Slovenia HR Information

Updated on: 2025/03/11 04:48 (UTC)

Overview

Slovenian labor law is not consolidated in a single code but covered by various laws, although the majority of rights and obligations stemming from the employment relationship are regulated by the Employment Relationship Act.

Hiring

Employment Contracts

Employment contracts must be agreed to and signed before or on the first day of work. A draft of the agreement must be provided to the employee at least three days before the commencement of the employment. If an employment agreement is not signed, it is assumed that the employment relationship commenced on the first day of work and is for an indefinite term. Employers are not required to put the employment contract in writing. Agreeing to terms orally or by way of an implied contract is permissible, but it is not common (or advisable) practice.

In accordance with the labor law, all employment agreements must contain:

• employer and employee data (including residence or registered seat);
• date of commencement of work;
• job title or type of work and description of work;
• place of work;
• duration of the employment contract (and justification if for a fixed term);
• whether part-time or full-time employment;
• daily or weekly working time and its distribution;
• basic wage, expressed in euros and other possible remuneration;
• other components of the wage, the payment interval, the payment day and manner of payment;
• the manner of determining annual leave (and its use in cases of fixed-term employment);
• the length of notice periods;
• collective agreements binding the employer and/or statutes stipulating the employee’s conditions of work and
• other rights and obligations laid down by law.

The employer and the employee may agree in the employment agreement to a probation period for a maximum six months.

The applicable collective bargaining agreement may limit the duration of probation further. The probation period may be extended in case of temporary absence from work. The employer may terminate the employee during or at the end of the probationary period if his or her performance is unsatisfactory. Both the employer and the employee are required to give at least seven days’ notice before terminating probationary employment.

As a rule, an employment agreement must be for an indefinite period. Employment agreements may only be for fixed periods under specific statutory conditions, such as when the worker is substituting for a temporarily absent employee or there is a temporary increase in work. The reason for the conclusion of a fixed-term agreement must be explicitly stated in the agreement. The law prohibits the employer from putting together one or several consecutive (with interruptions of no more than three months) fixed-term employment agreements for more than two years for the same work. This time limit refers not only to a certain employees but to a certain type of work. An agreement exceeding two years, concluded for a definite period without a valid reason, not including an expressly stated time limit or not in written form is considered to be for an indefinite period.

Restrictions on Hiring

The minimum legal age for employment in Slovenia is 15. Employment under 18 is restricted (e.g., no overtime, no night work).

Recordkeeping

Pursuant to the Labor and Social Security Registers Act, the employer must keep records of employees, labor costs, working hours and other employment data. Personal data of employees must be deleted if there is no longer a legal basis to collect and retain it.

An amendment to the act expands employers’ recordkeeping obligations with regard to working hours. Effective May 20, 2023, records of working time must show the times employees arrive to and leave work, the use of breaks and their length, hours worked in “special working conditions” such as at nights and on Sundays and holidays. The amended act also requires employers to provide employees with their data from the past month in the employer’s records by the end of each payday. Data on working hours must also be provided to employees once a week on request, which can be fulfilled by providing employees direct access to their data.

Background Checks

Unless directly related to the employment relationship, employers may not require candidates to provide information regarding their family or marital status, pregnancy, family planning or any other personal information.

If stipulated by law or if necessary to regulate the employment relationship, employers may ask the candidate to provide a good conduct certificate but only with regard to criminal offenses relevant to the work for which the candidate applied. In no case can the employer demand a general good conduct certificate. The employer must state the absence of a criminal record as a condition of employment in the vacancy notice.

If the candidate is not selected the employer must, upon request, return all the documents the candidate submitted in the application procedure.

Noncompetition Agreements

During the employment relationship, employees may not for their own benefit or for the benefit of a third party carry out work or conduct business falling under the same activity carried out by the employer without the employer’s written consent, if such work and/or business activity represents or might represent competition to the employer. The employee does not need the employer’s consent to carry out work and/or conduct business activities that are not competition for the employer.

The employer and the employee may stipulate a noncompete clause, under which the employee is prohibited from performing any competitive activity after the termination of the employment relationship. The noncompete clause can be enforced under the following conditions:

• the employee acquires technical, production and business knowledge and business contacts while working for the employer or in association with it;
• the noncompete agreement is part of a written employment contract;
• the agreement covers no more than two years following termination of employment;
• the agreement does not make it impossible for the employee to find work;
• the former employee is compensated for respecting the noncompetition agreement and
• the employment agreement has been terminated by an agreement between the parties, at the employee’s initiative or by the employer because of employee misconduct.

In 2019, the National Assembly adopted the new Trade Secrets Act, which transposes EU Directive 2016/943 on the protection of undisclosed know-how and trade secrets against their unlawful acquisition, use and disclosure into Slovenian law.

