Subject Progros: strengthening the legislative framework

The project addresses the inadequate protection of workers in situations where employers, due to insolvency, illiquidity or non-compliance, fail to pay wages and other employment-related entitlements for several months. In such situations, workers often find themselves in a particularly vulnerable position, as they remain formally employed but have no regular income. At the same time, due to their employment status, they may be unable to access certain unemployment benefits and social transfers. The existing legal framework does not provide sufficient social and economic security for workers facing such circumstances.

The project also addresses shortcomings in the existing system for protecting workers’ rights, which can become particularly evident when employers undertake various legal and administrative measures, such as changes in the company’s legal representative or ownership structure, making it more difficult for workers to enforce their claims. The recent case of the company PROGROS has demonstrated concrete limitations of the existing system in ensuring effective and timely protection of workers’ rights.

The project therefore aims to develop a proposal for legislative amendments that would establish a more effective mechanism for protecting workers whose wages remain unpaid and provide them with greater social and economic security. A particular challenge is to develop a solution that is legally feasible, constitutionally compliant and technically appropriate from a legislative drafting perspective, while also enabling more effective enforcement of employers’ responsibilities.

The project aims to prepare and submit to the National Assembly of the Republic of Slovenia a well-founded proposal for amendments to the Public Guarantee, Maintenance and Disability Fund of the Republic of Slovenia Act (ZJSRS), with the aim of strengthening the protection of workers whose employers fail to pay their wages due to illiquidity, insolvency or non-compliance.

As part of the project, the Workers’ Counselling Office, together with external legal experts, will analyse shortcomings in the existing legislation and, based on practical experience from the PROGROS case, prepare a feasible and legally sound proposal for legislative amendments. The proposal will introduce a mechanism for compensating workers for unpaid wages, providing them with greater social and economic security while their employer fails to meet its obligations.

The project will also seek to establish a more effective mechanism for holding employers accountable and ensure that, once compensation has been paid, the Fund can assume the worker’s claim and recover the amount paid from the employer, together with applicable interest and procedural costs.

The key outcome of the project will be a legislative proposal submitted to the National Assembly and supported by an expert legal review. The project will also raise public awareness of the issue and the proposed solutions through social media and media coverage.

The project aims to achieve concrete legislative and social improvements in the protection of workers whose employers fail to pay their wages. The key result will be the preparation and submission of a proposal for amendments to the Public Guarantee, Maintenance and Disability Fund of the Republic of Slovenia Act (ZJSRS) to the National Assembly by 30 September 2026 at the latest. The proposal will be based on an analysis of current cases of workers’ rights violations, an expert legal review and cooperation with external legal experts.

The direct target group consists of workers employed by illiquid or insolvent employers, or workers whose employers fail to pay two or more wages. By establishing a mechanism for compensating unpaid wages, the project aims to provide these workers with greater social and economic security and more effective access to their statutory rights. Indirectly, the project will also benefit other workers who may find themselves in similar situations in the future.

The project will include at least 3 posts on Facebook and Instagram, with a planned combined reach of at least 5,000 people, as well as at least 1 media publication, through which the issue will be presented to the wider public. The legislative proposal will be prepared by the Workers’ Counselling Office in cooperation with external legal experts. The project therefore combines the direct protection of workers with long-term improvements to the legislative framework and more effective prevention of similar violations in the future.