Excessive Fines for Labor Offenses Under Constitutional Court Review

The Polish President has referred legislation increasing fines for employers to the Constitutional Court, raising questions about penalties reaching up to 90,000 PLN.

Fines for Employer Offenses: Amounts from 2026

Higher fine amounts for offenses specified in the labor code apply from July 8, 2026. Previously, the fine range was from 1,000 to 30,000 PLN, and in extreme cases up to 45,000 PLN. Following the changes, fines can range from 2,000 to 60,000 PLN, and for certain offenses up to 90,000 PLN. These changes were introduced by the act strengthening the powers of the National Labor Inspectorate.

Referring these regulations to the Constitutional Court does not mean they have ceased to apply. What offenses put employers at risk of such penalties?

When Do Contracts and B2B Agreements Risk Fines?

Generally, a fine threatens the employer or a person acting on their behalf. A fine is imposed on an employer who concludes a civil law contract under conditions where, pursuant to Article 22 § 1 of the labor code, an employment contract should have been concluded, meaning a situation where the employee works at a specified place, time, and under the management of the hiring entity.

The new National Labor Inspectorate regulations introduced the possibility for a district labor inspector to determine that a given legal relationship is an employment relationship. In addition, the employer or a person acting on their behalf may be sentenced to a fine.

Prohibition of Worsening Situation After Labor Inspectorate Decision

It is also punishable to violate the new prohibition referred to in Article 34 paragraph 2l of the Act of April 13, 2007, on the National Labor Inspectorate. According to this provision, the issuance of a decision stating the existence of an employment relationship cannot be the basis for any unfavorable treatment of the employee, especially the termination of the employment relationship by the employer.

When Must the Labor Inspectorate Be Notified About Fixed-Term Contracts?

A fine is also imposed for failing to notify the competent district labor inspector, in writing or electronically, of the conclusion of an employment contract along with the indication of the reasons for concluding such a contract. This concerns concluding a subsequent fixed-term contract with an employee after exceeding the limit of 3 contracts or 33 months.

It is necessary to notify the district labor inspector within 5 days of concluding the contract.

Oral Employment Contract: Confirming Terms

Generally, an employment contract may be concluded orally. However, in such a case, before admitting the employee to work, the employer must confirm the terms of this contract in writing. Failure to provide such confirmation exposes the employer to a fine.

Employment Information and Responses to Employee Requests

An offense punishable by a fine is also the lack of information for a new employee regarding their employment conditions and a gross violation of relevant legal provisions. Fines also apply for failing to provide an employee in a timely manner with a response to a request for a more predictable and secure employment form, or failing to inform them of the reasons for refusal.

Gross Violations in Contract Termination

An employer may also be found guilty of an offense when terminating an employment contract without notice while grossly violating labor law provisions. In this case, the definition of a gross violation is crucial, rather than the mere fact that the employer dismissed someone and a court found it unjustified.

Permissible Order Penalties for Employers

A fine from 2,000 to 60,000 PLN also threatens an employer who applies penalties to employees other than those provided for in labor law regulations regarding employee order responsibility. According to the labor code, an employer may only impose a reprimand, admonition, or financial penalty.

Parental Rights, Juveniles, and Flexible Work Organization

An employer who violates working time regulations or provisions regarding the rights of employees connected with parenthood and the employment of juveniles can be sentenced to a fine. Punishable offenses also include violations of regulations concerning flexible work organization, caregiver’s leave, and the processing of relevant employee requests.

Employee Training Costs Covered by Employers

A penalty is also provided for violating regulations concerning the employer’s coverage of training costs on the principles specified in Article 9413 of the labor code. Training ordered by a superior must take place at the employer’s expense and, as far as possible, during the employee’s working hours.

Maintenance Debtor: Lack of Written Contract Confirmation

If an employer does not confirm the employment conditions in writing for a maintenance debtor with whom they concluded an oral contract, they are subject to a fine ranging from 3,000 PLN to 90,000 PLN.

Salary Payments: Underpayment, Deductions, and Maintenance

A person who underpays a salary, or contrary to their obligation pays a maintenance debtor a salary higher than that resulting from the concluded employment contract without making deductions for the satisfaction of maintenance benefits, is subject to an increased fine ranging from 3,000 PLN to 90,000 PLN.

Vacation Leave and Work Certificates

A fine is also imposed on a person who does not grant an employee their due vacation leave or groundlessly reduces the scope of this leave, specifically meaning the refusal to grant leave to the employee at all.

Occupational Health and Safety Violations

Anyone responsible for the state of occupational health and safety or managing employees who fails to observe OHS regulations or rules is subject to a fine ranging from 2,000 PLN to 60,000 PLN. The provision is broad, and Article 283 § 2 of the labor code details specific violations subject to penalties.