Reference Citations

Employment Contracts: Employment Relations Law, 2013, No. 21, arts. 11-16, 31, 125 (Slovenian)

Restrictions on Hiring: Employment Relations Law, 2013, No. 21, art. 21 (Slovenian)

Recordkeeping: Employment Relations Law, 2013, No. 21, art. 48 (Slovenian)

Background Checks: Employment Relations Law, 2013, No. 21, art. 6 (Slovenian)

Noncompetition Agreements: Employment Relations Law, 2013, No. 21, arts. 39-40 (Slovenian)

Immigration and Work Permits

In General

Third-country nationals wishing to enter and stay in Slovenia for employment must obtain a residence permit and a work permit prior to entering the country. A first residence permit may only be issued on a temporary basis for a maximum one year. Highly qualified foreigners may obtain a residence permit for the purposes of highly qualified employment (EU Blue Card) with a maximum validity of two years. The EU Blue Card allows the foreign national to enter, stay and work in Slovenia.

Visas and Work Permits

As with many other countries, Slovenia’s principal concern in its employment immigration policy is to only allow in workers who will not compete with Slovenian nationals, and the employer must obtain the consent of the Employment Service prior to hiring a foreign national.

In general, all aliens must hold a valid travel document to enter, exit or reside in Slovenia. Third-country nationals (if not exempted from this obligation by European Union legislation) wishing to enter or stay in the country for tourist, business, personal or other purposes are required to obtain a visa at a diplomatic mission or consulate of Slovenia prior to entering the country and may stay until the expiration of the visa but no longer than 90 days. Third-county nationals exempted from this obligation may enter Slovenia for the same purposes and stay for a maximum 90 days in a six-month period on the basis of a valid travel document alone.

Visa applicants must provide evidence of the purpose of their intended visit, proof of sufficient funds to finance their stay and a guarantee of their intention to leave EU territory before the expiration of the visa.

Third-country nationals wishing to enter and stay in Slovenia for employment must obtain a residence and work permit prior to the entering the country. A first residence permit may only be issued on a temporary basis for a maximum one year. To qualify for a temporary residence permit, a third-country national must possess a valid travel document, appropriate health insurance, sufficient means of subsistence in a monthly amount at least equal to the basic minimal income in the country and a valid work permit.

Highly qualified foreigners may obtain a residence permit for the purposes of highly qualified employment (EU Blue Card) with a maximum validity of two years. The EU Blue Card allows the foreign national to enter, stay and work in Slovenia. To obtain an EU Blue Card, a valid travel document, an employment agreement or an employer’s certificate of its intention to employ the foreign national, evidence of adequate health insurance and evidence of the level of education attained must be attached to the application. The Employment Service must consent to the issuance of an EU Blue Card.

The work permit is issued by the Employment Service upon the application of the future employer.

There are three types of work permit:

• An employment permit can be issued upon the application of the employer for a maximum one year. An employment permit may be issued only if there are no adequate domestic unemployed persons to fill the position. With the employment permit, a foreign national is allowed to take up employment solely with the employer to which the employment permit was issued.
• Authorization for work is issued for seasonal workers in agriculture and forestry, foreign company representatives, trainees, intracompany transfers and posted foreign workers.
• A personal work permit is issued upon the application of a third-country national independent of labor market conditions. Personal work permits allow third-country nationals to enter the labor market and can be issued for one or three years.

Citizens of EU or European Economic Area member states and of the Swiss Confederation are not required to hold an entry permit (a visa or a residence permit) for entry into Slovenia and may stay in the country for up to 90 days in six months regardless of the purpose of their entry and stay. These employees are not required to hold a work permit to be employed in Slovenia but after three months must register their residence with the government. A residence registration certificate can be issued for a maximum five years and can be renewed.

Subject to certain conditions, family members of citizens of Slovenia, the EU, the EEA and the Swiss Confederation do not require either a work permit or a residence permit.

Post-Entry Requirements

Third-country nationals residing in Slovenia on a residence permit or a long-stay visa must register their temporary or permanent residence at the competent administrative unit or the police station.

If third-country nationals wish to continue residing in Slovenia after the expiration of their visa or residence permit, they must apply for the extension of the permit prior to its expiration. The temporary residence permit issued for the purpose of employment may be extended multiple times for periods of up to two years. After three years of continuous work and residence in the country, a temporary residence permit for a period exceeding two years may be obtained.

After five years of continuous legal residence in Slovenia, a foreign national is eligible to apply for a permanent residence permit without limitations on the purpose and duration of the stay.

An employment permit may be extended prior to its expiration for a maximum one year, if the employer submits a signed employment agreement.

Reference Citations

Visas and Work Permits: Aliens Act, 2011, No. 50, arts. 37, 111 (Slovenian)

Post-Entry Requirements: Aliens Act, 2011, No. 50, art. 52 (Slovenian)

Nondiscrimination

In General

Under the labor code, an employer must ensure equal treatment of employees and applicants in all stages of the employment relationship irrespective of their nationality, race or ethnic origin, national or social background, gender, skin color, medical condition, disability, religion or belief, age, sexual orientation, family status, trade union membership, financial situation or other personal circumstance. Less favorable treatment of employees associated with pregnancy or parental leave as well as sexual and other forms of harassment also constitute discrimination.

