Today, many entrepreneurs register their employees as sole proprietors, or enter into civil law agreements with individuals. The State Labor Service often considers such relations as labor and fines businesses for undocumented workers.
Currently, there is no clear definition of labor relations in the legislation, such features are determined by the courts when resolving disputes with the State Labor Service.
The Government recently approved a bill to define the characteristics of labor relations. According to this bill, the relationship between employer and employee can be recognized as labor in the presence of at least three of the following characteristics:
- performance of work on a specific qualification on behalf of and under the control of the employer;
- availability of work schedule without a defined work result;
- availability of a workplace and rules of internal labor regulations;
- organization of working conditions, provision of equipment, tools, materials, workplace;
- systematic payment of remuneration;
- establishment by the employer of the duration of working hours and rest time;
- reimbursement of travel and other financial expenses related to the performance of work.
The bill is still under consideration, but if now the civil law relationship with the employee has the above features, the court will appeal to the supervisory body when appealing the fine of the State Labor.