
YES to nUclear energY
Slovakia is unable to
h
e says that this is energy and this share will
one of few issues be over 60 percent once
be without nuclear that coalition and two blocks in mochovce
energy, announced opposition agree to. “We Npp are completed.
minister of economy are convinced that Slovakia
with its current energy
Juraj Miskov. mix cannot work without
nuclear energy,“ said miskov.
Nuclear energy accounts
for 53 percent of the total
8

9. SArIo NeWS
upcomINg SArIo eveNTS
Business frienDly Business frienDly ConferenCe
sloVakia sloVakia
košIce / prešov INveST
INveSTmeNT SemINArS INveSTmeNT
IN germANy SemINAr IN brNo, Date: Tuesday, 18.10. 2011
cZech republIc
Time: 8:30 a.m. – 4:30 p.m.
Date: Venue: hotel Doubletree
monday, 19.09.2011, Düsseldorf by hilton, košice
Date: Thursday, 6.10.2011
Tuesday, 20.09.2011, Düsseldorf organizer: The American
Time: 10 -12 a.m. chamber of commerce
Friday, 23.09.2011, mníchov Venue: brno exhibition in the Sr (Amcham) in
organizer: SArIo centre, czech republic cooperation with SArIo
organizer: SArIo
SArIo has the pleasure The main purpose of the
to invite you to join Are you interested to expand conference is a presentation of
and experience business your business activities the košice and prešov regions
opportunities of Slovakia at abroad? Do you have potential as the ideal investment
the roadshow of Investment to become a supplier of destinations for potential
Seminars, which is to be already established investors? foreign and domestic
held between 19th - 23rd Slovakia is probably familiar investors. The program of the
September 2011 in cities to you, despite the Slovak event will be divided into six
of Düsseldorf and munich, business environment offers panel discussions, covering
germany. Investment opportunities which you may the following main areas:
Seminars will be organized not be aware of. Would you
in cooperation with like to learn more? let’s follow
respected members of 1. FDI Strategies of košice
the stories of those who have and prešov municipalities
the Investment Support succeed - companies operating
Association (ISA) including in Slovakia - kIA, mobis, 2. Investment Incentives
representatives of established pWc and unicredit bank. 3. SArIo – closer to Investors
german and Japanese
companies in Slovakia. 4. recent human resources
Investment seminar business Trends in the labor market
Friendly Slovakia is organized 5. Investments bringing
Seminars in germany offer by SArIo as an accompanying high Added value
unique opportunity for event of the International
international companies when 6. Attractiveness of
engineering Fair in brno. eastern Slovakia in
getting to know the leading
country for doing business in International Framework
central and eastern europe, Seat are lImITeD, don’t
getting to know Slovakia. hesitate to regISTer now! For more information,
please contact Amcham
Seats are lImITeD, don’t at kosice@amcham.sk
hesitate to regISTer now!
9

10. e-mail: marketing@sario.sk
Web: www.sario.sk
upozornenie:
Tento Newsletter neposkytuje záväzné právne stanoviská. SArIo nenesie zodpovednosť za škodu
spôsobenú nesprávnym použitím informácií na nej uvedených.
Zdroj použitých obrázkov: archív SArIo, stock.xchNg, istockphoto