Deductions from wages under the new regulation

The New Civil Code (“NCC”) fundamentally changes the regulation of deductions from wages. It seeks to unify and simplify them. This makes employment law more accessible.

Jak snížit zálohy pro OSVČ
2 minutes of reading

What are deductions from wages for?

The NPL distinguishes between two types of institutes – securing the debt and consolidating the debt. Securing the debt significantly helps its better enforceability – if the debtor fails to pay, the creditor can recover elsewhere, e.g. from the guarantor or the mortgaged property. Securing the debt, on the other hand, does not make the debt itself more enforceable, it just puts more pressure on the debtor to perform (e.g. in the form of a contractual penalty). Wage garnishments stand somewhere in between. If the debtor does not pay, the creditor can turn to the debtor’s paymaster (most often the employer), who then sends a portion of the debtor’s income directly to the creditor by deducting it from the debtor’s wages. However, the debtor must of course have some income.

The agreement on deductions from wages or other income is regulated in the provisions of Sections 2045 to 2047 of the CCC. In addition to this “central” regulation, the Labour Code (“LC”) has been amended so that all agreements on deductions from wages will be concluded under the LC. the “central” regulation will thus also apply in the alternative to employment relationships. This is, after all, the principle on which the relationship between the NLW and the LC is based.

So what specific changes can we expect?

It will now also be possible to make deductions from remuneration from a work performance agreement.

However, a major innovation is the restriction that deductions are made in an amount not exceeding half of the relevant income. This limitation is only relevant if the attachable part of the income determined under the CCA would exceed half of the relevant income (such limitation does not apply to enforcement deductions, of course).

Solutions Tailored for You

Our team of experienced attorneys will help you solve any legal issue. Within 24 hours we’ll evaluate your situation and suggest a step-by-step solution, including all costs. The price for this proposal is only CZK 690, and this is refunded to you when you order service from us.

But what is essential? If the deductions are not made to satisfy the right of the debtor’s own employer directly, the agreement requires the prior consent of the debtor’s employer. This means that the employer cannot be forced into such an agreement and use its administration to conveniently pay off the debt. There is, however, a technical debate as to what ‘prior approval’ means, since there is apparently no reason to invalidate an agreement if the employer only approves it when it is presented to him as a fait accompli.

Are you solving a similar problem?

Dostupný advokát team of online lawyers will solve it for you.

Solutions Tailored for You

Our team of experienced attorneys will help you solve any legal issue. Within 24 hours we’ll evaluate your situation and suggest a step-by-step solution, including all costs. The price for this proposal is only CZK 690, and this is refunded to you when you order service from us.

Preset Prices
All services pre-priced for no surprises.
We Do Everything Online
Save time, money and the hassle of travel.
We Work Fast
90 % of issues get solved by the following day.
Experienced Team
We have specialists for every field of law.

Has this content helped you? Give it a rating

No rating yet. Be first to rate and help others.

Author of the article

JUDr. Ondřej Preuss, Ph.D.

Ondřej is the attorney who came up with the idea of providing legal services online. He's been earning his living through legal services for more than 10 years. He especially likes to help clients who may have given up hope in solving their legal issues at work, for example with real estate transfers or copyright licenses.

Education
  • Law, Ph.D, Pf UK in Prague
  • Law, L’université Nancy-II, Nancy
  • Law, Master’s degree (Mgr.), Pf UK in Prague
  • International Territorial Studies (Bc.), FSV UK in Prague

Reviews of the Dostupný advokát service

Recenze služby

Jan Sekanina, Prague

before 4 years

My grandparents wanted to give me an apartment, but I was extremely busy at the time and couldn’t afford to put any time into finding out what I needed to do. I also had no idea how to get the transfer of ownership handled at the Land Registry. Dostupný advokát arranged everything for me, and (zobrazit více) the apartment transfer was legally arranged with no issues. Thank you and thumbs up!

Recenze služby

Pavel Kasal

before 4 years

I decided to withdraw from my operating lease prematurely and was charged a ridiculously high penalty, apparently because the car had been sold for a significantly lower price than its market value. I found it frustrating, so I turned to Dostupný advokát for help. They got to work on the case very fast and recommended (zobrazit více) several options on how to proceed. They also helped me prepare all necessary documentation. Thanks to them, I had to pay only a fraction of the original amount and saved tens of thousands of Crowns.

Recenze služby

Štěpán Mičunek, Vsetín district

before 4 years

I contacted Dostupný advokát because I needed help with a non-payer. Dostupný advokát gave me advice on how to proceed. The dispute became a court issue, where I was represented by Dostupný advokát. I won the court case and I can fully recommend their service.

View All Testimonials

You could also be interested in

About us in public media
Logo Česká advokátní komora Logo Advokátní kancelář roku 2023 a 2024
Follow the news
Facebook Dostupný advokát Twitter / X Dostupný advokát