Polish Ministry of Labor clarifies position on benefit indexing for agreements signed before June 2025.
New Labor Law Replaces Previous Regulations
The law of March 20, 2025 on the labor market and employment services (Journal of Laws of 2025, item 620 as amended), which took effect on June 1, 2025, replaced the Act on Employment Promotion and Labor Market Institutions. The new regulations changed, among other things, the rules for implementing socially useful work, including the maximum period of their duration and the method of determining the amount of benefits for the unemployed.
Dispute Over Interpretation of Indexing Rules
According to the authors of the interpellation – Małgorzata Gromadzka and Bożena Lisowska – signals from local governments and county labor offices began to reach parliamentary offices, pointing to discrepancies in the interpretation of regulations concerning the indexing of benefits for socially useful work implemented under agreements concluded before June 1, 2025.
Ministry’s Position on Benefit Calculation
In response to the interpellation, Minister Agnieszka Dziemianowicz-Bąk emphasized that agreements regarding the organization of socially useful work signed before this date are still implemented under the provisions of the repealed Act on Employment Promotion and Labor Market Institutions. At the same time, the ministry indicated that the amount of benefits should be determined according to the rates in force on May 31, 2025, as no indexing took place on June 1, 2025.
Ministry’s Argument Against Indexing
The Ministry argues that with the entry into force of the new law, no mechanism was introduced for indexing benefits for socially useful work. In the ministry’s view, this means that although the provisions of the repealed law are still applied to agreements concluded before June 1, 2025, these benefits are no longer subject to increase.
Parliamentarians Disagree with Ministry’s Interpretation
The authors of the interpellation do not agree with this approach, pointing to the transitional provisions of the new law. According to Article 435(1) of the Act on the Labor Market, contracts and agreements concluded before its entry into force are performed on the basis of the existing regulations. They argue that this means that the previous regulations, including those concerning the indexing of benefits, should still be applied to earlier agreements.
Legal Basis for Indexing Under Previous Law
The Act on Employment Promotion and Labor Market Institutions provided for an indexing mechanism. According to Article 73a in connection with Article 72(6) of this Act, the benefit for performing socially useful work is indexed on June 1 of each year, based on the average annual price index for consumer goods and services as a whole, announced by the President of the Central Statistical Office in the Monitor Polski.
Statistical Data Supports Indexing Argument
The interpellation reminded that the GUS President’s announcement regarding the average annual price index for 2024 was published on January 20, 2025, which – in the opinion of the MPs – met the conditions for indexing benefits on June 1, 2025.
Ministry Maintains Position
Despite these arguments, Minister Agnieszka Dziemianowicz-Bąk maintained the ministry’s position in response to the interpellation and informed that currently no legislative work is planned to change the regulations concerning socially useful work.
Overview of Socially Useful Work
Socially useful work is a form of support for unemployed persons without the right to unemployment benefits, who simultaneously receive social assistance benefits. They are organized by municipalities – among others in social assistance units, social economy entities, charitable organizations, and educational institutions.
Implementation and Funding
The performance of socially useful work takes place on the basis of an agreement concluded between the starosta and the wójt or burmistrz or prezydent miasta. The starosta reimburses the municipality from the Labor Fund up to 60% of the paid benefit, and in the case of directing an unemployed person to perform socially useful work for the benefit of guardians of persons with disabilities – even up to 100%.
