The Švarc system and the establishment of supplier relationships

The risk of the “Švarc system” (fictitious self-employment) is currently one of the most significant labor and tax risks facing Slovak employers. As of January 1, 2026, a revised definition of dependent work and significantly higher penalties will apply—the minimum fine for illegal employment is €4,000€8,000 for two or more people simultaneouslywith a maximum of €200,000.

Being listed in the register of illegal employers automatically results in the loss of access to EU funds, government contracts, and subsidies.

Properly structuring supplier relationships is not just a matter of contractual documentation—what matters most is the actual day-to-day practice of cooperation. This is precisely what we focus on: we help identify risks, structure relationships in accordance with applicable legislation, and prepare clients for a potential labor inspection.

On demand

Customized services

Starting at 600 EUR (excluding VAT)

Legal Analysis of Relationships (Collaborations) from the Perspective of Risks Associated with the “Švarc System,” Including Proposed Solutions and Recommendations

Assessment of current supplier relationships, identification of risk indicators, and risk evaluation; a written report on findings, including recommendations and proposed solutions for the identified risks.

Hourly rate: 120 EUR (excluding VAT) × time required

Review / Drafting of Contractual Documents

Preparation or review of framework or individual contracts, including substitution clauses, ordering mechanisms, and other key provisions.

Training for management / HR (online or in-person)

A practical workshop focused on recognizing warning signs, establishing proper communication with suppliers, and preparing for an inspection.

Preparation for a labor inspectorate inspection

Practical recommendations and instructions for unannounced or announced inspections—what to do in the first few minutes, how to secure evidence of a genuine B2B arrangement.

Representation during inspections / in administrative proceedings

Assistance during the actual labor inspection, drafting of statements, appeals, and other procedural filings, and, if necessary, legal defense.

Ad hoc consultations and ongoing support

Operational consultations on new partnerships, assessment of specific situations, and answers to questions when implementing changes.

If you do not wish to select individual services, you can choose a specific service package.

I. STARTER PACKAGE

Starting at €960 (excluding VAT)

The START package is ideally designed for clients who want to identify their actual risks and gain a clear picture of the status of their existing supplier relationships before taking any further steps.

What does the START PACKAGE include?

1. Initial questionnaire and data collection

Before the actual analysis, we send a structured questionnaire to gain an overview of the number, type, and form of existing B2B collaborations, the method of assigning tasks, compensation, and the means used. The questionnaire also includes a list of documents we will need.

2. Analysis of existing B2B relationships and contracts

Based on the provided materials, we analyze each relationship in relation to the legal characteristics of dependent work (Section 1(2) and (3) of the Labor Code). We assess the actual functioning of the collaboration—not only the content of contracts but also the actual setup of management, compensation, working conditions, and tools.

3. Risk Assessment and Written Report

We assess each relationship in terms of risk. The output is a written report with an overview of identified risk factors, prioritization, and basic recommendations for each category of collaboration.

4. Consultation on the Results

We will review the analysis results during a joint online meeting. We will answer your questions and propose next steps.

ℹ The START Package is also suitable as an initial step before deciding on the scope of further cooperation. It includes all the outputs necessary for an informed decision on how to proceed.

We list an indicative minimum price ("from"). The actual scope depends on the number of B2B relationships, the status of existing documentation, and the required scope of deliverables. The final price is always agreed upon after the initial consultation.

II. PRO PACKAGE

starting at 2,400 EUR (excluding VAT)

The PROFI package is ideally designed for clients who not only want to identify risks but also want to ensure their relationships are properly structured—including contractual documentation and an internal manual.

What does the PROFI PACKAGE include?

1. Everything from the START package

Initial questionnaire, relationship analysis, risk assessment, written report, consultation on the results.

2. Proposed solutions and recommendations for each relationship

For each identified high-risk relationship, we will propose specific measures—including alternative solutions (continuing B2B with modified terms, transitioning to an employment relationship, utilizing a service entity). We will develop recommendations for adjustments to process settings (management, communication, invoicing, use of funds).

3. Preparation / revision of contractual documentation (up to 3 types of positions)

We will prepare or revise framework agreements and ordering mechanisms so that the contractual documentation accurately reflects the nature of the relationship—including a substitution clause, a results-oriented scope of work, and other key elements of a B2B contract.

4. Internal Recommendations Manual (Do’s and Don’ts)

A practical guide for management and responsible personnel: how to communicate with suppliers, what to document, what must not appear to be the management of dependent work, and how to act in the event of an audit.

5. Implementation Consultation

An online meeting to put the solution into practice, answer implementation questions, and fine-tune the documentation as needed.

