sign pen business document

The new labor code is one of the few unfulfilled announcements of the PiS government so far. Work on the changes started quickly, but we didn’t get to see the new Labor Code by the end of 2020.

A new labor code as of 2021 – what changes?

A serious amendment has already been announced. It is to regulate the rules of remote work, which, after the experience of the Coronavirus, will permanently appear to a large extent as an important form of work – at least in many industries.
For now, new norms concerning this issue have been included in quickly passed COVID acts (the so-called shield laws). However, they regulate the rights and obligations of employees and employers only under special conditions, such as various restrictions and limitations related to the state of the pandemic.

person pointing at black and gray film camera near macbook pro
Photo by Element5 Digital on Pexels.com

Will outstanding leaves be lost?

No, in the current legal situation, nothing is lost. It is true that the provisions of the Labor Code require the use of leave for the previous year, e.g. for 2020 until the end of September of the next year (September 30, 2021), but if the employee does not use the leave, he cannot be subject to any sanctions. The statute of limitations applies to the full extent of this.
For the employer it is different – this provision is binding on him and if the work inspection finds unused holidays after September 30, he can punish him for it.

Outstanding Vacations – taken by 30th September!

Consequently, the employer has the right to send the employee on an outstanding vacation before September 30, and then the employee must take the vacation. And that’s the only ailment.


There is no indication that this provision would change in principle. Let us recall that the proposals of the labor law codification committee regarding employee leaves contained two basic solutions:

  1. Equal leave for all employees; currently the length of leave depends on the length of service. 
  2. The “deadline” of leave not taken until the end of the year, but only in the sense that it could no longer be used in kind. It would be recorded in a special register with the employer’s right to use it in a compulsory manner for the employee, e.g. during downtime in the company. The cases in which the leave not taken until the end of the year could be redeemed in the form of an equivalent paid to the employee in cash would also be kept to a minimum.
    A similar fate would, moreover, meet the remuneration for overtime work. Today it is paid in cash, in the new labor code it would be entered into the records and this virtual money would be used by the employer, for example, to pay for downtime, etc.

It has already been decided – the law has been passed and published. People who obtain rental income and decide to tax them with a flat rate on recorded income will finally have a clear situation. Only 3 parameters are important for them: the rate of 8.5%, the rate of 12.5%. and the threshold of annual rental income – 100 thousand. PLN.

These solutions, however, have not been introduced in any form to the labor law, although changes in the rules for granting holiday leaves and settling working time, especially overtime, are being discussed all the time – for example, due to the need to adapt many provisions of Polish labor law to the regulations Union.

icra iflas piled book
Photo by Pixabay on Pexels.com

New Labor Code 2021. Regulations to be changed by 100%

The changes to the 2021 Labor Code announced by the Ministry of Labor relate to remote work and will probably be a more complete and targeted regulation of remote work.

Until now, it was believed that teleworking would play this role; teleworking is regulated in great detail in the currently binding labor code; the code contains definitions, suggestions for an employment contract in the form of telework, rights, and obligations of the employee and the employer in the event of concluding an employment contract in the form of telework.
However, remote work is not the same. As a consequence, a draft act amending the Labor Code was prepared. The current provisions on teleworking are to replace the new provisions on remote work. They will certainly enter into force in the Labor Code 2021.
They will regulate in detail the principles of performing employee duties outside the company – both permanently and in a way that combines work in the company with work outside the company (the so-called hybrid model).

Main Changes in the Labor Code

Just to sum things up, here are the main changes to the labor code:

  • higher fines for employers hiring alimonists
  • obligation to record contracts for specific work
  • extending the validity of periodic and initial employee examinations
  • home office regulations – remote work
  • changes in holiday leaves
  • increase in the minimum wage

Changes in the Labor Code took place in 2020 in connection with the COVID-19 pandemic. Some of them have already entered into force, some of the changes are still waiting to be implemented.

apple devices books business coffee
Photo by Serpstat on Pexels.com

Home Office Regulations

Remote work will be regulated in detail in 2021. So far, it has not been decided whether the employer may compulsorily delegate an employee to work remotely, who would be responsible for any accidents at work.

The main assumptions of the project include the matter of agreeing it between the employer and the employee (whether it may be compulsory), the place of its performance (completely or partially outside the company) and the issue of its voluntary nature (whether the employer has the right to send the employee to the home office).

Changes in the Holiday Leaves

In accordance with the labor code in force, the outstanding leave should be granted no later than September 30 of the following calendar year. In turn, the “COVID” act allows the employer to compulsorily send an employee on overdue leave.

Therefore, in 2021, changes in the labor code regarding annual leaves can be expected. 

abundance bank banking banknotes
Photo by Pixabay on Pexels.com

Increase in the Minimum Wage!

At the beginning of 2021, the lowest national salary changes. The government decided that people working full-time cannot earn less than 2,800 PLN gross, i.e. 1,920.62 PLN. Along with the increase in the lowest national rate, the allowances or severance pay will also increase.

Let me know what you think of the changes in the comments section below!

All the best from yours truly,

The Twisted Red LadyBug brining you #PolishNews 🙂 fresh from the oven!

Share: