Unreliable Employer
The Act on the Residence of Foreign Nationals excludes the issuance of an Employment Card or its extension if the employer is deemed unreliable. The concept of an unreliable employer is primarily intended to prevent disguised agency employment of foreigners and to prevent employers to employ foreigners if they repeatedly fail to fulfil obligations stipulated by regulations other than the labour law (such as public health insurance and social security).
An employer who meets any of the following conditions is deemed to be unreliable:
The employer is not debt-free
The employer is considered unreliable if they are not debt-free. An employer is considered debt-free only if they have no registered unpaid obligations with the Financial Administration, the Customs Administration, in social security contributions (including penalties), or in health insurance contributions (including penalties). An unpaid obligation is not considered as such if deferred payment or an instalment plan has been granted.
The employer has been fined for enabling illegal employment
The employer is considered unreliable if they were lawfully fined for enabling illegal employment within the four months preceding the submission of an application for the issuance or extension of an Employee Card.
The employer does not engage in economic activity within their registered scope of business
The employer is considered unreliable if they do not engage in economic activity within their registered scope of business or if the Ministry of the Interior was unable to verify such activity.
The employer failed to register a foreigner for obligatory insurance
The employer is considered unreliable if, within the past year, they failed to register their employee for participation in social security or public health insurance.
The employer is in liquidation
The employer is considered unreliable if they are undergoing liquidation.
The employer’s registered office is not real
The employer is considered unreliable if they are a legal entity and the registered office listed in public registers is not real. A real registered office is considered to be a location where key decisions regarding the employer’s business management are made, or where the employer’s management regularly meets.
A legal entity or a natural person to whom a foreigner is temporarily assigned by an employment agency based on an agreement between the agency and the user (i.e., the employer to whom the foreign national is assigned) is also considered an unreliable employer if any of the above conditions are met.
The fact that the employer is unreliable is a ground for denying the issuance or extension of an Employee Card.