ℹ Tax and contribution assessment is available as an add-on in the PROFI package (for an additional fee), carried out in cooperation with a tax advisor.

We list an indicative minimum price ("starting at"). The actual scope depends on the number of B2B relationships, the status of existing documentation, and the required scope of deliverables. The final price is always agreed upon after the initial consultation.

III. COMPREHENSIVE PACKAGE

from €4,200 (excluding VAT)

The COMPREHENSIVE package is ideally suited for clients who need a comprehensive end-to-end solution — from analysis and documentation to team training and preparation for an inspection.

What does the COMPREHENSIVE PACKAGE include?

1. Everything from the PROFI package

Including analysis, solution design, contractual documentation, and an internal manual.

2. Tax and Social Security Assessment

Comprehensive assessment of the tax implications of proposed solutions in collaboration with a tax advisor—evaluation of cost deductibility, VAT aspects, and social security implications for various forms of cooperation.

3. Training for management / HR / executives

A practical 3–4-hour workshop (online or in-person) for responsible individuals within the company. Focused on identifying risky situations, proper communication, and documentation in daily practice.

4. Preparation for a labor inspection

Practical recommendations and instructions for unannounced or announced inspections: what to do in the first few minutes, how to approach questioning, what to sign, and how to secure evidence demonstrating a genuine B2B arrangement.

5. Assistance during the inspection / representation in proceedings (as a supplement)

In the event that an inspection actually takes place, we are prepared to provide legal assistance directly during the inspection and representation in administrative proceedings, appeals, and any subsequent judicial review. Billing is based on the actual scope of work at an hourly rate.

ℹ All packages are implemented based on an individually agreed-upon procedure following the delivery of source materials.

Precise cost estimates are available after an initial consultation and review of the client’s situation.

We provide an indicative minimum price ("starting at"). The actual scope depends on the number of B2B relationships, the status of existing documentation, and the required scope of deliverables. The final price is always agreed upon after an initial consultation.

Our goal is to benefit our clients

Choosing the right and reliable advisor is always a great help in improving yourself. Above all, legal advice is extremely broad in scope and affects almost all areas of the lives of entrepreneurs and individuals, which is why choosing a legal advisor is extremely important. At Hronček & Partners, s. r. o., we focus on professionalism and high-quality legal services with an individual approach. Our main goal is to provide legal services of the highest quality and to bring innovative and professional solutions to our clients so that we can become their trusted partner.

Hronček & Partners, s. r. o.

Smart legal service

More services in the field of labor law

Automated HR Documentation - BASIC HR PACKAGE

5 documents, €500 for implementation + €50 per month

Simplify your HR tasks with pre-prepared legal documents that you can fill out easily and error-free thanks to automation. The BASIC Package is ideal for companies looking for an efficient and legally compliant solution for basic employment documentation.

What does the BASIC PACKAGE include?

For a one-time implementation fee of €500 and a monthly fee of €50, you’ll gain access to the 5 most commonly used HR documents:

  1. Employment Contract
  2. Job Description
  3. Written Information Regarding the Employment Contract
  4. Pay Statement
  5. Amendment to the Employment Contract

The documents are prepared in an automated system where you can easily fill them out using a form. Everything is done quickly, accurately, and without the need for legal intervention for each document.

Package extension – additional documents

Need more than the basics? Choose from an expanded selection of documents for a €100 setup fee + €10/month for each additional document:

  • Employment contract (alternative version)
  • Job description
  • Pay stub
  • Written information regarding the employment contract
  • Amendment to the employment contract
  • Affidavit
  • Personal questionnaire
  • Declaration for claiming the non-taxable income allowance
  • Annual tax settlement
  • GDPR informed consent for the employee
  • Agreement on Work Activity
  • Written Information Regarding the Agreement on Work Activity
  • Agreement on Part-Time Work
  • Written Information Regarding the Agreement on Part-Time Work
  • Agreement on Termination of Employment
  • Termination of Employment During the Probationary Period
  • Immediate Termination of Employment (Serious Breach of Discipline)
  • Written warning for unsatisfactory performance of work duties
  • Notice of termination – various options

Service benefits

  • Always up-to-date with current legislation
  • Automated document generation
  • Electronic signature – no printing or scanning
  • Support for system implementation and use
  • Scalability to match your company’s growth

The service is developed in collaboration with the law firm Hronček & Partners and technology partner Legal Systems.

Would you like to try the service or find out which package is right for you?

Contact us or schedule a demo – we’d be happy to show you everything in action.

