Despite protections for workers nearing retirement, Polish law allows for termination under specific circumstances, including bankruptcy and disciplinary action.
Employer Bankruptcy or Liquidation
An employer can terminate an employment contract during the pre-retirement protection period if the company declares bankruptcy or undergoes liquidation. In such cases, articles 38, 39, and 41 of the Polish Labor Code, as well as other special regulations protecting employees from dismissal, do not apply.
Disciplinary Dismissal During Protected Period
Pre-retirement protection does not apply to termination without notice due to employee fault, known as disciplinary dismissal. Employers can only use this method in situations specifically defined in the Labor Code, such as instances of misconduct.
Under Article 52 § 2 of the Labor Code, such a dismissal cannot occur more than one month after the employer becomes aware of the grounds for termination. This timeframe is often referred to as “immediate.”
Employers are also obligated to consult with the employee’s works council, providing the reason for the dismissal. The council can raise objections and must provide its opinion within three days.
Dismissal Due to Prolonged Employee Absence
While the Labor Code largely protects employees, it also provides solutions to safeguard employer interests. One such solution is the ability to terminate a contract without notice due to prolonged employee absence.
An employer can terminate an employment contract without notice if an employee is unable to work due to illness for a period of:
1) More than three months.
2) In the case of justified absence for reasons other than illness, lasting longer than one month.
However, termination is prohibited if the employee is absent due to childcare (during benefit receipt) or due to quarantine for a contagious disease (during wage and benefit receipt). Termination is also prohibited if the employee returns to work immediately after the reason for absence ceases.
Crucially, Article 53 of the Labor Code includes provisions requiring employers to re-hire employees within six months of termination, if they return to work promptly after the reason for absence is resolved, and if the employer has available positions.
Changes to Employment Terms
Another situation allowing for contract termination within the four-year pre-retirement period is an employee’s refusal to accept new working conditions or pay proposed in a modifying notice of termination. Under Article 42 of the Labor Code, employers can propose new terms of employment in writing.
If the employee does not accept these terms, the employment contract is terminated upon the expiration of the notice period. Failure to object before half of the notice period expires is considered acceptance, provided the employer included a relevant warning in the written proposal. Otherwise, the employee can refuse until the end of the notice period.
For employees under pre-retirement protection, the use of a modifying notice of termination is further restricted. According to Article 43 of the Labor Code, it is permissible only if the changes are due to economic reasons, organizational changes, or the introduction of new technologies.