Under the labor code, an employer must ensure equal treatment of employees and applicants in all stages of the employment relationship irrespective of their nationality, race or ethnic origin, national or social background, gender, skin color, medical condition, disability, religion or belief, age, sexual orientation, family status, trade union membership, financial situation or other personal circumstance. Employers have a duty to provide a work environment in which employees are free from sexual or other forms of harassment by superiors or co-workers.

In cases of discrimination in the workplace, the employee can submit a written request to the employer asking it to eliminate the violation. If the employer fails to eliminate the violation within eight days, the employee may request judicial protection within 30 days.

Unsuccessful job candidates who believe they were discriminated against during the selection process may request judicial protection within 30 days of receiving the employer’s notification of nonselection. If found guilty of discrimination, the employer is liable for damages to the employee or applicant.

EU Pay Transparency Directive: As a member state of the European Union, Slovenia has until June 2026 to transpose the minimum requirements of the EU Pay Transparency Directive into its national law or amend any current pay equity laws to conform with the directive, which aims to promote pay equity between men and women. The directive introduces requirements on gender pay gap reporting, salary history bans during the hiring process, and wage disclosure in job vacancy listings. The national law may go beyond the minimum requirements of the directive, but the law may not directly conflict with the directive requirements.

Reference Citations

Nondiscrimination: Employment Relations Law, 2013, No. 21, arts. 6, 90 (Slovenian)

Employee Privacy

Employee Data

On May 25, 2018, the General Data Protection Regulation (GDPR) superseded the Data Protection Directive as the primary law governing data privacy in the EU. The GDPR establishes minimum requirements for the processing of employee data and allows EU member nations to introduce more restrictive local legislation. Stricter requirements can also be established in collective bargaining agreements or work contracts. For more information, see the In Focus: International Privacy Laws.

Employee Monitoring and Surveillance

Under the GDPR, employers can monitor employees only if there is a lawful basis for doing so. Lawful bases can include preventing employee misconduct, deterring crime, and ensuring compliance with health and safety procedures. Employees must be given prior notice, and any data that is collected must be used and kept only to fulfill its original purpose.

Reference Citations

Employee Data: General Data Protection Regulation, 2016

Employee Monitoring and Surveillance: General Data Protection Regulation, 2016

Compensation

Hours of Work

Regular weekly working time is 40 hours, daily working time eight hours including a paid 30-minute lunch break. For part-time employees, the lunch break is calculated proportionally with working hours.

Employees are entitled to an unpaid daily rest period of at least 12 hours, a weekly rest period of at least 24 hours. If an employment agreement stipulates irregular working hours, the employee is entitled to an unpaid daily rest period of at least 11 hours.

Weekly working hours must not exceed 56, including overtime, and in any case a resting period of at least 11 hours must be granted between working days. Daily working hours should average no more than 10 and can in no case exceed 13. Collective bargaining agreements may contain more beneficial provisions.

Employment and collective bargaining agreements may stipulate additional provisions for management employees.

Minimum Wage

Effective Jan. 1, 2024, the minimum monthly wage for full-time employees is 1,253.90 euros. From Jan. 1, 2023, to Dec. 31, 2023, the minimum monthly minimum wage was 1,203.36 euros.

The minimum wage is determined yearly by the Ministry of Labor, Family, Social Affairs and Equal Opportunities. Collective bargaining agreements may prescribe minimum wages higher than the minimum wage determined by the government. Employment agreements may not stipulate remuneration below the statutory minimum wage prescribed in the Minimum Wage Act.

Overtime

Overtime is allowed only in exceptional circumstances or where the public interest is involved and cannot be imposed if the work could be accomplished within regular working hours by reorganizing and redistributing work, introducing new shifts or employing new workers.

Certain employees—such as the elderly, the young, pregnant women and those with health risks—may not be ordered to work overtime. As a rule, employers must put the requirement for overtime in writing prior to the commencement of the overtime work.

Employers cannot demand more than 170 hours of overtime per year, 20 hours per month and eight hours per week, and no working day may exceed 10 hours. Employees may voluntarily perform more than 170 hours of overtime work per year (up to 230 hours in total), but their consent is required for all work exceeding the 170-hour limitation.

Employees are entitled to additional payment for overtime work, the amount of which must be established in the collective bargaining or employment agreement. No general statutory provisions apply in this regard.

Wage Payment

Wages must be paid no later than 18 days after the end of the payment period.

Remuneration for work is composed of the wage, which must always be paid in a monetary form and stipulated in the employment agreement, and other types of remuneration stipulated by agreement. A wage is composed of a basic wage, part of the wage for job performance (depending on the efficiency, quality and volume of the employee’s work) and extra payments.

Remuneration for business performance can be part of the wage, if stipulated by collective bargaining agreement or employment contract. The employee is entitled to extra payments for special working conditions related to the allocation of working time—night work, overtime work, work on Sunday and work on public holidays and work-free days. Extra payments for special working conditions related to special burdens, unfavorable environmental influences and danger at work, which are not included in the difficulty of work, may be determined by collective agreement.

