On which areas will the inspectors put higher focus in 2019?

Labour inspectorate of the Republic of Slovenia (“Inspectorate”) published its program guidelines for focus of their work in 2019.

The following areas are being listed among the main areas of monitoring:

– posting of workers to Slovenia, within which, in 2019, the Inspectorate will monitor and control particularly foreign employers that perform cross-border services in Slovenia or that second workers to Slovenia. In this regard, the Inspectorate, together with the Employment Service of Slovenia, will also carry out an inspection campaign on correct application of Transnational Provision of Services Act, with the focus on those activities where most such services were registered or on activities where most violations have so far been detected;

– provision of work on the basis of civil law contracts, despite the existence of elements of an employment relationship.

Given the expected strengthening of monitoring by the Inspectorate, we recommend employers to:

– comply with the relevant employment legislation regarding cross-border work;

– obtain all necessary permits and licenses regarding secondment of workers to Slovenia or cross-border provision of services in Slovenia;

– register the provision of services of an employer from another EU member state, the EEA or the Swiss Confederation to the Employment Service;

– comply with the rules on the coordination of social security systems for posted workers;

– analyse possible tax consequences of cross-border work in Slovenia and provide for withholding and payment of tax in Slovenia;

– perform an analysis of agreements with workers who perform their work on the basis of civil law contracts and assess if such agreements are employment relationships by their nature. In the event that the conditions for conclusion of an employment relationship are fulfilled, the worker may, under certain conditions, also be entitled to retroactive requalification, which amongst others, means the obligation to pay social contributions and taxes for previous years for the employer.