11. 9. 2018

New collective agreements

Trade sector

On 15 August 2018, a new Collective Agreement for Slovenia’s Trade Sector (hereinafter “KPDTS”) entered into force, introducing an increase in basic wage and changed regime of determining work on Sundays and public holidays.

Furthermore, the KPDTS has also introduced additional benefits for the trade union members and additional rules in relation to the resolution of the collective as well as individual labour disputes. 

According to the new regulation, the workers in the shops may work up to 20 Sundays per year (before it was 15), but maximum two Sundays per month. At the same time, the prohibition of work on public holidays applies now to all the holidays in the calendar year (only 10 until now). As of 1 September 2018, minimum allowance to be received by the worker for work on Sundays raised to 6.05 EUR/hour gross, and it remains at 100%.

The Employment Relations Act still allows some exceptions to the prohibition of work on Sundays and public holidays (public services, family shops, specific preparatory works etc.), but KPDTS extended the scope of those exceptions. The new KPDTS provides, inter alia, that the protected categories of workers, taking care of a child younger than three, may work on Sundays and public holidays based on their explicit written request; however, they can withdraw such a request at any time. 

As of 1 January 2019, wage increase enters into force: 5% increase for remuneration brackets I to V and 10% increase for remuneration brackets VI and VII. As of 1 July 2019, further wage increase in the amount of 2% of the current basis is planned for the remuneration brackets I to V. The new KPDTS also provides that wages are to be adjusted for inflation and that the holiday allowance, if paid in kind, shall be higher (EUR 970). 

The collective agreement has been concluded for a limited period, until 31 December 2022. 

Hospitality and Tourism Industries

After the previous Collective Agreement for the Hospitality and Tourism Industries (hereinafter “KPGT”) ceased to apply in April 2018, the social partners reached an agreement, and on 8 August 2018 signed a new KPGT and Agreement on Ensuring Daily and Weekly Rest Periods. The social partners reached an agreement on the critical issue of excess hours, while the wages remain open for further negotiations.

The key amendment is new provisions in relation to excess hours in case of uneven distribution and temporary redistribution of the working time. According to the new regulations, the employer must carry out an analysis of the excess hours of workers arising from such distribution of the working time every three months and inform thereof the representative trade union or workers’ council. If the excess hours exceed 5% of the average basic hours (40-hour week), the employer must prepare and present the measures to improve work organisation. 

Furthermore, the KPGT determines specifically how the excess hours are to be used and, if they cannot be used, the workers should be paid for those hours in the ratio of 1 to 1.3. Another new rule is that the worker has to use the excess hours in the first six months after they were generated within the single reference period or receive payment for those hours (including the specified allowance). Otherwise, the worker may use those hours or have them paid out until the end of the single 12-month reference period subject in the ratio of 1:1.45. In the event the hours are not used or paid until the end of the 12-month reference period the worker is entitled to the payment of those hours in the ratio of 1:1.5. These measures intend to achieve that the employers enable the workers to use the excess hours within a shorter period.

KPGT was concluded for a limited period, until 31 December 2022, and it entered into force on 1 September 2018.
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