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The amended Foreign Nationals (Employment and Self-Employment) Act, applicable as of 1 July 2018 will streamline the process of employing foreign nationals for certain categories of company.

After we wrote, in June 2017, that in its decision the Higher Labour and Social Court took a dissenting position on the admissibility of determining the contractual penalties in the employment contracts, in the most recent decision the Supreme Court adopted a different view.

In the recent decision the Supreme Court departed from its previous practice, which had made it possible, since enactment of the Employment Relationships Act (ZDR-1), for the employers to terminate the employment contract of the worker for business reasons without being required to check whether it is possible for the worker to stay in employment.