A major amendment concerning employment
contracts as made to the provisions of the Labour
Code is scheduled to come into effect on 22
February 2016. The key modification is to restrict
the number of employment contract types to three
(instead of four as it is now). Namely, the new
wording of Art. 25 of the Labour Code introduced
under the amendment act provides for the
following types of contracts: an employment
contract for an indefinite term, contract for a
definite term, and a trial period contract. As we
can see, the legislators have eliminated a
temporary employment contract for the duration of
a specific job (umowa na czas wykonywania
określonej pracy).
Furthermore, the amendment act defines in greater
detail the rules for concluding trial period
employment contracts. Art. 25 § 2 of the Labour
Code in its wording to come into effect on 22
February 2016 expressly stipulates that contracts
of this type are entered into for the purpose of
testing
an
employee’s
qualifications
and
ascertaining their possible engagement to perform
specific type of work. In principle, such contracts
may be concluded only once. However, if an
employee were to be hired again to perform another type of work, such new engagement could
also be preceded by the conclusion of another
employment contract for a trial period. Following
the trial period, which must not exceed three
months, a definite term contract or a contract for
an indefinite term may be entered into. The option
of concluding a trial period contract is also
available if there has been a three-year
interruption in employment with the employer in
question.
Major changes will also be made to the provisions
regulating the conclusion of definite term
contracts. The maximum duration of employment
contracts for a definite term is to be 33 months.
Likewise, the combined time of employment under
several definite term contracts must be no longer
than 33 months, with the number of consecutive
contracts being limited to three. In the event that
at least one of these limits is exceeded, the
employment contract for a definite term is
automatically transformed into an indefinite term
contract. If during the term of an employment
contract for a definite term it is agreed to extend
the time of performing work, this will be
tantamount to the conclusion of a new
(consecutive) definite term contract.
The above-described limits restricting employment
under definite term contracts will not apply to any
contract entered into: (1) with the purpose of
providing replacement for employees during
justified absence from work, (2) for performing
work of a temporary or seasonal nature, (3) for
performing work during a term of office, (4) for
objective reasons on the employer’s side that have
been indicated by the latter. However, these
exceptions will only be allowed if the conclusion of
a contract in a specific case meets real needs of
temporary nature and to the extent necessary in
the light of all the circumstances of making such
contract. In such cases, the employment contract
must include the reasons providing objective
justification for its conclusion. Furthermore, when
a definite term employment contract indicating
objective reasons for it on the employer’s side is
entered into (point (4) above), the employer will be
required to notify it to the competent Regional
Labour Officer. Failure to comply with this
obligation will be deemed an offence against
employee rights and be penalised with a fine of PLN
1000 up to PLN 30000.
The amendment act also modifies the rules for
terminating employment contracts. As from its
effective date, consistent periods of notice will
apply to both indefinite and
definite term
contracts, with the length contingent on the period
of employment at the particular employer. These
periods of notice are 2 weeks for 6 months of
employment or shorter; 1 month for at least 6
months of employment; and 3 months for at least 3
years of employment.
Finally, it is worthwhile to draw attention to
transitional provisions. The current regulations will
continue to apply to employment contracts for a
definite term that remain in effect on the date of
entry into force of the amendment act but have
been terminated prior to that date. The permissible
termination of definite term employment contracts
that are continuing on the effective date of the
amendment will be subject to the existing
provisions if such contracts were concluded for
periods of up to 6 months or for more than six
months in the case that such contracts do not
provide for termination with a 2-week period of
notice. As regards termination of definite term
employment contracts concluded for more than 6
months, which provide for termination with a 2-
weeks’ notice period and remain in force as of the
effective date of the amendment act, the
applicable periods of notice will depend on the
period of employment at the relevant employer (as
defined in Art. 36 § 1 of the Labour Code in the
amended wording). For specific term contracts, the
limits stipulated in the amendment act regarding
their acceptable duration (33 months) and
permissible number (3 contracts) will apply.
However, only the length of service since the entry
into force of the amendment act will be taken into
account in the calculation of these limits. A
definite term contract that is continuing as of the
amendment effective date will be considered as the
first or second contract within the meaning of Art.
251 in its current wording. A contract of
employment for a definite term that is concluded
as from the effective date of the amendment act,
but within one month from the date of notice for
the second contract as defined in Art. 251 of the
Labour Code in its current wording, is deemed an
employment contract for an indefinite term if such
period of notice started either before or on the
date of entry into force of the amendment.
MILLER, CANFIELD,
W. BABICKI, A. CHEŁCHOWSKI I WSPÓLNICY SP.K.
ul. Batorego 28-32
81-366 Gdynia
Tel. +48 58 782-0050
Fax +48 58 782-0060
gdynia@pl.millercanfield.com
ul. Nowogrodzka 11
00-513 Warszawa
Tel. +48 22 447-4300
Fax +48 22 447-4301
warszawa@pl.millercanfield.com
ul. Skarbowców 23a
53-125 Wrocław
Tel. +48 71 780-3100
Fax +48 71 780-3101
wroclaw@pl.millercanfield.com
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certain recent legal developments of selected areas of law. For this reason the information contained in this publication should not form the basis of
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