Payroll Calculation as an Enforceable Document
In practice, employees often do not insist on receiving a “pay slip,” formally known as a Payroll and Compensation Calculation (hereinafter: “Calculation”), if their employer regularly pays their salary. However, the importance of the Calculation as a document becomes particularly evident when the employer fails to pay the salary or compensation in full on the due date.
According to Article 121 of the Labor Law, the employer is obligated to provide the Calculation with each salary or compensation payment, as well as for the month in which the salary or compensation was not paid, no later than the end of the following month. Employees should keep this in mind when their salary is not paid by the due date.
This is because Article 121, paragraph 6 of the Labor Law stipulates that the Calculation constitutes an enforceable document. Therefore, if the employer fails to pay the salary and compensation on the due date, the employee can enforce their right to the unpaid salary more quickly and easily through an enforcement procedure based on the Calculation, rather than engaging in a lengthy litigation process.
However, for the Calculation to be an enforceable document, it must contain the information specified by the Regulation on the Content of Payroll and Compensation Calculation (hereinafter: “Regulation”).
It is important to note that the Regulation requires, in addition to information about the employer, employee, period covered by the calculation, due date, and necessary data for payroll calculation, that the Calculation includes the signature of the authorized person and the employer’s stamp if the salary or compensation is not paid in full on the due date.
Therefore, the employer must provide the employee with a Calculation for the month in which the salary or compensation was not paid, containing the signature of the authorized person (the director or other legal representative of the employer), for it to be an enforceable document based on which the employee can enforce their claim in an enforcement procedure.
The provision of Article 4 of the Regulation, which establishes the obligation to use a stamp in business communications, ceased to apply after the amendments to Article 25 of the Law on Business Companies. The amended article stipulates that no special regulation can impose the obligation to use a stamp on companies in business letters and other documents. Therefore, the Calculation does not need to contain the employer’s stamp if the employer does not use a stamp in their operations.
Employee Rights When the Employer Fails to Provide the Payroll Calculation
When the employer does not provide the Calculation to the employee by the due date, the employee can, besides issuing a pre-lawsuit warning, address the competent labor inspection. The labor inspection, acting upon the employee’s report that the employer has not provided the Calculations and has not paid the salary or compensation, conducts an inspection. If the labor inspector determines that the employer has not provided the Calculation and has not paid the salary or compensation, they will order the employer to provide the Calculation (with the authorized person’s signature) and pay the salary and compensation within a reasonable timeframe.
In practice, involving the labor inspection as a form of pressure on employers often results in the partial fulfillment of the employer’s obligation. The employer may provide the Calculation to the employee, along with a notice explaining why the salary or compensation has not been paid, improving the employee’s position.
The labor inspection will inform the employee who filed the report that the employer has complied with the inspector’s order by providing the Calculations but has not complied with the order to pay the salary or compensation within the given timeframe. The labor inspector will then initiate a misdemeanor procedure according to their legal authority.
According to the Law on Misdemeanors, the employee, as the injured party, has the right to file a request for the initiation of a misdemeanor procedure against the employer for not providing the Calculation or paying the salary and compensation. However, although the employer and the responsible person within the legal entity are liable for the misdemeanor, it is uncertain whether the employer will fulfill this legal obligation, primarily to minimize the monetary penalty.
Therefore, the employee can use the labor inspection to obtain the Calculation and, based on the Calculation as an enforceable document, enforce their claim directly in an enforcement procedure without filing a lawsuit in a labor dispute.
It is advisable for the employee to first address the employer with a pre-lawsuit warning, requesting the Calculation and the payment of the salary and compensation as the quickest and most effective form of pressure, aiming to resolve the issue amicably and avoid proceedings before the labor inspection or court.
Procedure When the Payroll Calculation Lacks the Authorized Person’s Signature or the Employer’s Stamp
If the employer does not pay the salary or compensation and provides a Calculation that does not contain the authorized person’s signature or the employer’s stamp, or provides a photocopy of the Calculation, the employee can, besides initiating a labor inspection procedure and issuing a pre-lawsuit warning, file a lawsuit for the issuance of a payment order in a special litigation procedure for claims not exceeding 2,000 euros in dinar equivalent.
Article 456 of the Civil Procedure Code stipulates that if the claim pertains to a due monetary obligation not exceeding 2,000 euros in dinar equivalent, the court issues a payment order against the defendant even without credible documents, provided the basis and amount of the claim are stated in the lawsuit, and the evidence supporting the claim is indicated.
Therefore, if the employee has only a copy of the Calculation or a Calculation without the authorized person’s signature (and the employer’s stamp if used in business), the employee can submit this document as evidence in the lawsuit, indicating the basis and amount of the owed salary or compensation. The lawsuit does not need to include proof of a pre-lawsuit warning for the due monetary obligation.
This lawsuit is handled in an expedited procedure, where the competent court, if it grants the request for a payment order, issues the order without holding a hearing. The employer can challenge the payment order only by objection, which the same court decides upon in a special, shorter procedure. If the court does not grant the request for a payment order, it will proceed with the lawsuit according to the provisions of the Civil Procedure Code for general litigation, meaning the employee continues to seek protection of their rights in a standard litigation procedure.
Final Step: Filing a Lawsuit for Unpaid Salary and Compensation
Considering all the aforementioned, if the employee, despite all presented options as forms of pressure on the employer, cannot obtain the Calculation or at least a photocopy of the Calculation or a Calculation without the authorized person’s signature (when they can file a lawsuit for a payment order), the employee’s only remaining option is to pursue their rights before the competent court by filing a lawsuit for unpaid salary and compensation. This procedure is conducted according to the legal provisions of general litigation.
The information in this document does not constitute legal advice on any particular matter and is provided for general informational purposes only.