Minimum wage vs. average
The first concerns the introduction of an indicative reference of the minimum wage to the average wage in the national economy.
“Under Article 5(4) of the Directive, Member States are required to assess the adequacy of the minimum wage. To this end, they must select one or more indicative reference values at international or national level which they should strive to achieve. The Directive leaves it to Member States to choose the number, type and level of indicative reference values. The indicative reference value is intended to assess the adequacy of the minimum wage and the Directive does not require its implementation,” we read in the justification for the act.
The Polish government wants the minimum wage to be 55% of the average projected salary in the national economy, adopted for the development of the draft budget law.
Important
The projected average wage in 2025 will be PLN 8,579 and the minimum wage will be PLN 4,626. Using the mechanism adopted in the proposed law, it should amount to PLN 4,718.45 gross.
Minimum wage without bonuses and allowances
The second important change concerns method of calculating the minimum wage. The government wants all types of subsidies and bonuses to maintain their motivational nature and not be included in the minimum wage. “In these cases, these subsidies no longer function as a bonus and recognition of the worker for, for example, professional experience, the performance of additional functions or results obtained at work”, reads the justification for the act.
After the amendments to the Law come into force, they will not constitute a supplement to the minimum wage.
The law assumes that the value of the base remuneration of a full-time worker cannot be less than the minimum remuneration.
Minimum hourly rate – changes
The changes will also apply to civil law contracts. The first will concern penalties for employerswho underestimate wages or do not pay them at all. The lowest fine will be increased from PLN 1,000 to PLN 1,500, and the highest range will be increased from PLN 30,000 to PLN 45,000.
Salary payment dates will also change. The new provision shall read as follows: “Payment of the remuneration resulting from the value of the minimum hourly rate shall be made immediately after the determination of its full value, but no later than 10 days of the following calendar month”.
The changes will come into effect gradually, starting January 1, 2017.
