In addition, the employee is required, in particular, to:

• respect the working hours established at the workplace,

• comply with the workplace regulations and order established at the workplace,

• comply with the rules and principles of occupational health and safety as well as with the fire regulations,

• care for the interests of the employing establishment,

• protect the property of the employing establishment,

• keep confidential the information the disclosure of which could expose the employer to damage,

• respect secrecy as defined in specific provisions,

• respect the principles of social coexistence at the workplace.

Competition ban

The employee is obliged to refrain from competitive activity in respect of the employer only if an agreement is signed regarding this matter. Such an agreement must be concluded in writing, failing which the agreement will be invalid.

The non-compete obligation may apply in the course of or after termination of employment.

 

Remuneration for work and other work-related benefits 

The employment relationship is non-gratuitous. Therefore, the employee’s remuneration is a compulsory and periodic employee benefit that the employee may legitimately claim. 

The provisions of the labour law may require the employer to also grant the employee other work-related benefits (for example: retirement benefit, survivor’s allowance).

Legal acts setting out the conditions for remuneration

The conditions for remuneration specify, inter alia, the rates, components and method of calculation of remuneration and other benefits. They also govern the arrangements for their payment, as well as the date, place and form of payment.

The terms and conditions of remuneration and other work-related benefits are laid down in a collective bargaining agreement.

Where the employer is not covered by a collective bargaining agreement and employs at least 50 employees, the conditions for remuneration are set out in the remuneration regulations.

The remuneration regulations are laid down by the employer. If the employer has a trade union organisation, the employer agrees the remuneration regulations with it.

In the case of employers who do not have a collective bargaining agreement or remuneration regulations, the conditions for remuneration are laid down in contracts of employment.

Remuneration for work

The remuneration for work should be such as to correspond, in particular, to the following:

• the type of work carried out,

• the qualifications required for the performance of the duties,

• the quantity and quality of work.

Remuneration for the period of inactivity

Exceptionally, remuneration is payable when the employee does not work, and therefore for the period during which the work is not carried out. The right to remuneration in such a situation must be provided for in a provision of law (e.g. sick pay of up to 33 or 14 days per calendar year).

If the employee was ready to perform work and encountered obstacles in doing so that were attributable to the employer, they are entitled to remuneration for the period of inactivity. Such obstacles may, for example, be the failure of a machine or a break in the supply of electricity.

The employee retains the right to remuneration in the case of certain exemptions from work. This applies to exemptions for personal and family reasons (the employee or their child’s wedding, death of family members, birth of a child).

Sick pay

An employee retains the right to be remunerated for the period of incapacity for work due to sickness or confinement because of an infectious disease.

This remuneration is payable for this period, taking up a total of (per calendar year):

• up to 33 days; or

• up to 14 days in the case of an employee who has reached the age of 50 (employees who reached that age during the calendar year).

The amount of sick pay for the period of sickness is as follows:

• 80% of the remuneration,

• 100% of the remuneration in the cases of:

• accident on the way to or from work,

• illness during pregnancy,

• undergoing necessary medical examinations for donors of cells, tissues and organs and undergoing collection of cells, tissues and organs.

Periods of incapacity for work for a period longer than 33 or 14 days are eligible for a sickness benefit.

Basic remuneration

This is a fixed component of remuneration. This is a recurring periodic benefit (paid at least once a month).

Its amount is determined at the rate of personal pay grade.

The remuneration may be defined as:

• monthly, weekly or hourly rate (time-based remuneration),

• rate per product unit – piecework (remuneration for results), dependent on performance, e.g. on the number of products, services, contracts signed, etc.,

• commission.

Additional components of remuneration

They are components paid in addition to the base remuneration. Bonuses, prizes, commissions and allowances are distinguished.

Additional remuneration - allowances

These are the components of the remuneration to be paid in addition to the base remuneration. They may be fixed or variable.

The generally applicable provisions of the labour law provide, inter alia, for the following allowances:

• for overtime,

• for night work,

• compensating for a reduction in remuneration due to transfer to another job (pregnant women, employees who are unfit for work due to an accident at work or occupational disease).

The workplace remuneration regulations may include e.g. the following allowances:

• function-related,

• for seniority,

• for knowledge of foreign languages,

• for work under harmful, onerous and hazardous conditions.

Protection of remuneration for work

An employee may not renounce their remuneration for work or transfer that right to another person.

Limits for deductions from remuneration

Only the following are to be deducted from net remuneration (net of social security contributions, advance payments for personal income tax and also payments made to the employee capital plan if the employee has not resigned from them):

• sums enforced by virtue of enforcement titles for maintenance allowance,

• amounts enforced under enforcement titles for claims other than maintenance allowance,

• monetary advances granted to employees,

• pecuniary penalties provided for in the Labour Code.