The employee is also entitled to extra payment for years of service. The amount of extra payments must be established in a collective bargaining agreement or employment contract as an obligatory component of the wage. Since the stipulation of the wage is an obligatory component of the employment agreement, its reduction represents a change in the employment contract and may therefore be made only by mutual agreement between the employee and the employer.

Mandatory Bonuses

Employees may receive payments in addition to regular wages. The law does not define such additional payments, which are therefore left to collective bargaining agreements, employer internal acts or individual employment agreements.

Additional payments commonly include personal use of a company vehicle, a discount on goods or services or a Christmas bonus.

Employees may also receive profit-sharing bonuses in accordance with the law. The financial participation of employees in the company’s operating results is governed by the Financial Participation Act. In accordance with the law, there are certain restrictions to these bonuses: employees as a group can receive no more than 20 percent of corporate profits within an individual financial year and no more than 10 percent of the total payroll for that year; and the maximum amount an individual employee can receive is 5,000 euros.

Reference Citations

Hours of Work: Employment Relations Law, 2013, No. 21, arts. 143-148 (Slovenian)

Overtime: Employment Relations Law, 2013, No. 21, arts. 144-146 (Slovenian)

Wage Payment: Employment Relations Law, 2013, No. 21, arts. 126-129 (Slovenian)

Benefits

Vacation

Employees who work a full year for the same employer are entitled to four weeks’ paid annual leave, of which at least two weeks must be taken consecutively. Employees who work at least 60 days in a calendar year but not the full year are entitled to vacation prorated at one-twelfth of total annual leave entitlement for each month worked. National holidays, sick days and other days of justified absence from work are not counted as days of annual leave. Collective bargaining agreements or employment contracts may stipulate additional days of annual leave.

Some categories of employees (e.g. elderly and disabled employees, employees nursing a disabled child) are entitled to up to three additional days of leave. Employees whose contracts are terminated prior to the end of the calendar year are entitled to one-twelfth of the annual leave accrued for the year of termination.

As a rule, employees must take their entire vacation before the end of a calendar year. Should employees not use their entire annual leave, the remaining days are transferred to the next calendar year but must be used before June 30. If employees were not able to use their entire annual leave in a calendar year due to illness or injury, maternity leave or need to care for a child, they may use it up to Dec. 31 of the following year. Employers can require employees to use at least two weeks’ annual leave for the current year.

The law expressly forbids substituting money for annual leave. This is permissible only if employment has ended and annual leave can no longer be taken. The employee is entitled during annual leave to compensation in the amount of average monthly wages during the past three months. In addition, the employee is entitled to a holiday allowance for the annual leave at least in the amount of the minimum wage.

Holidays

Employees have the right to be absent from work on public holidays and on other work-free days. If a public holiday or a work-free day falls on a Sunday, it is not transferred to the next business day.

The employee’s right to be absent from work on public holidays may be restricted if the working and/or production process cannot be interrupted or when the nature of the work requires its performance on public holidays. In such cases, employees are entitled to additional payment for working on public holidays or work-free days.

The following 15 work-free and national holidays are observed in Slovenia:

• Jan. 1: New Year’s Day
• Feb. 8: Preeren Day, the Slovenian Cultural Holiday
• Easter Sunday and Monday
• April 27: Day of Uprising against Occupation
• May 1-2: Labor Day
• Whit Sunday
• June 25: Statehood Day
• Aug. 15: Assumption Day
• Oct. 31: Reformation Day
• Nov. 1: Day (of Remembrance) of the Dead
• Dec. 25: Christmas
• Dec. 26: Independence and Unity Day

Maternity Leave

Mothers and fathers are entitled to additional parental leave under the Parental Protection and Family Benefits Act. Employers must ensure that employees have the right to be absent from work or to work part-time for the purpose of using leave stipulated by the Act. The law provides for maternity, paternity and parental leave. As a rule, employees must inform their employers about their maternity leave plans at least 30 days prior to the date on which they plan to begin taking leave.

A mother has the right to take up to 105 days of maternity leave, of which at least 15 days are obligatory. Maternity leave must be used over a consecutive period of days in the form of full absence from work. The mother may begin maternity leave 28 days before the estimated date of birth determined by the gynecologist. Prenatal leave unused prior to birth cannot be transferred to the period after childbirth except in the case of premature birth.

In some circumstances (e.g. if the mother dies, leaves the child or is permanently unable to live and work independently) the father is entitled to the maternity leave instead of the mother.

A mother is entitled to the maternity benefit even if she is not entitled to maternity leave as long as she has been insured pursuant to the law for at least 12 months during the three years preceding her requesting the benefit. The maternity benefit is calculated using an average based on the amount liable for parental protection contributions during the previous 12 months. In case of full absence from work, the maternity benefit amounts to 100 percent of the average and cannot be lower than 55 percent of the minimum wage.

Paternity Leave

Upon the birth of a child, the father is entitled to 30 days of paternity leave. This right is nontransferable. The father must use 15 of his paternity leave days, either in the form of full or partial absence from work, by the time the child is six months old. The father may use the remaining 15 days, in the form of full or partial absence from work, after the expiration of parental leave and until the child finishes the first grade of primary school at the latest. Fathers are also entitled to additional parental leave.

