The terms and conditions for employing employees posted to other European Union member state must be verified by employers.

The amendment of the act on posting employees within the framework of the provision of services was necessary on account of the requirement to implement Directive (EU) 2018/957 of the European Parliament and of the Council of 28 June 2018 amending Directive 96/71/EC on posting employees in the framework of the provision of services. The deadline for implementing these regulations in domestic legal systems elapses on 30 July 2020.

This bill is currently being discussed in parliament.

The proposed changes pertain to the following, among others:

• modifying the catalogue of terms and conditions of employment guaranteed to a posted employee in respect to remuneration, which must be determined while incorporating all the mandatory components stemming from the Labour Code and other regulations governing the rights and duties of employees, the allowance for posting that is partially included in a posted employee’s remuneration and the requirement to reimburse expenditures incurred in connection with being posted;
• in the case of posting for a term longer than 12 months or – for 18 months if a notification with a justification is filed with the State Labour Inspection Service: extending the terms and conditions of employment guaranteed to an employee to include any and all terms and conditions of employment that are no less favourable than stipulated by the regulations of the Labour Code and other regulations governing the rights and duties of employees save for the rules and procedure for entering into and terminating employment contracts and applying non-compete clauses as well as employee pension schemes and employee capital accumulation schemes;
• introducing the rule of adding up the posting periods if the same task is entrusted to a new employee;
• including temporary employment agencies and staff lease agencies in the definition of an employer posting employees also when employees are sent by an employer user to provide services in some other member state.

The proposed amendments aim to implement to a greater degree the EU’s freedom of the provision of services while giving employees just and equal terms and conditions of employment.

The amended act is supposed to take force on 30 July 2020. As of that day the new rules will also pertain to those employees whose period of posting commenced prior to the effective date of the amended act. Employers should therefore become familiar with these amendments as soon as possible and if necessary, they should modify the terms and conditions of employing employees.

More in the newsletter dedicated to HR law issues - PRO HR July 2020.