Employer of Record Slovenia
Employer of Record Slovenia
Slovenia’s complex labor regulations often present challenges for businesses. Agility provides a streamlined solution for hiring local talent.
Currency
Euro
Population
2.1 million
Capital City
Ljubljana
Minimum Wage
€1,253.90 per month
Local Language
Slovenian, Italian and Hungarian
Working Hours
40 hours per week
Employer of record in Slovenia
When you hire in Slovenia, the Employer of Record acts as the legal employer for your workers, taking care of the entire employment life cycle. This includes handling all the legal legwork, such as payroll, taxes, mandatory benefits, employment contracts, and ensuring compliance with Slovenia labor laws.
- Manages all employment aspects
- Acts as a legal employer
- Simplifies hiring
- Compliantly employing a worker
How does an Employer of Record Slovenia work?
Agility
We handle the legal aspects of hiring workers, including managing HR, benefits, payroll, and taxes.
Company
Focuses on core business activities. Manages assigned employee’s tasks and performance.
Employee
Performs the assigned work, just like any other employee.
Payment Frequency
The majority of employees in Slovenia are paid once per month.
Employee Tax – 38.1% to 72.1%
Social security: 22.1% (inclusive of health, unemployment and pension)
Income tax: 16 – 50%
Employer Tax – 16.1%
Pension and disability: 8.85%
Health Insurance: 7.09%
Unemployment Insurance: 0.06%
Parental Care Insurance: 0.10%
Probation Period
Can be up to 6 months, must be informed at least a week before they are let go.
Employment Law
Employment Contract
Equal Opportunities and Non-Discrimination
Right to Union Membership and Collective Bargaining
Whistleblower Safeguards
Reasonable Workplace Adjustments for Disabilities
Health and Safety in the Workplace
Severance Pay in Case of Redundancy
Protection from Unfair Dismissal
Training and Professional Development
Data Protection and Privacy
Employee Termination
The Employment Relationships Act (ZDR-1) allows for termination by mutual agreement, with notice, or without notice in cases of serious misconduct.
The notice period varies depending on the employee’s length of service, ranging from 15 to 60 days. Employers can terminate employment for justified reasons, including business-related redundancies, poor performance, misconduct, or incapacity, but they must provide written notice and adhere to the legal procedures.
During the probationary period, either party can terminate the contract with 7 days’ notice if the employee does not meet expectations.
In case of redundancy or inability to work, employees are entitled to severance pay, which increases based on the number of years they’ve been employed.
Employee Benefits
Statutory Benefits
Compulsory Health Insurance:
Every employee is automatically enrolled and it covers basic medical services, including general healthcare, specialist consultations, hospital treatment, and certain medications. It is funded by contributions from both the employer and employee
Workplace Accident and Occupational Disease Insurance:
Slovenia requires mandatory insurance to cover workplace accidents and occupational diseases. This insurance is part of the compulsory social security system and provides compensation for employees who suffer injuries or illnesses due to their job.
Common Additional Benefits
Meal Allowance
Transport Allowance
Additional Health Insurance
Performance Bonuses
Private Pension Plans
Flexible Working Hours
Car Allowance
Gym Memberships
Wellness Programs
Professional Training and Development Programs
Additional Paid Vacation Days
Childcare Assistance
Statutory Leave
FAQ
Think of it like this: Agility EOR becomes the legal employer of your employees, taking care of all the paperwork and compliance headaches.
Agility EOR
- We manage the onboarding process and ensure everything’s in order before your employee starts
- We make sure your employees are treated fairly and compliantly in their relevant territory
- We take care of all HR matters, and can answer any and all HR queries you may have e.g. maternity/paternity leave, holidays, sick pay, and more
- We provide compliant contracts, process local payroll, and file taxes
- We issue payslips and handle payments to the employee and authorities
Your Company
- You find and manage your employees’ daily tasks
- You support their development through their work
- You follow our guidance on employment laws and best practices
- You ensure payroll bills are paid to Agility EOR on time
Benefits of using an Employer of Record (EOR)
- Faster and easier hiring: No need to set up your own legal entity.
- Reduced risk and compliance burden: We handle the legal and administrative complexities.
- More time and resources: Focus on your core business while we manage your employees.
There are various ways to employ people in Slovenia, each with differing levels of costs and compliance:
Employee is employed by you and paid by you from your overseas Company
- Pros: It seems to be the the cheapest and easiest.
- Cons: It does not allow for the payment of legally required social security contributions, and Slovenian employment law will still apply to the employee.
Entity Set-up
- Pros: This option could be the most cost-effective for employing a large number of personnel, typically more than 15.
