Important decision
The company Velká pecka, the operator of the online supermarket Rohlik.cz, has finally failed in a dispute with the Constitutional Court over a fine of CZK 2.5 million. The court confirmed that the cooperation with couriers had the characteristics of illegal dependent work, the so-called shvarcsystem. The decision of the Constitutional Court judges thus concludes a several-year dispute with the Labour Inspectorate and provides clear guidance for assessing relationships within the so-called gig economy.
According to the Constitutional Court’s ruling, the couriers, although formally acting as independent entrepreneurs, were under considerable control of the company. The judges stressed that their activities were carried out personally, on a continuous basis, on behalf of the company and in a subordinate relationship and thus constituted a shvarsystem. The decisive factors were, among others, the obligation to use cars with the company logo, acting towards customers under the name of the e-shop and an extensive system of contractual penalties that effectively enforced compliance with the company’s instructions.
In its constitutional complaint, the company argued in vain for the free choice of couriers, their ability to work for competitors and the mutual disinterest in concluding a traditional employment relationship. However, the Constitutional Court found that Rohlik’s organisation of the work precluded the couriers’ independence as entrepreneurs. The verdict thus confirms the stricter standard of the controlling authorities towards platforms that try to transfer entrepreneurial risk to their contractors while maintaining a high degree of control over their performance.
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