Benefits of the PW sheltered workshop
Obligations of employers and employment opportunities for people with disabilities
On May 1st, 2013, the amendment to the Act no. 96/2013 Coll. entered into force which amends the Employment Services Act. The transitional provision under Section 72 t Paragraph 11 of the Employment Services Act, as amended by the Act no. 96/2013 Coll. on the amendments effective from May 1st, 2013 states that in the performance of duties of the employer in the employment of people with disabilities pursuant to Section 63 Par. 1 item d), Section 64, Sections 65 and 65a for the full calendar year of 2013 the procedure is to be followed in accordance with this Act.
According to the Act no. 5/2004 Coll. on employment services and on amending and supplementing certain acts, as amended (the “Act”), when employing people with disabilities, the employer shall:
- provide suitable conditions for the performance of work,
- carry out instruction and training for work and take special care for improving skills during their employment,
- keep records of people with disabilities,
- employ people with disabilities, when employing at least 20 employees and if the employment office keeps records of people with disabilities, in a number representing 3.2 % of the total employee count.
Under the law, the employer has the right to comply with the mandatory percentage of jobs for persons with disabilities in the following alternate methods:
- award of a contract suitable for the employment of people with disabilities
- payment of the transfer
- mutual combination of the previous methods and employment under Section 63, Par. 1 item d) of the Act
The employer may award the contract:
- to a sheltered workshop or sheltered workplace established by a disabled person who operates some activities or is self-employed
To count in one disabled person, the employer awards the contract or buys products or services at 0.8 times the total labour costs calculated using the average wage of employees in the Slovak Republic’s economy over the first to third quarters of the calendar year preceding the calendar year in which the employer meets the obligation of employing a certain proportion of persons with disabilities.
Substitute performance as regards the employer’s obligations in employing people with disabilities is demonstrated by the employer no later than March 31st of the following calendar year using the ‘Confirmation for Employer’ form
In addition to the the confirmation, the employer shall submit:
- a photocopy of the contract award (order or agreement)
- a photocopy of the proof of payment (invoice, bank statement, cashier receipt)
- other documents proving the contract award – breakdown of products in accordance with Section 64 of the Act on Employment Services (integral appendix to the Confirmation for Employer), delivery notes
- documents proving eligibility to perform the contracts according to Section 64 of the Act on Employment Services – a photocopy of a document on the recognition of a sheltered workshop, a photocopy of proof of the recognition of a protected workplace, a photocopy of the certificate of incorporation from the Companies Register, photocopy of an extract from the Trade Register, a photocopy of a trade license, a photocopy of the decision or notice of the Social Insurance Agency or an assessment report of a social security department pursuant to special legislation (the Act no. 328/2002 Coll., as amended) in the case of a natural person who is a citizen with a disability
Calculation of total labour costs
Determination of total labour costs in 2013
Calculation of total labour costs:
The average wage in the economy of the Slovak Republic published by the Statistical Office of the Slovak Republic for the first to third quarters of 2012 = € 782.00.
The average wage in the economy for the first to third quarters of 2012 + advance insurance premiums for compulsory health insurance premiums paid by the employer + social insurance premiums paid by employers (premiums for sickness insurance + premiums for unemployment insurance + premiums for disability insurance + premiums for accident insurance + premiums for guarantee insurance + solidarity reserve fund) + premiums for old-age insurance
= 782,00 € + 10,00% + 11,20% + (1,40% + 1,00% + 3,00 % + 0,80 % + 0,25 % + 4,75 %)+ 14,00 % = 782,00 € + 78,20 € + 87,56 € (10,94 + 7,82 + 23,46 + 6,25 + 1,95 + 37,14) + 109,48 = 1 057,24 €
- 0.8 times the total labour cost equals € 845 when rounded off in accordance with Section 64, Paragraph 5
- 0.9 times the total labour cost is € 951 when rounded off in accordance with Section 65, Paragraph 1 of the Act