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Reimbursement for Leave Due to Blanket Quarantine

How to Submit Wage Reimbursement Due to a Government Measure (COVID-19)

Written by Lenka Haringerová

In connection with the current situation, many companies are dealing with the need to record leave due to government measures. There are two most common scenarios:

  1. An employee stays home with a child who cannot attend daycare — this is recorded in the standard way as nursing/care leave (OČR).

  2. An employee stays home because the workplace is closed — in this case, where the obstacle originates on the employer's side, we record it in absences as Downtime (Prostoj). You can select the appropriate category based on the percentage of wages you will pay the employee (60, 80, or 100%).

Do not record wage compensation through bonuses or similar entries — instead, follow the steps below:

1. Find the employee in the menu Employees - Wage Updates and open their record by clicking the Change button.

2. Expand the "Update Absence" field.


3. Click the "New" button.

4. In the "Reason for Absence" field, enter "Prostoj" or select it using the magnifying glass icon, enter the duration of the absence, and save.

5. Then run the payroll recalculation.

Employers whose business operations are threatened as a result of the spread of infection will receive a contribution toward the full or partial coverage of wage compensation owed to employees due to an obstacle on the employee's side (quarantine order) or on the employer's side (obstacle — closure of the workplace pursuant to a government order to suspend operations), provided it is demonstrated that the obstacle to work arose as a result of COVID-19 infection.

Information on how to apply for the contribution is available on the MPSV website here. Applications are submitted to the Czech Labour Office. There is no time limit for submitting applications. The application must be accompanied by a Monthly Statement of Paid Wage Compensation in a Microsoft Excel table, listing the employees who received compensation due to obstacles on the employer's side, the amount of compensation, and the amount of health and social insurance contributions.

Note:

The Downtime (Prostoj) wage component can calculate the Public Holiday Compensation starting from version 2020.2.0.7.

In order for Public Holiday Compensation to be calculated in earlier versions, Downtime must be entered excluding public holidays — for example, for April it should be entered twice: from April 1 to April 9 and from April 14 to April 30.

Public Holiday Compensation calculated in this way will be at 100%. Therefore, if you are entering Downtime at 60% or 80%, you will need to manually adjust the Public Holiday Compensation to match the downtime percentage.

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