Employment dispute

What it means

An employment dispute is a dispute between an employee and an employer over claims arising from employment or a work agreement, such as unlawful termination, unpaid wages, overtime, holiday, discrimination or damages. In Slovakia such disputes are decided by the general courts.

The Code of Civil Contentious Procedure contains special rules for employment disputes that protect the employee as the weaker party. The court can take evidence the parties did not propose, and some procedural duties are lighter for the employee. In certain disputes the employee is exempt from court fees.

Court proceedings can be preceded by out-of-court solutions. The labour inspectorate checks compliance and can impose fines, but it does not decide the employee's claims. Mediation or negotiation with employee representatives often brings a faster and cheaper result than court.

How it works in practice

After an unlawful notice of termination or immediate termination, the employee must sue within a statutory deadline from the end of employment, or the claim lapses. The deadline is short, so act quickly and tell the employer in writing that you insist on continuing to work.

The employer should have everything documented: the employment contract, job description, attendance, payslips, disciplinary warnings and proof of delivery. Evidence decides disputes, and mistakes in delivering or justifying a dismissal are the most common reason employers lose.

If an unlawful termination claim succeeds, the employee may receive compensation in lieu of wages for the period of the dispute, which the court can limit in certain circumstances. A protracted dispute is therefore a financial risk for the employer, and a settlement or termination agreement is often the sensible route.

What to watch out for

Limitation and preclusive periods in employment law are short and missing them cannot be remedied. Wage claims become time-barred and the right to challenge a termination lapses. Both employee and employer should track deadlines from the first day of the dispute.

A dispute with a former employee can spill into other areas: additional contributions and tax on compensation paid, corrective reports to insurers and the employer's reputation. These consequences must be considered in settlement talks and booked correctly.