Effects of changes in minimum wage

On 1 July 2024, the minimum wage and the minimum hourly rate were changed. Currently, the minimum wage for work is PLN 4300 and the minimum hourly rate is PLN 28.10.

Increase in worker benefits

Increasing the minimum wage for work has an impact on the increase in certain benefits for workers.

As from 1 July 2024, they shall be as follows:

• night work allowance – a night-time individual is entitled to an allowance of 20 per cent of the hourly rate resulting from the minimum wage (the amount varies from period to month, depending on the number of working hours per month, e.g. in July 2024, PLN 4.67),
• compensation for unequal treatment – the individual to whom the employer infringes the rule of equal treatment in employment is entitled to compensation of not little than the minimum remuneration for work, and thus not little than PLN 4300,
• compensation for interruption – an worker for a time of non-execution, if he was willing to execute the occupation and suffered obstacles for reasons relating to the employer, is entitled to a wage resulting from his individual grade, a fixed hourly or monthly rate, and if specified a wage component has not been distinguished in determining the conditions of remuneration – 60% of the remuneration, in any case, this remuneration must not, however, be lower than the minimum wage for the work, and thus not lower than the minimum wage for the salary. PLN 4300,
• compensation for mobbing – an worker who has been mobbing or mobbing has terminated a contract of employment has the right to claim compensation from his employer of not little than the minimum remuneration for work, and thus not little than PLN 4300,
• remuneration – no work to execute work – if, in a given month, due to the time agenda of work during the accepted accounting period, the individual is not obliged to execute work, he shall be entitled to a remuneration of not little than the minimum remuneration for work, i.e. not little than PLN 4300, in the case of a part-time worker, the amount of this wage shall be determined in proportion to that working time,
• cash clearance for group exemptions – the amount of monetary clearance must not exceed 15 times the minimum wage for the work in force on the day of termination of the employment relationship, from 1 July 2024 the maximum value of the severance allowance shall be 64 500 PLN.

Increase in worker employment costs

The increase in the minimum wage is besides an increase in the employee's employment costs to be borne by the employer, including social safety contributions, the Labour Fund and the Guaranteed Workers' Benefits Fund. At the minimum wage, the full cost of worker employment increased from the amount PLN 5110.76 in the first half of 2024 up to the amount PLN 5180,64 from 1 July 2024.

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Daniel Głogowski

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