Simplified Procedure for Employing Foreign Nationals
Unlike the last amendment to the Foreign Nationals (Employment and Self-Employment) Act (ZZSDT-A), which was presented in our November issue, this amendment (ZZSDT-B) only brings in a simple yet equally important change regarding the employment of foreign nationals in companies that qualify as high-value companies or as innovative start-up companies. As a stepping stone to stimulating investment in such companies the Investment Promotion Act (ZSInv) was adopted. ZSInv, which will enter into force on 1 July 2018, provides for the establishment of two registers, namely a register of high-value companies and a register of innovative start-up companies – companies having either status (hereinafter also “employers”) will be eligible for inclusion on the respective register. These employers more often than not face difficulties in meeting their staffing needs and tend to mend this problem by recruiting highly skilled foreign experts who possess the required skills. This made it crucial for the ZZSDT to be amended accordingly in order to simplify the process for these employers to employ foreign nationals.
ZZSDT stipulates that the Employment Service of Slovenia (ESS) must give its approval before a single residence and work permit is issued or extended. To that end, the ESS verifies whether the employer in question meets the conditions set forth in Article 17 of the ZZSDT (e.g. that there is no suitably qualified candidate already on the unemployment register, that the annual quota for the employment of foreign nationals has not been surpassed, etc.).
Pursuant to the new paragraph 2 of Article 16 of the ZZSDT, the ESS will not verify certain conditions, namely (i) whether the employer is duly registered within a specified register (ii) whether the employer is subject to liquidation or bankruptcy, (iii) whether the employer is actively operating and (iv) whether the employer has applied for tax deductions for income from employment relationships or whether the employer has any outstanding tax liabilities.
This will only apply where the foreign national is set to obtain a single residence and work permit to work in a company registered in one of the aforementioned registers. Furthermore, this will only apply if the application for or to extend the permit is accompanied by an employment contract, signed by the employer, in which the employee’s guaranteed monthly salary equals, as a minimum, the average monthly gross wage in Slovenia.
