Autor: Martin Doubrava, Datum: 20. 4. 2020

COVID -19 and New Legislative Changes

One of the legislative reliefs for Czech entrepreneurs in connection with the coronavirus epidemics is the possibility of collecting a so-called compensation bonus for self-employed persons during the period when such a person was supposed to be working on each day of the covid-19 epidemic. The condition for this was of providing a declaration of the type of entrepreneur through contracts and work agreements. If they were forced to close a business, or had restricted business, or if employees were in a prescribed quarantine, or cared for a young child under the age of 13, or were constrained by demand for goods or services, or was limited by the services needed for his business. In principle, with the help of a lawyer every entrepreneur is entitled to a bonus which will be received from the state. The State aid also concerns support for employment of applications called Kurzarbeit under the Antivirus program. Contribution is granted to companies that were threatened by the spread of COVID -19. The amount of the allowance then depends on the reasons which led the employer to identify obstacles to work for employees. For example, if the employer has ordered quarantine to employees, wage or salary compensation will be paid at 60% of the average earnings. If assigning work to employees becomes difficult because of government emergency measures and the company is ordered to close operations, then the employer may receive a contribution of 80% of the wage paid. With the legal assistance of our law firm, we can recommend steps to obtain state support called Kurzarbeit.

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