Automated HR Documentation – FULL HR PACKAGE

10 documents, €1,000 for implementation + €100 per month

A comprehensive package of employment-related documentation for companies that want to ensure their HR processes are in order, legally compliant, and as efficient as possible. The FULL HR Package provides you with all the essential documents needed throughout the entire employee lifecycle—from onboarding to payroll processing.

What does the FULL HR Package include?

For an implementation fee of €1,000 and a monthly fee of €100, you’ll gain access to the 10 most commonly used HR documents in an automated system:

  1. Employment Contract
  2. Job Description
  3. Pay Statement
  4. Written Notice Regarding Employment (PZ)
  5. Amendment to the Employment Contract
  6. Affidavit
  7. Personal Questionnaire
  8. Declaration for Claiming Non-Taxable Income
  9. Annual Tax Settlement
  10. GDPR Information for Employees

The documents are prepared by lawyers and available in the system, where you can easily fill them out using an intelligent form. You can sign the final document electronically right away.

Package Extension – Additional Documents

Do you have specific requirements or frequently terminate employment relationships? Expand your package with additional documents for €100 implementation fee + €10/month per document:

  • Agreement on Work Activity
  • Written Information Regarding the Agreement on Work Activity
  • Agreement on Student Part-Time Work
  • Written Information Regarding the Agreement on Student Part-Time Work
  • Agreement on Termination of Employment
  • Termination of Employment During the Probationary Period
  • Immediate Termination of Employment (Serious Breach of Discipline)
  • Written warning for unsatisfactory performance of work duties
  • Terminations – various types according to the Labor Code

Benefits of the service

  • Complete set of labor law documentation
  • Automatic document generation
  • Legally updated and guaranteed
  • Electronic signature = fast processing without paperwork
  • Scalability to match your company’s growth

The service is developed in collaboration with the law firm Hronček & Partners and technology partner Legal Systems.

Would you like to try the service or find out which package is right for you?

Contact us or schedule a demo – we’d be happy to show you how it all works in practice.

Concept for Comprehensive Employment Documentation

On demand
The price depends on the number of employment-related documents that need to be prepared and on their specific requirements.

If you start hiring employees as part of your business activities, or if you are already an employer and need assistance with properly preparing employment-related documentation, you will need to establish employment relationships. Our law firm will prepare the necessary employment documentation for you according to your needs and in compliance with applicable laws.

Draft Management Contract

On demand

Hiring an employee who is applying for a managerial position requires extra care, both because this is a specific group of employees whose rights and obligations will need to be specially tailored, and because the drafting of managerial employment contracts itself requires detailed knowledge of the relevant labor laws. Therefore, entrust the preparation of a managerial employment contract to the experienced lawyers at our law firm, who will draft it in a way that reflects your requirements while ensuring that its content meets all essential requirements in accordance with currently applicable legislation.

Employee Stock and Stock Option Plans

On demand

Strategic planning is the most important part of setting up an employee participation program properly. We’ll help you understand the legal framework and tax implications, and work with you to develop a plan that meets your needs.

Audit and Framework for Cooperation with Contractors

On demand

Many modern companies use external contractors, freelancers, or service providers. This model of collaboration can be effective and flexible, but only if it is set up correctly.

During inspections, government authorities do not merely review the wording of contracts but, above all, the actual functioning of the organization, the method of assigning work, and the de facto status of suppliers within the company.

If the collaboration is structured incorrectly, it may be reclassified as dependent work or illegal employment (the so-called “Švarc system”).

Equal pay and wage transparency

On demand

On June 7, 2026, Act No. 76/2026 Coll. on Equal Pay for Men and Women for Equal Work or Work of Equal Value will enter into force, transposing EU Directive 2023/970 into Slovak law. European legislation thus introduces new rules on pay transparency, which significantly change the way employers must set wages, career advancement, and recruitment processes.

The law imposes a comprehensive set of new obligations on all employers, regardless of their size, requiring employers to be able to objectively and demonstrably explain pay differences between employees, particularly between men and women performing work of equal or comparable value.

The new rules cover many areas, ranging from the obligation to establish a pay structure (by July 31, 2026) through a gender-neutral hiring process to other areas:

  • wage transparency in the hiring process;
  • employees’ rights to information on pay;
  • the definition of objective pay criteria;
  • mandatory reporting of pay gaps;
  • shifting the burden of proof to the employer,

Our law firm specializes in this area and is ready to provide clients with comprehensive legal support—from auditing the current status through practical implementation of the compensation system to long-term compliance monitoring—with the aim of preparing for new requirements and minimizing legal risks.

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