Poland - Compensation & Benefit Legislation
CAPITAL
Warsaw
CLIMATE
Temperate with cold, cloudy, moderately severe winters with frequent precipitation. Mild summers with frequent showers and thundershowers.
LANGUAGES
Polish
LEGAL SYSTEM
Mixture of Continental (Napoleonic) civil law and holdover communist legal theory with changes being gradually introduced as part of broader democratization process. Limited judicial review of legislative acts although under the new constitution, the Constitutional Tribunal ruling will become final as of October 1999. Court decisions can be appealed to the European Court of Justice in Strasbourg.
CURRENCY
Polish Zloty (1 USD = 4.22960 PLZ as of March 1, 2002)
POLAND - COST-OF-LIVING
ERI's Relocation Assessor is a recommended source for cost-of-living data.
POLAND - EMBASSY/CONSULATES
U.S. Embassy at Warsaw
Aleje Ujazdowskie
29/31 00-054
Warsaw, Poland
Telephone: [48] (22) 628-3041 or 625-0055 (after hours)
Fax: [48] (22) 628-8298
U.S. Consulate at Krakow
Ul. Stolarska 9
31-043 Krakow, Poland
Telephone: [48] (12) 424 51 00
Fax: [48] (12) 421 51 03
Embassy of Poland at Washington D.C.
2640 16th Street N.W.
Washington D.C. 20009
Telephone: (202) 234 3800
Fax: (202) 328-6271
POLAND - HOLIDAYS
New Year's Day
Easter
Easter Monday
Labor Day (May 1st)
Constitution Day (May 3rd)
Corpus Christi
Assumption
All Saints' Day
Independence Day (November 11th)
Christmas
Boxing Day
POLAND - LEAVE
Annual Leave: Minimum 18 days vacation leave each year.
Maternity Leave: 16-18 weeks – 100% of pay (paid for by social security).
Sick Leave: 35 days per year – 80% of pay (paid by employer). After 35 days, social security pays a sickness allowance.
POLAND - MINIMUM AGE
The law contains strict legal prescriptions about the conditions under which children may work. The Labor Code forbids the employment of persons under the age of 15.
Children between the ages of 15 and 18 may be employed only if they have completed primary school and if the proposed employment constitutes vocational training and is not harmful to their health. The age requirement rises to 18 years if a particular job might pose a health danger.
(Section 6.d. Acceptable Conditions of Work, Poland– Report of Human Rights Practices, 2001, U.S. Department of State.)
POLAND - MINIMUM REMUNERATION
The Ministry of Labor, the unions, and employers' organizations negotiate a revised national minimum wage every 3 months. The minimum monthly wage in state-owned enterprises is approximately $180.00 (760 PLN), which constitutes a 10 percent increase over 2000 figures. The national minimum wage does not provide a decent standard of living for a worker and family.
(Section 6.e. Acceptable Conditions of Work, Poland – Report of Human Rights Practices, 2001, U.S. Department of State.)
POLAND - REMUNERATION
ERI's Geographic and Salary Assessors are recommended sources for international remuneration covering 189 countries.
POLAND - REPORT OF HUMAN RIGHTS PRACTICES (2001, U.S. DEPARTMENT OF STATE)
Section 6 Worker Rights
a. The Right of Association
The law provides that all workers, including civilian employees of the Armed Forces, police, and frontier guards have the right to establish and join trade unions of their own choosing, and workers exercised these rights. The law sets minimum size requirements for establishing a trade union: 10 persons may form a local union, and 30 may establish a national union. Unions, including interbranch national unions and national interbranch federations, must be registered with the courts. A court decision refusing registration may be appealed to an appeals court. The existing law does not give trade unions the freedom to exercise their right to organize all workers. For example, workers on individual contracts cannot form or join a trade union. In state-owned enterprises, such as the health sector, water, and forestry, there have been cases in which workers have had their normal employment contract terminated and replaced by an individual contract that takes away the rights they used to enjoy as permanent employees.
