From April 1, companies must report the reason for termination and the probable net income on the new ČSSZ form for Employment Commencement Notification.
Entering Severance Pay Information
For this reason, version 2022.2 introduced new fields related to severance pay in the Employees - HR menu, under the Employment - Termination tab.
When the Severance Pay Entitlement checkbox is selected, the Severance Pay Paid in Full and Severance Pay Multiplier fields become available. Otherwise, these fields remain grayed out.
In the Severance Pay - Multiplier field, enter the number of months for which the employee is entitled to severance pay (typically 1–3 months).
In the Reason for Employment Termination field, select the reason why the employee left. This is the standard code list issued by ČSSZ:
An employee is only entitled to severance pay under termination type 4 – Organizational Reasons; for all other termination types, the employee is not entitled to severance pay, even if the Severance Pay Entitlement checkbox is selected. The Severance Pay Multiplier will therefore appear on the generated form if the reason stated is 4 – Organizational Reasons or 5 – Health Reasons (§ 52 d) — these are entered on the form either in the Severance Pay sec. 67 para. 1 – § 52 letters a) to c) field or para. 2 – § 52 letter d) field.
If the reason for employment termination is, for example, the death of an employee, this must be selected in the Reason for Not Providing Supporting Documents field (in which case the fields described above should not be filled in):
If an employee's employment ended after April 1, 2022, these details must be filled in under the ČSSZ section; otherwise, Flexi will display an error message:
For terminations on or before March 31, 2022, the notification is submitted in the standard format and the new fields are not required. In such cases, Flexi will use the old form and no error message will be displayed.
Additional Requirements for Correct Form Generation
In order for the probable net earnings to be calculated, the salary for the given month must already be computed. Therefore, if an employee's employment is terminating in April, for example, the April salary must be calculated under Employees - Payroll Update. The current HR settings are used for the average net earnings calculation — for example, tax credits and contracted hours.
For irregular employment contracts, the contracted hours value is taken from the Contracted Hours (weekly) field in the HR menu, under the Employment - Contract tab:
It is also necessary for the employee to have a calculated employment-law average earnings figure from the previous quarter (provided they had worked hours in that quarter). If the employment-law average (PPP) has not been calculated, the value is taken from the employment-law average field under Employees - HR, on the Employment tab (this applies, for example, to new employees or employees on extended absence):
Generating the Form
The form can then be generated in the standard way via Employees - Print Outputs - For OSSZ - Employment Commencement Notification (employment termination).
The information will then be reflected in the Average Net Monthly Earnings and Severance/Redundancy Pay fields:
