Supreme Court judgment of 20 February 2020, case file I BP 4/18

A memorandum of understanding on suspending the application of a procedure for paying an additional salary cannot operate retroactively. An employee cannot be stripped of the right to receive benefits that are already due and payable before the execution of a memorandum of understanding.

On the other hand, if an employer resolves to raise salaries with retroactive force, then it must disburse an equalization payment to former employees, too.

The ruling is discussed by Iwona Jaroszewska-Ignatowska, PhD.

Watch the video on our YouTube channel.