In 2000 the number of officially registered national-level unions remained at approximately 360, about the same as in 1999. No precise data exists on work force unionization, although according to press reports, 7 percent of the total workforce are members of trade unions.
As a rule, newly established small- and medium-sized firms were nonunion, while union activity in most cases carried over into privatized (former state-owned) enterprises. In September Solidarity, the largest union in the country, established a local chapter in the Geant supermarket in Warsaw. The Independent Selfgoverning Trade Union (NSZZ) Solidarity has a verified regular dues-paying membership of approximately 1 million. Small spin-offs from mainstream Solidarity include the rival factions Solidarity '80 (250,000 members), August '80, and the Christian Trade Union Solidarity (Popieluszko). There are no reliable estimates of membership in the latter two unions.
The other principal national unions are those affiliated with the All-Poland Trade Union Alliance (OPZZ), the formerly Communist-aligned confederation established in 1984 as the sole legal alternative to then-outlawed NSZZ Solidarity, and its teachers' affiliate, the Polish Union of Teachers (ZNP). The OPZZ reports that its membership has grown to approximately 1.7 million, but this figure is unverified, and independent sociological surveys suggest that its regular dues-paying membership is considerably less than Solidarity's. A survey found that Solidarity represents approximately 7.6 percent of all Polish workers; while the OPZZ represents only 3.6 percent (one estimate put OPZZ membership at approximately 700,000 to 800,000 workers). According to a 1999 study by the State Labor Inspectorate, out of some 27,000 local union organizations, Solidarity had 13,000 organizations, the OPZZ had 11,000 organizations, and Solidarity '80 had 320 organizations. Numerous smaller unions also exist.
During 2001, trade unions took a lower profile in politics. In May Solidarity withdrew from the then-ruling government coalition. In the September elections, significantly fewer union leaders ran for Parliament than in the 1997 parliamentary elections. Under the 1997 Constitution, trade unions themselves may no longer conduct political campaigns, although their members may run as political party candidates may.
Unions have the right to strike except in "essential services"--uniformed services, state administration, and local government--where they only have the right to protest; however, labor leaders complain that the 1991 Act on Collective Dispute Resolution prescribes an overly lengthy process before a strike may be called. Employers consider the law too lenient, since a vote of only one-quarter of the workforce can call a strike. As a result, a majority of strikes are technically "illegal" because one or both of the sides do not follow each step exactly as required by law. Labor courts act slowly on deciding the legality of strikes, while sanctions against unions for calling illegal strikes, or against employers for provoking them, are minimal. Arbitration is not obligatory and depends on the agreement of disputing parties. Unions allege that laws prohibiting retribution against strikers are not enforced consistently and that fines imposed as punishment are so minimal that they are ineffective sanctions to illegal activity. Workers who strike in accordance with the law retain their right to social insurance but not to pay. However, if a court rules a strike "illegal," workers may lose social benefits, and organizers are liable for damages and may face civil charges and fines. The social partners (unions, employers, and the Government) continued to work out ambiguities in dispute resolution mechanisms provided for in the Labor Code.
Unions have the right by law to join labor federations and confederations and to affiliate with international labor organizations. Independent labor leaders reported that these rights were observed in practice. Solidarity is a full member of the International Confederation of Free Trade Unions (ICFTU), the World Confederation of Labor, and the European Trade Union Confederation.
b. The Right to Organize and Bargain Collectively
The law provides for and protects enterprise-level collective bargaining over wages, and working conditions increasingly characterized the labor relations system. The Tripartite Commission (unions, employers, and the Government), chaired by Labor Minister Jerzy Hausner, is the main forum that determines national-level wage and benefit increases in such politically sensitive areas as the so-called budget sector (health, education, and public employees), while rendering opinions on pension indexation, energy pricing, and other important aspects of social policy. The Commission serves as an important forum in which the social partners air differences, discuss grievances, and often negotiate agreements before problems erupt into social conflict.
