Legal nature of remuneration for work

Remuneration is the compulsory benefit of each employment relationship, which is due to Article 22 Act 1 to 26 June 1974 The Labour Code (hereinafter: k.p.). There's also one from the basic duties of the employer.

However, not having a clear reference to remuneration in the employment contract does not result in the cancellation of that contract. It should be pointed out that the salary component for employment is not the essentiality of the employment relationship.

The purpose of this study is to present the importance and function of remuneration for employment.

1. Concepts of remuneration for work

In the Polish legal system there is no uniform concept of pay for work. This is a comparison two kp standards, namely Article 78 k.p. and Article 183c(2) These provisions shall apply two different functions in the labour law system. Article 78 k.p.

results in an equivalent nature of remuneration (the remuneration for work should be fixed in such a way that it corresponds in particular to the type of work performed and the qualifications required for its performance and takes into account the quantity and quality of work performed).

In turn under Article 183c(2) The definition of remuneration for the application of the principle of equal pay for the performance of work of an identical nature or value (‘Employees have the right to equal remuneration for equal work or for work of equal value’) was proposed. The concept of remuneration described in the Article.

Article 183c(2) k.p. is much wider than its proposal under Article 78 k.p., whose construction is based on the close link between remuneration and the work relationship and the treatment of remuneration as equivalent to the work done.

The application of these two concepts of remuneration depends on the context of the individual case. For example, a prize which is essentially non-sustainable will not be considered as a remuneration in the sense of Article 78 k.p.

However, it is not excluded to look at the prize through the prism Article 183c(2) in the context of non-discriminatory working conditions.

Such a position was allowed in the Supreme Court judgment of 21 January 2011, in which it is stated that ‘the award is a remuneration (...), which means that the same remuneration for equal work or work of equal value applies to the award as a benefit granted to the employee on the basis of the employer’s recognition’ 2 .

2. Subject matter of remuneration for work

Article 80 k.p. states that: “The remuneration shall be paid for the work done.

For the time of non-execution, an employee shall retain the right to pay only if the labour law so provides." This means that work is the subject of remuneration, and that the mere stay in the employment relationship will not always be the basis for obtaining remuneration.

Such a position was taken in the judgment of the Court of Appeal in Warsaw with 7 March 2013 The Court of First Instance pointed out that ‘if a worker does not perform his work, it is necessary for him to acquire the right to pay a specific provision or contract which confers that right on him.

The remuneration for the time of non-execution is a guarantee payment which must always have a specific legal basis." 3 .

As far as remuneration is concerned, although it is most often determined in advance, its payment occurs only after the work has been completed. It should be noted that wine and faulty performance of work in the form of production of non-quality products translates into payment and calculation of remuneration.

It is rare that an employee will not be entitled to remuneration for the work done. Under Article 82(1) k.p. it is indicated that ‘no remuneration shall be payable for faulty performance of products or services. If, due to faulty work by a worker, the quality of the product or service has been reduced, the remuneration shall be reduced accordingly.’

The law allows a situation in which an employee may have made efforts to remove defects in a product or service. In such circumstances, he shall be entitled to a remuneration appropriate to the quality of the product or service. Except that no remuneration is due for the time during the correction of the defect.

3. Derogations to pay work

The legal title for the calculation and payment of remuneration is the work done. It should be added that according to Article 100 k.p.: ‘A worker is obliged to do his work conscientiously and carefully and to follow the orders of the superiors concerned if they are not contrary to law or contract of employment’. The applicable rules allow situations where a worker retains the right to pay despite lack of employment for reasons attributable to the employer or due to a break from work.

