Fine imposed on employer for concealing employees’ income

ATTENTION !
text translated automatically from the Polish version

Strengthening the efficiency of collecting maintenance is to be ensured by the amendment of 27 December 2018. One of the assumptions of the new regulations is to impose higher penalties on employers.

A significant change was introduced in the Labor Code. The fine imposed on the employer for employing maintenance debtors in black was raised. Such a fine can currently range from PLN 15,000 to 45,000. This is a significant increase, because so far its amount was in the range of 10,000 – 30,000 PLN. It may be awarded in the event that the employer, contrary to the obligation, pays higher remuneration than resulting from the concluded employment contract without making deductions for satisfying maintenance payments to the employee who is the person against whom enforcement is sought.

Until now, the Code of Civil Procedure provided that the bailiff was required to call on the employer not to pay the debtor remuneration, but to transfer the remuneration paid to the bailiff or directly to the enforcing creditor. This situation also applied to maintenance debtors.

In addition, the Code of Civil Procedure provides that when seizing remuneration for work, the bailiff calls on the employer to make a statement in the event of obstacles to pay remuneration within a week about the nature of these obstacles. The employer is also obliged to immediately notify the bailiff and creditor of any change in these circumstances.

In the event of termination of employment with the maintenance debtor, the current employer mentions the seizure of receivables in the work certificate issued to the debtor, and if the debtor’s new employer is known to him, sends him a bailiff’s notification and documents regarding attachment of remuneration.

The December amendment adds that an employer who has not fulfilled these obligations will have a fine of up to PLN 5,000. If the employer continues to evade these activities, the fine may be reproduced.

These provisions enter into force on December 1, 2020.