Sick Leave

In case of temporary incapacity for work due to illness or injury, employees are entitled to wage compensation for sick leave. For the first 30 business days of sick leave, the employer must compensate the employee in one of two ways:

• in cases of accidents at work or occupational disease, employees are entitled to 100 percent of their average monthly wage for full-time work during the past three months or
• in cases of illness or injury not related to work, employees are entitled to 80 percent of their average monthly wage for full-time work during the past three months.

Collective bargaining agreements may prescribe more favorable wage compensation for sick leave.

In the event of longer absence from work, compensation is covered by health insurance. During the first 90 days, wage replacement is provided as follows:

• 100 percent of the employee’s average monthly wage in case of accidents at work or occupational disease;
• 90 percent of the employee’s average monthly wage in case of transplantation of live tissue and organs for the benefit of another person, effects of donating blood and isolation ordered by a doctor;
• 80 percent of the employee’s average monthly wage in case of illness not related to work and nursing a family member and
• 70 percent of the employee’s average monthly wage in case of injury outside work and escort (prescribed by doctor) of a family member.

After this initial period, the compensation covered by the health insurance is:

• 100 percent of the employee’s average monthly wage in case of accidents at work or occupational disease, transplantation of live tissue and organs for the benefit of another person, effects of donating blood and isolation ordered by a doctor;
• 90 percent of the employee’s average monthly wage in case of illness not related to work and
• 80 percent of the employee’s average monthly wage in case of injury outside work and nursing or escort (prescribed by the doctor).

Other Leave

Parental Leave. In addition to maternity and paternity leave, each parent is entitled to 130 days of parental leave. The father can transfer his right to the mother and the mother can transfer a maximum 100 days to the father. In some circumstances (e.g., birth of twins, premature childbirth, birth of a child in need of special care), parental leave can be extended.

Parental leave must be used over a consecutive period of days and can be taken in the form of full or partial time off work. One of the parents must begin parental leave immediately after the expiration of maternity leave. The parents must agree in writing on how they plan to use their parental leave 30 days prior to the end of maternity leave. Both parents cannot use parental leave at the same time in the form of full absence from work except in certain unusual cases (e.g., birth of two or more children, birth of a child in need of special care).

A portion of parental leave not exceeding 75 days can be transferred and used until the child reaches age 8. The transferred part of parental leave can be used in the form of full or partial absence from work over a consecutive period of at least 15 days and twice per year at the most. The parental benefit may not be higher than two and a half times the average monthly wage in Slovenia and not lower than 55 percent of the minimum wage.

Personal leave. Employees are entitled to paid absence from work up to seven days annually due to personal circumstances such as marriage, the death of a family member or a serious accident suffered by the worker. Upon the occurrence (and not at any later time) of each individual event, the employee is entitled to paid absence from work of at least one day. The employer cannot refuse the employee’s request for leave even if it could endanger the work process. Collective bargaining agreements or employment contracts may stipulate longer absences for each individual event.

During the absence from work due to personal circumstances, the employer must pay the employee at his or her average monthly rate during the past three months.

Employees who take part in an education or training course have the right to be absent from work on days when they take the exams for the first time, even if the education or training is only in their own interest. If the education or training is in the interest of the employer, collective bargaining agreements, employment contracts or special agreements on education may stipulate longer education leave, and the employer must pay the employee at his or her average monthly rate during the past three months.

Pensions and Social Security

Under the Pension and Disability Insurance Act, the statutory minimum retirement age for men is between 59 years and 65 years of age, for women between 58 years 8 months and 64 years 6 months. The right to a pension may only in certain very limited cases be acquired at a lower age.

The employee’s exact pension depends on his or her income over a certain period and the total number of months the employee has paid pension and disability contributions.

Slovenia’s social security system covers pension and disability insurance, health insurance (after the 31st day of illness), unemployment insurance and parental protection. The employer must register the employee in the obligatory social security program on the first day of work at the latest.

Currently, employers must pay social security contributions amounting to 16.1 percent (16.34 percent in case of fixed-term contracts) of gross monthly wages and the employee must pay 22.1 percent of gross monthly wages, from which:

• employer contributions for pension and disability are 8.85 percent of gross monthly wages, 15.5 percent for the employee;
• employer contributions for health insurance are 6.56 percent of gross monthly wages, 6.36 percent for the employee;
• employer contributions for occupational injury and disease are 0.53 percent of gross monthly wages (no employee contribution);
• employer and employee contributions for parental protection are both 0.1 percent of gross monthly wages; and
• employer contributions for unemployment insurance are 0.06 percent (0.3 percent in case of a fixed-term contract), 0.14 percent for employees.

In addition to the statutory retirement pension, employees may acquire additional coverage from private retirement pension insurance. Both individual and group pension insurance is available. A prerequisite for additional group pension insurance is that the employer subscribes to an already existing retirement insurance fund or establishes such a fund itself.

