The employer is obliged to give a reason for termination of any employment contract

Publication / 01.04.2023

The amended Article 30 § 4 of the Labor Code imposes on the employer the obligation to indicate the reason justifying termination of an employment contract concluded for a definite term or an employment contract concluded for an indefinite term, as well as the reason justifying termination of any employment contract without notice.

This means that employees employed under a fixed-term employment contract will be able to challenge in court the legitimacy of the termination notice given to them.

The change in question is a consequence of the alignment of Polish legislation with two EU directives: on transparent and predictable working conditions in the EU and on work-life balance for parents and guardians.

Any employer at whose company trade union organizations are operating must also bear in mind that after April 26, 2023, according to the amended Article 38 § 1 of the Labor Code, he/she will be obliged to notify in writing the company trade union organization representing an employee of the intention to terminate an employee not only of an employment contract concluded for an indefinite period, but also of the intention to terminate an employment contract concluded for a fixed period, and to indicate, both in one and in the other case, the reason justifying the termination of the contract.

The effect of the above changes is also an amendment to Article 45 § 1 of the Labor Code.

What does this mean for the employer? The amendment expands the rights of employees in the event of unjustified or unlawful termination of an employment contract by an employer. It equalizes the catalog of claims available to employees employed under a fixed-term employment contract and an indefinite-term employment contract for unjustified or unlawful termination of an employment contract.

Thus, an employee, regardless of whether he or she is employed under a fixed-term contract or under a contract of indefinite duration, in the event of unjustified or unlawful termination of an employment contract by the employer, is entitled to a claim for a ruling that the termination is ineffective, and if the contract has already been terminated – for reinstatement of the employee to work under the previous conditions or for compensation.