The Slovak government is taking steps to combat the issue of fictitious entrepreneurs and exploitative practices in the gig economy. Starting in March, a proposed law regulating compensation for work on digital platforms will undergo public consultation. This initiative comes in response to the increasing prevalence of false self-employment and unreported work, which the government aims to address with stricter regulations and significant financial penalties. In January, the country tightened its rules on dependent work assessment and increased fines for illegal employment and phantom entrepreneurs.

As part of this effort, the Ministry of Labor is preparing legislation based on a European directive that seeks to reform how workers in digital platforms, as well as in delivery services and taxi companies, are compensated. The ultimate goal is to persuade companies to hire these workers as employees rather than classifying them as independent contractors. The state anticipates that through these changes, it can recover around 40 million euros in the fight against fictive entrepreneurs and illegal work.

The upcoming checks on digital platforms may be influenced by this European directive, which emphasizes fair compensation and accountability for companies utilizing gig workers. The effectiveness of these inspections, particularly in determining compliance and addressing the exploitation of workers, will be crucial in ensuring that these new measures create a more equitable labor market in Slovakia.