The employer is obliged to insure all employees who decide to join the additional retirement insurance plan. Employers that pursue the option of establishing a private pension fund may under certain circumstances claim a reduction of corporate income tax for up to 24 percent of the obligatory pension and disability contributions paid for insured employees, but no more than 2,390 euros per employee per year.

Workers’ Compensation

If employees suffer any injury at work or in relation to work, employers must compensate them for the injury according to the general rules of civil law.

Reference Citations

Vacation: Employment Relations Law, 2013, No. 21, arts. 159-164 (Slovenian)

Holidays: National Holidays in Slovenia

Maternity Leave: Parental Protection and Family Benefits Act, 2014, arts. 15-21 (Slovenian)

Paternity Leave: Parental Protection and Family Benefits Act, 2014, arts. 25-35 (Slovenian)

Sick Leave: Employment Relations Law, 2013, No. 21, art. 137 (Slovenian)

Other Leave: Employment Relations Law, 2013, No. 21, art. 165 (Slovenian)

Pensions and Social Security: Pension and Invalidity Insurance Act, 2000 (Slovenian)

Labor Relations

In General

Slovenia’s constitution provides for the freedom to establish, operate and join trade unions. Employees participate in company management through a works council or workers’ representative and through employee representatives on company bodies. Labor disputes may be collective or individual, the latter the more common and usually concerned with unlawful termination or nonpayment of wages, holiday allowance or severance pay. The right to strike is guaranteed in the Strike Act.

In case of the transfer of an undertaking or a part of an undertaking, all rights and duties from the employment relationship between the transferring employer and the employees are assumed by the receiving company.

Right to Organize

Slovenia’s constitution provides for the freedom to establish, operate and join trade unions. Trade unions can be organized on different levels—e.g., employer, profession, activity, branch or even on the national level. As a rule, the collective bargaining agreement is valid for the parties to it and their members. If one or more representative trade unions sign a collective bargaining agreement, it is valid for all employees (regardless of their membership in the trade union) to whom the agreement applies.

Works Councils

The Worker Participation in Management Act establishes the methods of and conditions for employee participation in the management of commercial companies. Employees exercise the right to participate in management as individuals or collectively. The most common form of participation in management is through a works council or workers’ representative (if the company employs less than 20 employees) and workers’ representatives in company bodies.

The works council election is carried out by an electoral committee named by the existing works council (or worker’s assembly, if no works council exists). The number of works council members is always odd (from three to 13) and depends on the number of employees in the company. The term of office for works council members is four years. The employer must cover the expenses of the works council and allow members to meet during working hours. Members of works councils enjoy special protection against dismissal.

Dispute Resolution

Labor disputes are divided into collective labor disputes and individual labor disputes. The latter are more common and usually arise from unlawful termination or nonpayment of wages, holiday allowance or severance pay.

Disputes are heard by the Labor and Social Courts. An appeal can be made to the Higher Labor and Social Court in Ljubljana, and decisions made by the Higher Court can be appealed to the Slovenian Supreme Court.

Prior to filing a claim (with the exception of claims regarding unlawful termination and monetary claims), the employee must submit a request to the employer in writing asking it to fulfil its contractual obligations within eight days. If the employer does not fulfill the employee’s request, the employee may bring an action before the competent Labor court within 30 days. The labor code also promotes a peaceful settlement of individual labor disputes by providing for procedures prior to a court dispute such as mediation and/or arbitration.

According to the Collective Agreements Act, the first step in any attempt to resolve a collective labor dispute should be negotiation. If this fails, the next step is mediation or arbitration.

Strikes and Lockouts

The right to strike is regulated by the Strike Act, which establishes the conditions for the lawful strike. The trade union or a majority of the employees can issue a strike order providing details for the beginning of the strike, the assembly point, workers’ demands and the composition of the strike committee. The strike committee must inform the employer of the planned strike at least five days in advance.

Employees who do not wish to participate in the strike must not be obstructed from working. If the strike is lawful, the stoppage of work does not represent a breach of the obligations under the employment agreement. The employer may not hire new employees to substitute for the employees on strike.

Successorship Clauses

In case of the transfer of an undertaking or a part of an undertaking, all rights and duties from the employment relationship between the transferring employer and the employees are assumed by the receiving company.

The acquired and acquiring companies must notify the trade union or works council of the transfer of ownership and of the reasons for it at least 30 days in advance. At least 15 days prior to the transfer, efforts must be made to reach a mutual agreement with the trade union and works council on the legal, economic and social implications of the transfer and measures to be taken for employees. If there is no trade union, individual employees must be adequately informed about the transfer.

A transfer of undertaking must not negatively affect the employees. The receiving employer must observe all rights pursuant to the collective agreement (binding on the transferring employer) for at least one year after the transfer of the undertaking unless the collective bargaining agreement expires or a new one is concluded prior to this.

If the rights of the employee deteriorate at the new employer for objective reasons within a period of two years, the employee may terminate the employment agreement. In such cases, the employee has the same rights, including severance pay, he or she would have if the employment agreement were terminated by the employer for business reasons. When determining the notice period, severance pay and all other rights relating to years of service, the employee’s period of service with both employers must be taken into account.

