Employment contract

An employment contract is an agreement between an employee and an employer under which the employee undertakes to do work for the employer in subordination to the management and supervision of the employer, and the employer undertakes to remunerate the employee for such work and to provide the working conditions prescribed in the agreement between the parties, a collective agreement, law or administrative legislation.

An employment contract is entered into in duplicate original copies of which one copy is retained by the employee and the other with the employer. An employment contract is entered into for a fixed term or an unspecified term, as required. An employment contract may be entered into for a fixed term for example for performance of seasonal work or for replacement of an employee.

Data in an employment contract

The following provisions and information shall be set out in an employment contract:

  • the identities of the parties (name, personal identification code or registration number, residence or seat)
  • the date of entry into the employment contract and the time of commencement of work by the employee
  • in case of a fixed-term employment contract, the duration of the validity of and the basis for entry into the contract
  • the official title or professional title or qualification requirements, and job description
  • the place or region where the work is to be performed
  • wage conditions
  • standard for working time
  • the length of the employee’s annual holiday or additional holiday, and the bases for grant of additional holiday
  • the terms for advance notice concerning termination of employment contract or the bases for determining such terms (may be in the form of reference to the relevant legal acts)
  • a reference whether or not a collective agreement applies to the employment contract.

Upon the commencement of the employment a probationary period is applied, which may last up to 4 months. A probationary period is a period for the employer for the assessment of the employee and enables to assess the suitability of the work and the environment to the employee. During a probationary period an employee has all the rights provided by law. For the termination of the employment contract during a probationary period the other contracting party shall be notified about it 15 calendar days in advance.

Termination of an employment contract

There are several variants for the termination of an employment contract:

  • mutual agreement – an employment contract may be terminated at any time by agreement of the parties
  • expiry of term – in case of an employment contract entered into for a fixed term
  • employee’s initiative – an employee shall submit a written termination application to the employer 1 month before the desired date of leaving
  • employer’s initiative – an employer is required to notify an employee of termination of the employment contract in writing and justify the need to terminate the employment contract. Only upon the declaration of bankruptcy of an employer, it is permitted to terminate employment contracts without advance notice to the employees
  • the request of third parties – a parent or guardian of an employee may require termination of an employment contract with a minor, if the work is likely to harm his or her health, moral development or jeopardises his or her education
  • circumstances which are independent of the parties, which are for example imposing a criminal punishment on an employee, illegal entry into an employment contract, death of an employee, etc.

Last amended: 05-01-2017 00:00 | Compiled by: Labour Inspectorate