The law on collective bargaining does not require union membership figures to be verified or based on dues-paying members in order for unions to be considered "representative" negotiating partners for management and government. Solidarity protested some unions' (largely OPZZ affiliates) participation in negotiations with the Government on the grounds that their membership figures remain unproved.
Many disputes have arisen because of the weakness of the employer side of the union/employer/Government triangle. Key state sector employers (largely in heavy industry and the budget sector) remained unable to negotiate independently with organized labor without the extensive involvement of central government ministries to which they are subordinate, although the Government repeatedly stated that its intention was not to be drawn into labor disputes. This weakness complicated and politicized the Government's labor relations system. Claiming that the Government was refusing seriously to discuss labor issues with it, the OPZZ suspended participation in the commission in April 1999 and stayed away throughout the year; however, since the formation of the new Government in October, OPZZ has participated in the commission.
The law provides for parties to take disputes first to labor courts, then to the prosecutor general, and, in the last resort, to the Supreme Court. In a typical year, Solidarity takes several thousand cases to labor courts, several hundred to the Prosecutor General, and dozens to the Supreme Court for resolution. In an overwhelming majority of these cases, the courts ordered employers to correct practices or reinstate dismissed workers, or ordered unions to reimburse employers for activity found to be illegal. However, penalties are minimal and are not an effective deterrent.
The law prohibits antiunion discrimination; however, labor leaders report that employers discriminate against workers who attempt to organize or join unions, particularly in the growing private sector. The law also has not prevented employer harassment of union members for labor activity; there were unconfirmed reports that some employers sanction employees who try to set up unions. The ICFTU alleges that the sanctions provided in the law against acts of antiunion discrimination are not sufficiently dissuasive.
There are no export processing zones.
c. Prohibition of Forced or Compulsory Labor
The law prohibits forced or compulsory labor; however, trafficking in women is a problem (see Section 6.f.).
The law prohibits forced and bonded labor by children; however, trafficking in children was a problem (see Section 6.f.).
d. Status of Child Labor Practices and Minimum Age for Employment
The law contains strict legal prescriptions about the conditions under which children may work. The Labor Code forbids the employment of persons under the age of 15. Those between the ages of 15 and 18 may be employed only if they have completed primary school and if the proposed employment constitutes vocational training and is not harmful to their health. The age requirement rises to 18 years if a particular job might pose a health danger.
The State Labor Inspectorate (PIP) reported that increasing numbers of minors work, and that many employers violate labor rules in employing them (by underpaying workers, paying them late). Inspectors found violations on stud farms, in restaurants, and, in some instances, in small private sector businesses and factories. Sanctions for the illegal employment of children range from warning letters to orders to cease the work of underage employees. These orders can be enforced through the police to demand the transfer of underage employees or shut down all or part of the offending workplace, or, working through the Ministry of Labor, to impose fines ranging from $5 to $125 (20 to 500 PLN) per offense. Cases may also be referred to an administrative tribunal, which can levy fines of up to $1,250 (5,000 PLN). Jail sentences may be imposed if the infractions are serious enough; such cases generally involve serious injury or death. In 1999 the last year for which figures are available, the PIP conducted 1,494 investigations involving some 12,000 possible underage employees. Fines were levied in 417 of these cases, amounting to approximately $35,000 (140,000 PLN).
The Government has not ratified the International Labor Organization Convention 182 on the Worst Forms of Child Labor.
The law prohibits forced and bonded child labor; however, trafficking in children was a problem (see Section 6.f.).
e. Acceptable Conditions of Work
The Ministry of Labor, the unions, and employers' organizations negotiate a revised national minimum wage every 3 months. The minimum monthly wage in state-owned enterprises is approximately $180.00 (760 PLN), which constitutes a 10 percent increase over 2000 figures. The national minimum wage does not provide a decent standard of living for a worker and family. A large percentage of construction workers and seasonal agricultural laborers from the former Soviet Union earn less than the minimum wage. The large size of the informal economy and the small number of state labor inspectors make enforcement of the minimum wage very difficult. As long as unemployment remains high, workers often agree to inferior working conditions and lower pay in order to find or keep their jobs.
