We are striving for a predictable and competitive business environment in which companies have the possibility to develop and grow, and where the fiscal and financial environment encourages rather than hinders them.
Key areas of the Committee’s work
Employer-contribution cap
The introduction of limits above which social security contributions are no longer paid. These limits also cap the level of social rights such as, for example, the maximum public pension.
The expansion of tax brackets
Slovenia wants to create new jobs, above all jobs with high added value. That is why it is essential that wages are unburdened in such a way that employees receive more than half the amount paid by their employer.
Measures that increase the stimulative effect of our fiscal environment on investments
Retaining tax reliefs for investments in research and development, retaining tax relief for investments at a level of 40%, and lowering the taxation of dividends (this has a positive effect on the attractiveness of capital investment).
Tax reliefs for the development of a second pension pillar
These will make saving money more attractive and increase the amount saved in the second pillar, which is reinvested in the economy and makes an important contribution to developing the capital market. At the same time, they make it possible for savers to have a decent pension, with which they can cover part of the increasing costs of health and long-term care.
The challenges of the demographic fund according to the current legislative proposal
The main challenges of the demographic fund are too few assets and an inappropriate investment structure. Considering the lack of assets, the foreseen fund will not be able to create enough returns so as to appreciably contribute to reducing the future deficit in the pension fund, whereby we should not forget that state-owned companies, which are now managing assets and are supposed to be transformed into the demographic fund (KAD, SDH etc.), are already contributing to the budget.
At the same time it is essential that we continue the discussion about the future development of the pension system in Slovenia, where the second pension pillar has many possibilities for development. An improved pension system can create additional savings and partially replace the fall in public pensions for employees, while retaining the stability of public finances. In future reforms this area should receive more attention, as many countries have already successfully replaced their respective fall in public pensions with the second pension pillar.
Long-term care should not be just another burden on employers
The draft law envisages a new compulsory contribution amounting to 2.94% of the gross wage. On the other hand the draft law foresees a slight reduction in the contribution for compulsory health insurance and the contribution for pension and disability insurance; however, the introduction of the new contribution will still cause increased burdens on labor in Slovenia, which grows disproportionately at just over the level of the average wage and is one of the highest in the EU.
That is why additional burdens on labor are unacceptable and reserves must first be sought in the rationalization of the healthcare and long-term care systems. We must not forget that increased burdens on labor lead directly to the informal economy, bypassing the system, and the final result can be worse than before the new burdens were introduced.
In the event of exceptional circumstances like a pandemic, we want the state to help companies as quickly and with as little bureaucracy as possible, to continue operating and retain as many jobs as possible, while keeping the solvency needed to emerge from the crisis.
Committee members
Who are the Committee members?
See the whole list of committee members.
Join the AmCham Finance Committee
For all questions related to the Committee’s work you can turn to our Committee coordinator Vida Dolenc Pogačnik, our COO and International Cooperation Leader.
Vida Dolenc Pogačnik
COO and International Cooperation Leader