Reference Citations

Right to Organize: Constitution of Slovenia, 2013, art. 76

Works Councils: Worker Participation in Management Act, 2008, arts. 8-10 (Slovenian)

Dispute Resolution: Employment Relations Law, 2013, No. 21, arts. 215-216 (Slovenian); Collective Agreements Act, 2006, arts. 18-22

Strikes and Lockouts: Strike Act, arts. 1-4, 7 (Slovenian)

Successorship Clauses: Collective Agreements Act, 2006, arts. 75-76

Safety, Health and Security

In General

Employers must ensure the safety and health of employees and of other persons present in the worksite in accordance with the Occupational Health and Safety Act.

Workplace Safety and Health

Employers must ensure the safety and health of employees and of other persons present in the worksite in accordance with the Occupational Health and Safety Act. Necessary measures that need to be taken include prevention, elimination and management of occupational risks, informing and training employees and appointing safety officers among the workforce.

Employers must devote special care to safeguarding the health and safety of pregnant employees, young and older employees and employees with diminished capacity for work.

Drug and Alcohol Use

Employees are prohibited from being under the influence of alcohol, drugs or other prohibited substances at the workplace. Smoking is prohibited in the workplace.

Reference Citations

Workplace Safety and Health: Employment Relations Law, 2013, No. 21, art. 45 (Slovenian)

Drug and Alcohol Use: Act on Restriction of Use of Tobacco Products, 2007, art. 22 (Slovenian)

Termination

Termination by Employer

Either contracting party may terminate the employment agreement without a notice period (extraordinary termination), if taking into account all the circumstances and interests of both contracting parties the continuation of the employment relationship is no longer possible. The notice of extraordinary termination of the employment agreement must be delivered to the employee within 30 days of the incident justifying termination.

Valid extraordinary reasons for dismissing an employee are:

• gross or intentional negligence violating contractual or other employment obligations,
• perpetration of a criminal offence,
• presentation of false information by a job candidate,
• unjustified absence from work for five consecutive days,
• prohibition from performing certain work by a final judgment or due to a safety or protection measure,
• refusal to be transferred or refusal to perform work for the new employer following a transfer of ownership,
• absence from work for more than five days after a suspension of the contract has been lifted and
• failure to follow a doctor’s instructions during absence from work caused by illness or injury.

Employers must communicate their intention to terminate the employment relationship to affected employees in advance and allow them to defend themselves in a special termination interview, unless it cannot be expected that the employer would grant the employee such an interview (e.g., when the employee has assaulted the employer).

Employers also may terminate the employment agreement if a justified reason for ordinary termination exists. A valid reason for ordinary termination would include business necessity where the need for the performance of the work under the employment agreement ceases to exist due to reorganization of work processes, economic circumstances or technological, structural or similar reasons.

Ordinary termination can also be valid if the employee:

• fails to attain the expected performance results due to incompetence,
• violates the contractual obligations,
• cannot perform work due to a disability or
• is unable to successfully complete the probation period.

If the employer ordinarily terminates the employment agreement due to a business reason or the employee’s incompetence, the notice period varies between 15 and 80 days depending on the employee’s years of service with the employer. In case of employment up to one year, 15 days of notice is required, while 30 days is required for employees who have been employed from one to two years.

For every subsequent year of service, the notice period is extended two days up to a maximum 60 days. For the period of service above 25 years, a notice period of 80 days is required. Collective bargaining agreements or employment contracts may prescribe a different notice period, although in cases of service above 25 years, the notice period cannot be shorter than 60 days.

If the employer ordinarily terminates the employment contract due to the employee’s culpability, the minimum notice period is 15 days. In cases of termination due to an unsuccessful probation period, the notice period is seven days.

When employees are culpable for their termination, the employer must have previously reminded the employees in writing to fulfil their obligations and informed them of the possibility of termination. If the employee repeated the violations of their contractual obligations within a given period (up to a maximum of two years), the employer may terminate the employment contract due to the employee’s culpability.

The termination of the employment relationship must be in writing and state the reasons for the termination. Termination of the employment contract not made in writing is invalid. In certain cases, employers must communicate their intention to terminate the employment relationship to the affected employees in advance and allow them to defend themselves in a special termination interview (e.g., in cases of termination due to incompetence or culpability).

Dismissal protection is divided into general and special protection, the first through the participation of the trade union upon the request of the employee, the second for works council members, elderly employees, pregnant women, disabled persons and employees on sick leave. With the exception of a termination for business reasons, the employer must give affected employees the opportunity to comment on a termination and justify their position.

Termination by Employee

An employee may terminate the employment agreement in writing without giving any reason to the employer (ordinary termination) and by providing 15 days’ notice (if employed up to one year) or 30 days’ notice (if employed for more than one year). Longer notice periods may be stipulated in the collective bargaining agreement or the employment agreement, although the maximum notice period cannot exceed 60 days.

In case of termination by the employee without a notice period due to a major breach of contractual obligations by the employer (e.g., unpaid salaries, nonpayment of social contributions, sexual harassment or discrimination), employees are entitled to severance pay and damages at least in the amount of salary they would have received if the regular notice period had been taken into consideration.

