New Social Economy Law in Slovakia following EPIC project

Monday, 9 April 2018

EPIC Assist Charity Scotland embraces the new Social Economy Law which was recently passed in Slovakia.

The Law, which will come into effect on 1 May 2018, is aimed at supporting enterprises in the wider field of social economy as well as defining the sector of social economy and state administration in the field of social economy.

The new legislation follows the Municipality Social Business Project, which was a partnership between EPIC Assist Charity Scotland, EPIC Slovakia, actors from the Czech Republic, Slovenia and Poland as well as the Slovak rural municipality Spišský Hrhov. The latter became known for running its local administration like a social business. However, the infrastructure to support the development of social businesses of this kind was very limited in Slovakia and neighbouring EU countries. Therefore, EPIC Assist Charity Scotland and its partners teamed up to create an accredited educational programme in the area of social business for local authorities, along with an accessible online database for and about the municipality social business.

One of the lecturers of the educational programme was part of the team that formed the new Social Economy Legislation, which ensures that all the problems encountered by mayors who want to set up and run a social business in the future can be dealt with within a legal framework. The Law is remarkable as there previously has been no law focused on social economy or social enterprises in Slovakia. However, now the social economy will be more clearly defined, especially for the representatives of municipalities and organisations.

One of the main aims of the new law is to create a favourable business environment for social entrepreneurship in Slovakia as well as to introduce the order of concept and regulation into social business. It also seeks to create a support system for social economy while removing obstacles to its development and creating rules to prevent the abuse of the status of a social enterprise.

EPIC Assist Charity Scotland are delighted to learn about the new law in Slovakia and are proud to have been part of a project which has influenced such an important legislative change for social businesses in the country!