The employee shall retain the right to pay for the period of inactivity in the following cases:

1. to prevent a worker from being legally entitled to work, provided that he was ready to provide it, the provisions treat in such cases the same readiness as the working time during which the worker is at the disposal of the employer (Article 128 k.p.),
2. downtime — an unplanned interruption in the operation of the establishment, included in the technical risk category. If he was ready to do his job at a downtime not guilty, he shall be entitled to a remuneration resulting from his personal grade at a fixed hourly or monthly rate, and if such a remuneration component has not been distinguished in determining the conditions of remuneration, 60% remuneration. However, the remuneration thus calculated must not be lower than the minimum wage (Article 81 § k.p.),
3. breaks in work due to holiday leave or occasional leave, as well as justified absences due to random occurrences (e.g. illness or accident).
4. Legal basis for remuneration

The direct basis for determining the remuneration is the employment contract, which is the source of mutual obligations for the parties to the employment relationship.

Article 29 k.p., it follows that the content of the employment contract consists of the identification of the parties, the type of contract, the date of its conclusion, as well as the working conditions and wages, including in particular the type of work, wages, jobs, working time and the date of commencement of work.

The omission of remuneration in the contract does not render the act invalid, as it is possible to determine its amount using appropriate sources, methods and methods.

The freedom of the parties to wage arrangements is limited in particular by the fundamental principles of labour law, in particular the right to a fair remuneration in the minimum wage section and the principle of equality and non-discrimination.

If the contractual provisions on the amount of remuneration violate the law of 10 October 2002 with minimum pay for work 4 , that such provisions of the contract should be considered invalid and the provisions of the Act setting out the minimum remuneration rate instead, which follows from Article 18(2) k.p.

The sources of indirect establishment of remuneration for work are remuneration rules and collective agreements (Article 78(2) (p.). The provisions give priority to collective agreements, requiring the employer to issue remuneration regulations when he employs at least 50 workers and is not covered by the collective work arrangement (Article 772(2) (p.).

There is no legal definition of the concept of "fair remuneration". In order to determine the meaning of this concept, international acts should be referred to. According to Article 4 European Social Charter[5] the principle of fair remuneration shall be summarised, inter alia, in that the employee should be ensured:

• (a) a decent standard of living with the family,
• (b) increased overtime remuneration,
• (c) equal remuneration for work of equal value,

(d) to authorise deductions from remuneration for work under conditions provided for by statutory or contractual standards, and

(e) a reasonable period of notice on termination of employment.

On 16 June 1997 Poland has ratified the European Social Charter. Unfortunately, she did not sanction the fact that the principle of fair pay should provide a decent standard of living with her family. The European Social Charter considers the remuneration to be fair ok. 68% average remuneration in a given country.

The exercise of the right to fair remuneration depends on the economic and social situation of the country. In determining its amount, account may be taken of: the duration of employment, the efficiency of the worker or the competence he holds.

The lack of a definition of legal fair remuneration causes this concept to be interpreted differently. The courts also spoke about this. In the Supreme Court judgment of 25 August 2010 stated that: ‘according to Article 13 The employee shall have the right to a fair remuneration for his work.

A fair remuneration for work is a proper, proper, fair, fair remuneration.” 6 .

5. Summary

The issue of pay for work can, of course, be explored to a much broader extent. For example, from the perspective of minimum remuneration and criteria determining its growth, in the context of fair remuneration or even methods and systems of remuneration.

The remuneration as part of the employment relationship is an institution with a high level of complexity. The overall analysis would require reference to other institutions of labour law, in particular working time. one is certain that the Constitution of the Republic of Poland from 2 April 1997 7 regulates pay for work.

It establishes the right to a minimum wage. However, the most questionable thing is to read the essence of a fair wage. Finally, it is worth pointing out that the concept of minimum and fair wage should not be treated as equal.

Relationship of these two institutions in the Polish legal system will be subject to interpretation conflicts for a long time.

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1 Journal of Laws of 2019, item 1040.

2 reference no. II PK 169/10.

3 reference no. III APa 29/12.

4 Journal of Laws of 2018, item 2177.

5 Journal of Laws of 1999, item 67.

6 reference no. II PK 50/10.

7 Journal of Laws, item 483.