- Cons: Setting up a legal business entity and ensuring compliance with Slovenian employment and tax regulations can be costly and time-consuming, particularly for smaller operations. It often becomes impractical for businesses with fewer than 15 employees.
Using an Employer of Record
- Pros: In Slovenia, using an Employer of Record service is the most time- and cost-effective solution for managing payroll, HR, and compliance tasks, especially for teams smaller than 15 employees.
- Cons: It can be expensive when hiring a large number of employees, and selecting the right Employer of Record provider can be challenging.
Hire a contractor in Slovenia
- Pros: This solution is cost-effective when the worker is not exclusive to your company and can send a substitute in their absence.
- Cons: Employing a full-time worker dedicated solely to your company without proper classification is a legal violation in Slovenia. Penalties for misclassification can include fines and even criminal charges.
Yes, if the worker is working for other companies, is able to decide how to do their own A worker who is exclusively dedicated to your company and whose duties and tasks are directed by your organization must be classified as an employee in Slovenia. Failing to do so breaches Slovenian employment law.
Misclassifying an employee can result in significant fines, the need to pay outstanding holiday pay and social security contributions, the potential requirement to establish a local presence, and possible legal action from the employee for violations of their employment rights.
The initial steps to establishing your business in Slovenia include registering with the Commercial Register and obtaining a trade license from the relevant authorities.
While the registration process may seem straightforward, additional complexities arise when setting up a physical office for tax purposes, opening a Slovenian bank account (which often requires an in-person visit), managing payroll software that complies with Slovenian regulations, and meeting tax filing obligations.
Hiring people in Slovenia involves meeting specific legal obligations. Simply put, HR compliance ensures your company adheres to all employment and work practice regulations.
Why is this so important? HR compliance in Slovenia is more than a formality; it protects both your employees and your business. Adhering to employment regulations ensures fair treatment for your workforce, including aspects like sick leave, annual leave, minimum wage, and proper working hours. This not only creates a positive work environment but also reduces the risk of financial penalties, legal issues, and potential lawsuits due to non-compliance.
Partnering with Agility EOR as your Employer of Record in Slovenia simplifies tax and social security obligations. We manage all employee-related filings and contributions, ensuring complete compliance, so you can focus on running your business with peace of mind.
While Agility EOR manages the complexities of Slovenian employment law and compliance, your company is still responsible for the daily management and communication with your team. This includes addressing performance issues, implementing disciplinary actions when necessary, and fostering a positive work environment through open communication.
Agility EOR handles the legal side of things in Slovenia, so you can focus on managing your team and their daily tasks.
In Slovenia, both employers and employees are required to pay taxes and social security contributions. Employers make contributions to various social security funds, including pensions, health insurance, and unemployment insurance for all employees. Employees are required to contribute to these social security funds as well, and they also pay personal income tax.
Employees working under a Slovenia Employer of Record enjoy legal protections and a standard employment contract, which includes statutory benefits such as maternity leave, annual leave, and sick pay, as well as applicable tax credits. Additionally, the public healthcare system in Slovenia provides coverage for all residents, not just employees.
Agility EOR handles the administrative burden of HR compliance for you:
Trusted Partners: Agility EOR works with top Slovenian employment lawyers and advisors, ensuring that your employment contracts and other essential documents fully comply with local legal requirements.
In-Depth Knowledge: We have a comprehensive understanding of the complex elements of Slovenian employment law, including payroll, social security, data privacy, notice periods, and remote work regulations.
Swift Action: Should any issues arise, our internal team is promptly available to provide assistance and support.
Wondering if expanding in Slovenia is right for you?
Read on or speak to a member of our team now
Slovenia Employer of Record Benefits
When you choose Agility EOR to expand in Slovenia, we guarantee an EOR Service tailored to the needs of your business
Compliance
We are on top of regulatory changes in Slovenia so you can relax.
Cost reduction
Allow our economies of scale to work in your favour.
High Service Levels
You and your employees have a dedicated account manager.
Fixed Cost Pricing
We will agree our professional fees up front based on your needs – no nasty surprises!
Consolidated Invoicing & Payments
Make one monthly payment to cover all your tax, social and wages costs from one to one thousand employees.
Fast delivery
You can have 'boots on the ground' within days on our infrastructure.
Reduced Risk
All wage taxes are remitted in full to the Slovenian authorities by professionals ensuring liabilities are met, giving you peace of mind.
Supply Chain Transparency
We only pay employees through local full employed solutions meaning Slovenian payroll tax is paid on all funds.
Save Time and Money
Our expertise is at your disposal. The need for you to have internal HR, Payroll and admin staff is eliminated.
Get in touch
Our team of Employer of Record experts are ready to discuss your global expansion requirements. Fill out your details in the form provided and we will be in touch as soon as possible.