Compensation bonus for people working on a contractual basis

The Chamber of Deputies approved an amendment to the Act on Compensation Bonuses for people whose work is based on a Contract for Work (CfW) or an Agreement on Working Activity (the AWA). The amendment was prepared by the Ministry of Finance.

The compensation bonus can be received by those people who participate in health insurance and who were not able to work due to the coronavirus measures (for example, if business premises were closed or operations were reduced or if the demand for products or services was reduced). The amount of the compensation bonus is up to CZK 350 per day for the period from 12 March to 8 June 2020.

The condition for drawing the bonus is that the person worked for at least four out of six months (in the period from 1 October 2019 to 31 March 2020) on an "insured" agreement (i.e. the health insurance from the payroll was paid). Another condition is that the work must have been reduced or made impossible to provide because of the coronavirus crisis, for example, the employer terminated cooperation. Similarly to the compensation bonus for associates, people who have other job in addition to the CfW or AWA are excluded from this.

The bonus will be paid by the Financial Office, and they will start receiving applications right after the bill is approved. The applications will be in the form of a simple form, and they should be delivered to the respective Financial Office via a data box, e-mail, or in person. The application should be accompanied by the respective agreement and payroll note or other relevant confirmation from the employer.

The amendment will be discussed by the Committee on National Economy, Agriculture, and Transport of the Senate at their meeting on 21 July 2020.