Employer of Record in Slovenia

Hiring independent contractors has boomed in popularity because of the cost savings and flexibility they offer. It can be a great option if you require niche skills or short-term project support. Contractors allow businesses to access specialized skills quickly, without the time and cost of setting up a local entity.

However, it’s important to know the limits of this model: contractors are not a substitute for full-time employees. Relying on them for ongoing, long-term roles can create serious compliance risks, including employee misclassification, which can lead to fines, back taxes, and reputational damage.

Playroll’s contractor management solutions make it simple to compliantly engage, onboard, and pay contractors around the world. We provide clear visibility into agreements, streamline payments, and reduce compliance risks – so you can focus on getting the work done. And when you’re ready to take the next step, we can help seamlessly convert contractors into full-time employees through our global Employer of Record service.

Businesses can only operate smoothly in Slovenia if they comply with local labor laws including drafting compliant employment contract agreements and meeting taxation and payroll obligations. Learn more about the employment laws and regulations in Slovenia below, to avoid any compliance issues.

Employment Contract Requirements

Employment contracts in Slovenia must be written in Slovenian, although bilingual contracts are acceptable. These agreements should clearly outline crucial terms such as:

• Salary
• Working hours
• Probation period
• Termination details
• Confidentiality obligations
• Other relevant provisions

Onboarding Process

We can help you get a new employee started in Slovenia quickly, with a minimum onboarding time of just 1-2 working days. The timeline starts once the employee submits all required information onto the Playroll platform and completes any necessary local authority registrations.

For non-nationals, the Right to Work assessment (if applicable) may add up to three extra days. Additional time may be needed for follow-ups on this assessment. Please note, payroll cut-off dates can impact the actual start date. Playroll's payroll cut-off date is the 10th of each month unless otherwise specified.

Probation Period in Slovenia

Probation periods in Slovenia are optional, with a minimum duration of 30 days and a maximum of 180 days (6 months).

In Slovenia, an employee whose age is 18 or older has a maximum of 8 hours per day and 40 hours per week. A minimum meal interval of 30 minutes must be observed by employees who work more than 6 hours in a day. In typical working hours, Monday through Friday, the hours are 8:00 to 16:00.

Slovenian law limits overtime to 8 hours per week, 20 hours per month, and 170 hours per year. This limit can be extended to 230 hours per year with the employee's written consent. Slovenian law mandates that overtime work must be compensated at a premium rate of at least 30% above the employee's regular hourly wage. The rates increase for work during specific periods: work on Sundays requires a 50% premium, while work on public holidays and free days mandated by law commands a 100% premium. Night work (between 10 PM and 7 AM) typically carries an additional 30-50% premium, which can compound with overtime rates.

‍

‍

Growing your team in Slovenia is exciting, but it’s not without challenges. Local labor laws are often nuanced, and hiring without the right legal structure or processes can lead to misclassification, non-compliance penalties, or disputes. An Employer of Record removes that risk by acting as the legal employer on your behalf, taking full responsibility for compliance, contracts, payroll, and employee benefits.

This gives you the freedom to scale at your own pace, whether you're adding one employee or building out an entire function, without the burden of setting up and managing a local entity. You remain in control of day-to-day responsibilities and performance, while the EOR ensures every hire is legally protected and properly supported. It's a strategic way to expand globally without spreading your internal team too thin or exposing your business to legal liabilities in unfamiliar markets.

Fiscal Year in Slovenia

1 January - 31 December is the 12-month accounting period that businesses in Slovenia use for financial and tax reporting purposes.

Payroll Cycle in Slovenia

The payroll cycle in Slovenia is usually monthly, with employees being paid on the last working day of each month..

Minimum Wage in Slovenia

As of January 1, 2025, Slovenia's minimum wage is set at €1,277.72 per month. This rate applies to all workers and is reviewed annually to account for inflation and economic conditions.

Average Salary in Slovenia

As of early 2025, Slovenia's average salary reflects steady economic growth and a relatively high standard of living within Central Europe. In March 2025, the average gross monthly salary was €2,496.61, while the average net monthly salary stood at €1,580.84. These figures represent a 4.9% increase in gross earnings and a 5.0% increase in net earnings compared to March 2024, indicating a positive trend in wage growth.

However, it's important to note that salaries can vary significantly across different regions and industries in Slovenia. For instance, the highest average gross earnings in March 2025 were reported in the human health and social work activities sector, amounting to €2,055.91, which is about a third more than the national average.

Conversely, sectors such as arts, entertainment, and recreation reported lower average earnings. Additionally, the capital city, Ljubljana, typically offers higher wages compared to other regions, reflecting its status as the economic and administrative centre of the country.

Bonus Payments in Slovenia

In Slovenia, 13th-month payments are not mandatory.

Employer Tax Contributions

Employer payroll contributions are generally estimated at an additional 16.1% on top of the employee salary in Slovenia.

Employee Payroll Tax Contributions

In Slovenia , the typical estimation for employee payroll contributions cost is around 22.1%.

Individual Income Tax Contributions

The individual income tax in Slovenia ranges from 16% to 50%, calculated based on progressive rates. Various factors, including household status and the number of children, can influence the overall tax rates.

Pension in Slovenia

In the Republic of Slovenia, the pension system operates on the principle of intergenerational solidarity. Individuals who reach the specified age and meet the requisite number of years in the pension qualifying period are eligible for an old-age pension.