Maintenance allowance is privileged. 3/5, or 60% of remuneration may be deducted for this allowance. In other cases, it is possible to deduct half of the remuneration for work.

An amount free from deductions has been established. It is the amount of the minimum wage.

However, in the case of maintenance allowance payments, the limitation to the amount of the minimum wage does not apply (there is no amount free form deductions).

If the deduction concerns advance payments, this limitation is 75% of the minimum wage. And in the case of pecuniary penalties, it is 90% of the minimum wage.

Deduction with the consent of the employee

Claims other than those indicated above may be deducted from the employee’s remuneration only with their consent. Such consent must be given in writing and must concern a specific and existing claim. The employee may withdraw their consent at any time.

In this situation, the remuneration for work free from deductions amounts to:

• the minimum wage for deductions of claims due to the employer,

• 80% of the minimum wage for deductions of other claims.

Payment of remuneration

As a rule, payment of remuneration takes place at least once a month, on a fixed and predetermined date.

The employer is required to pay remuneration at the place, date and time specified in the work regulations or in other provisions of the labour law or in the notice.

Remuneration for work is paid once a month in arrears as soon as its full amount is determined. However, this may not be done later than within the first 10 days of the following calendar month.

If the date on which the remuneration for work is payable is a holiday, the remuneration is paid on the day before.

Remuneration components payable to the employee for periods longer than 1 month are paid in arrears within the time limits laid down in the provisions of the labour law.

Failure to pay remuneration or other benefits under the employment relationship within the time limit necessitates payment of interest.

In principle, remuneration must be paid in monetary form.

Payment of remuneration may be made in a non-cash or cash form. The rule is that remuneration is paid to the payment account indicated by the employee. If the employee wishes to receive payment personally in the form of cash, they must apply to the employer in writing or in electronic form for such a payment method.

Other work-related benefits

Retirement benefit

Retirement benefit is payable to the employee:

• who meets the criteria for invalidity or retirement pension,

• whose employment relationship has ceased in connection with retirement.

This benefit is payable in the amount of 1 month’s remuneration.

Survivor’s allowance

Survivor’s allowance is paid by the employer to the family of the employee in the case of:

• death of the employee during the employment relationship, or

• after its termination, during collection of allowance for incapacity for work because of illness.

The survivor’s allowance is paid to a spouse or other family members of the employee who satisfy the conditions required to receive family pension. Its amount depends on the period of employment of the employee by the employer concerned.

Minimum wage

The employee is entitled to minimum wage for work.

The minimum wage in Poland is a nationwide category. It is not subject to differentiation according to the region, industry, economic sector, professional group or skills.

The fixed minimum wage level for employees takes the form of a monthly rate (it may be converted to an hourly rate).

The minimum wage includes all the employee’s remuneration components and other benefits arising out of the employment relationship. It takes into account not only the base remuneration, but also other components of remuneration, including bonuses and awards.

However, the minimum wage does not include:

• anniversary award,

• retirement benefit,

• seniority allowance,

• overtime pay,

• allowance for night work.

The minimum wage in 2020 is PLN 2 600 for each month.

Minimum hourly rate

The minimum hourly rate applies to work carried out on the basis of the following civil law contracts:

• contracts of mandate,

• service contracts to which mandate provisions apply.

Both entrepreneurs and other organisational units (e.g. public institutions, government administration units) are required to pay the minimum hourly rate.

This rate does not apply to contracts between natural persons who do not pursue economic activity.

The minimum hourly rate does not apply to certain contracts as laid down in the Act on minimum wage. Exception includes specific contracts on providing care for one or more persons, as well as contracts where place and time of performing instructions or providing services is set by the person employed and the remuneration is defined as commission only.

The minimum level of remuneration for civil law contracts is subject to special protection:

• the payment must be made in monetary form,

• in the case of contracts concluded for a period longer than 1 month, remuneration resulting from the amount of minimum hourly rate is paid at least once a month,

• renouncement of the right to that remuneration and its transfer to another person is prohibited,

• it is protected against enforcement in accordance with the principles laid down in the Code of Civil Procedure.

The minimum hourly rate, as well as the minimum wage, is a nationwide category. It is not subject to differentiation according to the region, industry, economic sector, professional group or skills. 

 

NAME OF THE ENTITY RESPONSIBLE FOR THE CONTENT OF THE INFORMATION

Ministry of Economic Development, Labour and Technology

Department of Labour Low

email: sekretariat.dpr@mrips.gov.pl