Květa Tůmová, head of payroll department of the accountancy and tax office of Connect Economic Group s.r.o. step by step below how you, as an employer, have to apply for a wage compensation allowance and what you will have to submit for inspection from the Labor Office.
If you want to apply and receive money without dealy, please read our article 8 most common mistakes people do when applying. Step No. 1: The employer submits to the Labour Office of the Czech Republic an application for a wage compensation allowance The employer submits an application for a contribution to wage compensation electronically via the web application of the Labour Office of the Czech Republic, which was created especially for this purpose. There are two ways to apply - either by data box or by e-mail with a recognized electronic signature. The application must be sent to the locally relevant workplace of the Labor Office of the Czech Republic, according to the relevant registered office of the employer.
The requirements of the application include:
- identification data
- the person's right to represent the employer
- proof of bank account
- or a power of attorney to represent
Step 2: Concluding a grant agreement After filling in the application, an agreement on the provision of the contribution will be automatically generated. The Labour Office of the Czech Republic checks the correctness of the submitted application, the legitimacy of the signatory and the fulfillment of the necessary conditions; and subsequently concludes an agreement with the employer on the provision of the contribution. The agreement is concluded when it is signed by the Labour Office of the Czech Republic and sent back to the employer.
Step No. 3. The wage compensation allowance will be provided only on the basis of the submitted statement
During April (after processing wages for 03/2020) and during May (after processing wages for 04/2020), the employer of the Labour Office of the Czech Republic shall submit a statement of paid wage compensations, including mandatory contributions. Part of the statement is an overview of employees for whom a contribution is requested, including birth numbers (in the event that the employee does not have a birth number in the Czech Republic, the registration number of the insured person shall be stated).
Along with the statement, it is necessary to provide a solemn declaration of the employer about:
- refunds paid and levies made
- the existence of an obstacle at work and its duration
- a solemn declaration that the wage funds spent, which are the subject of the statement, are not covered by other public budgets
If an employer falls into more than one Antivirus scheme for which he / she is applying, he / she needs to fill in a separate form for each of the schemes (together with a solemn declaration).
In the case of scheme A, it is necessary to indicate the object of the business or activity that has been affected, including the relevant crisis measure, according to which the employer was forced to close down or reduce the activity.
Further details are given in the manual for employers, which is available on the MPSV website and it is also possible to watch an instructional video for submitting applications.
Step No. 4. Checking the application by the Labour Office of the Czech Republic
The Labour Office of the Czech Republic will then check with the Czech Social Security Administration whether the workers for whom the employer is applying for a contribution are really his employees. If everything is in order, the Labour Office of the Czech Republic will pay the contribution to the employer's account.
Incorrectly filled in applications are returned by the Labour Office of the Czech Republic for completion or correction and the application is hereby cancelled. Any incorrect determination of an obstacle to work is not a breach of the agreement on the provision of the allowance, and the employer therefore does not have to return it if the wage compensation has actually been paid to the employee.
BUT intentional misuse of the contribution may be classified as a criminal offense, and any breach of the terms of the written agreement may lead to an obligation to repay the contribution and may be referred to the tax office on suspicion of breach of budgetary discipline. It may also be subject to control and possible sanctions by the State Labour Inspection Authority (SUIP).
The Labor Office of the Czech Republic, in cooperation with SUIP, will ensure consistent ongoing, but especially subsequent control.
During the inspection, the employer will prove in particular:
- employment contracts,
- internal regulations governing obstacles at work, agreements with trade unions authorizing the payment of reduced wage compensation in accordance with the Labour Code
- ordering quarantine of employees
- payment slips and attendance records proving the duration of the obstacle at work and the payment of the relevant wage compensation in accordance with the Labor Code
- statements of accounts proving the payment of compensation of wages to employees and the payment of levies
- in case of downtime (§ 207 letter a) ZP) or partial unemployment (§ 209 ZP), the employer shall also provide documents proving termination of sales, reduction of sales, restriction of transport, etc., ie document the fact that an obstacle to work has actually arisen on the part of the employer.
The control in the area of compliance with labour relations will be performed by SUIP. The inspection will be carried out subsequently, but in case of reasonable doubts, however, the Labour Office of the Czech Republic in cooperation with SUIP will carry out a continuous inspection. The control activity will be linked to the return of the contribution, specific reasons leading to the obligation to return the contribution will be agreed in the agreement.
29. 04. 2020