Employees expect to be paid accurately, on time, and in full compliance with local standards. When you're hiring in Slovenia, providing a smooth payroll experience is critical to retention and trust. An Employer of Record ensures that employees receive what they’re owed, without errors, delays, or confusion about taxes or benefits.

Key Ways an EOR Supports Payroll in Slovenia:

• Reliable Salary Payments: Ensures employees are paid promptly in local currency.
• Clear Payslips & Documentation: Provides employees with compliant, understandable records.
• Correct Benefits & Contributions: Delivers legally mandated contributions and any changes in compensation, like bonuses.
• Payroll Setup & Processing: Handles salary calculations, tax withholdings, and local reporting obligations.
• Boosts Employee Confidence: Builds trust with compliant, consistent payroll operations.

In Slovenia, most non-EU/EEA nationals who want to live and work in the country need a combined single permit for residence and work (enotno dovoljenje za prebivanje in delo), which functions as both a residence permit and a work authorization. EU/EEA and Swiss citizens do not need a work permit but must register their residence if they stay longer than 3 months.

Employers typically sponsor the single permit through the local administrative unit in cooperation with the Employment Service of Slovenia (Zavod RS za zaposlovanje) and, where relevant, the Slovenian consulate abroad. Other options include EU Blue Card for highly qualified workers and various short-stay Schengen C visas for business visits and short-term assignments. The exact route depends on the worker’s nationality, role, and length of stay.

Mandatory Leave Entitlement in Slovenia

The annual leave entitlement in Slovenia is 20 days for a full time worker. These can include public holidays on top of that or within those days, which would otherwise be unpaid.

Public Holidays In Slovenia

Slovenia has 15 national holidays:

Paid Time Off in Slovenia

Both full-time and part-time employees in Slovenia are entitled to 20 working days of paid time off (PTO) per year, accruing monthly at a rate of 1.66 days.

Maternity Leave In Slovenia

Employees in Slovenia are entitled to 105 days of maternity leave. Maternity leave should commence 28 days before the birth date and 77 days after childbirth. The Health Insurance Institute will cover the base salary during this period subject to the minimum and maximum salary caps.

Paternity Leave In Slovenia

Employees in Slovenia are entitled to 30 days of paternity leave, which should commence after the birth of the child. During this period, the government will pay the salary, calculated based on the average monthly wage of the past 12 months subject to the applicable caps.

Sick Leave In Slovenia

There is no limitation to sick leave in Slovenia as long as the employee presents a medical certificate. If the illness or injury is work-related, the employer covers the first 30 days, after which it is covered by social security. The amount of payment depends on the reason for sick leave.

Parental Leave In Slovenia

Employees in Slovenia are entitled to 130 days of parental leave each (260 days in total). This entitlement may be extended in specific circumstances, such as the birth of twins or more children simultaneously, the premature birth of a child, or if a child requires additional care.

Employee benefits in Slovenia combine robust state-backed protections with employer-driven perks. When you hire in Slovenia, your company needs to understand how public social security, extensive leave rights, and supplemental benefits all work together to create a competitive package.

Most core protections are mandated by law and funded via social contributions, while employers differentiate themselves through additional health coverage, bonuses, flexible work, and learning opportunities. A thoughtful mix of both will help your team attract and retain top Slovenian talent.

• Top mandatory benefits: public health insurance coverage, pension and disability insurance contributions, paid annual leave, paid sick leave, and parental and maternity leave entitlements.
• Top supplemental benefits: private health insurance upgrades, performance and 13th-month bonuses, and additional paid leave or flexible working arrangements.
• Key legal and tax considerations: mandatory registration and contributions to Slovenia’s social security system, proper payroll withholding of income tax and employee contributions, and clear documentation for any tax-favored benefits.

In Slovenia, failing to provide the correct employee benefits can have serious consequences. Mistakes in benefits administration may result in fines and harm your reputation as an employer. An Employer of Record ensures statutory benefits and leave are handled correctly, every time, and provides comprehensive options for extra perks to reward your team.

Beyond just avoiding legal issues, a well-managed benefits program builds trust with your employees. An EOR ensures benefits are set up quickly during onboarding, updated when employee status changes, and fully compliant with national regulations. They also manage communication with employees, so there’s no confusion around what’s offered and how to access it. This combination of legal compliance and positive employee experience is hard to replicate without local infrastructure. With an EOR, you can offer peace of mind to your team (and to yourself) knowing that your benefits program in Slovenia is running as it should.

Termination Process in Slovenia

According to the Employment Relationships Act, employers are required to provide advance notice before terminating an employee. Dismissal must be objectively justified based on factors related to the business, the employer, or the employee.

Notice Period in Slovenia

In Slovenia, the notice period varies based on the employee's seniority:

• 7 days' notice for dismissal during probation period
• 15 days' notice for up to 1 year of service
• 30 days' notice for 1 to 2 years of service
• 80 days notice for above 25 years of service.

Severance in Slovenia

If an employee's contract is terminated due to business reasons (such as redundancy, organizational changes, or economic difficulties) or if the employee becomes permanently unable to perform their job due to medical reasons, severance pay is mandatory. The minimum period of continuous employment required for acquiring severance payment is one year.

• 1/5 of average monthly salary for each year of employment between 1 and 10 years
• 1/4 of average monthly salary for each year of employment over 10 and less than 20 years
• 1/3 of average monthly salary for each year of employment over 20 years