Plant Closings and Mass Layoffs

The Labor Code establishes specific requirements for collective dismissals by employers that affect:

• at least 10 workers employed by a company with more than 20 and fewer than 100 employees,
• at least 10 percent of employees of a company employing at least 100 but fewer than 300 employees or
• at least 30 employees of a company employing 300 employees or more.

The employer must inform employees or their representatives in advance and negotiate a redundancy program (including reasons for the redundancies, measures taken to mitigate the detrimental consequences, criteria upon which those measures were selected and the list of redundant employees) with the trade union and the Employment Service of Slovenia.

In cases of bankruptcy or the compulsory liquidation of the employer, employees must receive at least 15 days’ notice, otherwise 30 days’. Laid-off employees are entitled to severance pay, as well as unemployment benefits.

In case of a temporary inability to provide work due to business reasons (e.g., an economic crisis), the employer may temporarily lay off affected employees for a maximum period of six months in one calendar year after first giving notice to these workers. For this time, employees have a right to be paid 80 percent of their average monthly wage during the past three months. The wage must be paid in intervals not exceeding one month. The employer must inform employees in advance of the day of payment, which must be no more than 18 days after the end of the payment interval.

Payment on Termination

In cases of termination for business reasons or employee incompetence or if employees resign because of employer misconduct, employers must pay severance based on the employee’s average monthly wage during the last three months of employment.

The severance payment amounts to:

• if a worker has been employed for one to 10 years: one-fifth of the employee’s average monthly wage during the last three months of employment for each year;
• if a worker has been employed for 10 to 20 years: one-fourth of the employee’s average monthly wage during the last three months of employment for each year; and
• if the worker has been employed for more than 20 years: one-third of the employee’s average monthly wage during the last three months of employment for each year.

Unless the employment agreement states otherwise, the maximum severance payment is 10 times the employee’s average monthly wage.

Unemployment Insurance

In accordance with the Labor Market Regulation Act, employees who lose their jobs and are registered with the labor office are entitled to an unemployment allowance if they were employed for at least nine months in the last 24 months prior to their unemployment. The unemployment allowance is granted for a maximum of 25 months.

In the first three months, the entitlement is 80 percent of the employee’s average wage, in the next nine months 60 percent and after the first year 50 percent. The unemployment allowance may in any case not be lower than 350 euros or higher than 892.50 euros.

Reference Citations

Termination by Employer: Employment Relations Law, 2013, No. 21, arts. 110, 109-118 (Slovenian)

Termination by Employee: Employment Relations Law, 2013, No. 21, art. 111 (Slovenian)

Plant Closings and Mass Layoffs: Employment Relations Law, 2013, No. 21, arts. 98-101 (Slovenian)

Payment on Termination: Employment Relations Law, 2013, No. 21, arts. 110, 106-108 (Slovenian)

Unemployment Insurance: Labor Market Regulations Act, 2010, arts. 58-59

Personal Taxes

Residency Requirements

Individuals are deemed to be residents of Slovenia if:

• they have their registered permanent address, their habitual place of abode or their center of personal and economic interests in Slovenia or
• they are present in Slovenia for more than 183 days in a calendar year.

Taxable Income

Slovenian residents pay personal income tax on their worldwide income. Nonresidents pay tax only on income derived from sources within the country. Taxable income includes all employment income.

Tax Rates

In Slovenia, a taxpayer’s total annual income is subject to the following progressive tax rates:

• up to 8,021.34 euros: 16 percent
• 8,021.34 to 20,400 euros: 27 percent
• 20,400 to 48,000 euros: 34 percent
• 48,000 to 70,907.20 euros: 39 percent
• over 70,907.20 euros): 50 percent

Social security tax. Social security contributions are levied as a percentage of the employee’s earnings. Contributions are partly withheld by the employer from the employee’s gross remuneration and partly paid by the employer in addition to the gross remuneration. In Slovenia, the rates for employers are:

• pension insurance: 8.85 percent,
• health insurance: 6.56 percent,
• unemployment insurance: 0.06 percent,
• maternity leave: 0.10 percent and
• injury insurance: 0.53 percent.

The rates for employees in Slovenia are:

• pension insurance: 15.5 percent,
• health insurance: 6.36 percent,
• unemployment insurance: 0.14 percent,
• maternity leave: 0.10 percent and
• injury insurance: no liability.

Reporting. Individuals earning only income from employment do not have to file an annual return. Instead, the tax authority prepares an informative tax declaration by May 31 of the following year, which becomes final if the taxpayer does not file a challenge within 15 days of receipt of the declaration. If taxpayers do not receive an informative tax declaration by June 15, they must file a tax return by July 31 if they earned taxable income higher than the general tax allowance. No extensions are allowed.

Reference Citations

Residency Requirements: Income Tax Act, art. 6, (Slovenian)

References

In English or Slovenian, as noted.

Law and Regulation

Constitution of Slovenia (English)

Employment Relations Law (Slovenian)

Parental Protection and Family Benefits Act (Slovenian)