Labor Law Consultation

14.07.2021

WHAT BENEFITS DOES THE EMPLOYER DUE WHEN SENDING A BUSINESS?

Upon posting, the employee has the right to receive not only his gross salary but also travel, daily and accommodation money under conditions and in amounts specified in the Ordinance on business trips in the country and in the Ordinance on business trips and specializations abroad. On the basis of the indicated normative acts the employer issues an order for business trip in the country or abroad. The posting order shall specify the daily, travel and accommodation allowances to which the posted worker or employee is entitled.

Compensation for relocation - Art. 216 CT

The employer owes compensation to the employee in case of "relocation" in the following cases:

  1. a) change of the place of work from one settlement to another;

In order for the employer to be obliged to pay the employee the relocation costs (travel expenses for him and his family members, the costs of moving his furniture, remuneration for the days of travel and for another 2 days) it is necessary to achieve agreement. Therefore, the obligation of this benefit is made conditional - only if an agreement has been reached between the parties to the employment relationship.

  1. b) termination of employment not through the fault of the employee or not at his request with notice, when the place of work under the terminated employment is different from the place where the employee lives permanently;

For the return of the employee to his/her permanent residence, the employer may pay the travel expenses for him/her and his/her family members and the expenses for the transfer of the furniture, when an agreement has been reached between the parties.

  1. c) when, in accordance with the procedure provided by law, the employee is transferred or has been transferred to a permanent job in another settlement not at his request.

The employee is entitled to compensation in the amount of the relocation costs. When the distance to the settlement of the new job is over 100 kilometers and the relocation is for a period of more than 1 year, the employee is paid the agreed one-month salary for the new job and remuneration of one quarter of the same amount for each family member, supported by the employee.

In this case, it is not necessary to reach an agreement between the parties. The benefit is a subjective right of the employee and is paid by the employer with whom the employee is transferred to work.

The compensations under art. 216 LC are not subject to taxation.