- Employment Law
- Business
The “Švarc system” in light of a court decision
In a recent ruling, the Supreme Administrative Court once again examined in detail where the line lies between genuine business cooperation and the prohibited Švarc system. The case, in which a company was fined CZK 2.5 million for enabling illegal work, gave the court an opportunity to refine its interpretation of the hallmarks of dependent work and to show how both authorities and courts assess the actual substance of the cooperation in material terms, not merely the formal wording of the contracts.
Hana Krajčíková ·
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