The standard legal workweek is 42 hours, which allows 6- or 7-hour days, including at least one 24-hour rest period. The law requires overtime payment for hours in excess of the standard workweek.
The Labor Code defines minimum conditions for the protection of workers' health and safety. Provisions are strict and extensive; however, enforcement is a major problem because the PIP is unable to monitor the state sector sufficiently, or the private sector, where a growing percentage of accidents take place. In the 41,011 work-related accidents reported during the first 6 months of 2000, 277 individuals were killed and 602 seriously injured. The Government's Central Statistical Office reported that most accidents were in the public sector, while most serious accidents were in the private sector, where proportionally more deaths also occurred. Solidarity contends that the problem lies not in the law, which establishes safe standards, but in enforcement, because employer sanctions for illegal behavior are minimal. Standards for exposure to chemicals, dust, and noise are exceeded routinely. In addition there is a lack of clarity concerning which government or legislative body has responsibility for enforcing the law. The PIP may shut down workplaces in which it finds unsafe conditions. In 1999, the last year for which figures are available, there were 16 shutdowns in workplaces. Workers may remove themselves from dangerous working conditions without losing their jobs, but there were reports that fears of such loss prompted some to stay on the job.
The National Unemployment Office estimates that as many as 100,000 to 150,000 foreigners are working illegally in the country. Other estimates range from 250,000 to 1.5 million persons, the majority working in jobs and for wages that are deemed unacceptable to citizens. Most of the illegal residents come from the countries of the former Soviet Union, Sri Lanka, and Afghanistan, although an increasingly larger number are coming from Southeast Asia, particularly Vietnam. The country's relatively strong economic growth and its status as an EU candidate country mainly are responsible for this phenomenon.
f. Trafficking in Persons
The law prohibits trafficking in persons; however, Poland is a country of origin, transit, and destination for trafficked persons, primarily women and girls and to a lesser extent boys. Since statistics on prostitution do not distinguish victims of trafficking from those willfully engaged in prostitution, escort services, pornography and other aspects of the sex trade, the scope of the trafficking problem is difficult to define. The international NGO La Strada estimated that approximately 60 percent of foreign women who worked as prostitutes in the country are victims of trafficking.
Poland is a source, transit, and destination country for the trafficking of women and girls. Polish women
and children are trafficked to western European countries such as Germany, the Netherlands, Belgium, and
Switzerland for sexual exploitation. A press report from August 2000 states that each year several hundred
Polish boys also are victims of trafficking.
Victims are trafficked through such means as fake employment offers, arranged marriages, fraud, and
coercive measures. Many believe that they are accepting employment as waitresses, maids, or nannies abroad.
While they are en route to what they believe to be their destinations, their passports and identity papers
are taken away from them. Stripped of their personal identity, the women and girls are kept under the
control of the traffickers through fear and intimidation. They are required to serve a minimum number
of clients each day in order to earn their keep. They are threatened with violence, and those who resist
are raped or beaten. If they try to flee, their legs may be broken. There are also reports of victims
being killed by their traffickers.
Several provisions in the Criminal Code specifically address the problem of trafficking. The law prohibits trafficking in human beings and pimping and imposes sentences of up to 10 years on those convicted. It also bans recruiting or luring persons into prostitution; penalties for this offense are also up to 10 years. The most severe sentences are reserved for individuals trafficking in children and those luring women into prostitution abroad. In 1998 statutes on trafficking were revised.
POLAND - SOCIAL SECURITY
Social Security Office of International Programs:
http://www.ssa.gov/SSA_Home.html
POLAND - STANDARD WORKWEEK
The standard legal workweek is 42 hours, which allows 6- or 7-hour days, including at least one 24-hour rest period. The law requires overtime payment for hours in excess of the standard workweek.
(Section 6.e. Acceptable Conditions of Work, Poland – Report of Human Rights Practices, 2001, U.S. Department of State.)