Member States are required to comply with the EU Pay Transparency Directive (Directive 2023/970) on the application of the principle of equal pay for equal work or work of equal value between men and women by 7 June 2026.
For this reason, Poland published a draft act to transpose the Pay Transparency Directive. The draft contains ambitious provisions as regards obligations imposed on employers, as well as the mechanisms of participation of employees.
Content of the Polish Draft Act
Job Evaluation and Determination of Employee Categories
One of the key elements of the draft act is the requirement for employers to evaluate objectively the value of work performed by employees. This evaluation must be based on criteria previously agreed with the trade union organization operating at the workplace.
If multiple trade union organizations are present, employers shall determine the criteria in agreement with all the trade union organizations involved. Or at least with those representing a minimum of 5% of the total workforce.
A similar mechanism is foreseen for the determination of employee categories. In this situation, the employer must consult with all trade union organizations operating at the workplace during a fixed timeline to ensure efficient planning and enforcement.
Even though consultation does not bind employers to take into consideration the opinion of trade union representatives, it might imply liability for employers in case this procedure is bypassed.
Reports on Pay Gap and Joint Pay Assessment
Moreover, all companies with more than 100 employees will need to produce a report on the gender pay gap between employed women and men. Once again, trade unions are called to participate by supervising and ascertaining the truthfulness of the information contained in the report.
Furthermore, the draft act introduces a significant participation mechanism. Said mechanism is the institution of a joint pay assessment based on the gender pay gap report results.
In particular, the joint pay assessment is mandatory if 3 conditions apply:
- the report shows a 5% gender pay gap in any employee category;
- the employer cannot justify the gap with objective and gender-neutral criteria;
- the employer did not implement effective remedial measures within 6 months from the publication of the report.
In such case, the employer must reach an agreement with the employees to rectify the situation and implement corrective measures.
Conclusion
In conclusion, the draft act will likely introduce fundamental changes for Polish employment law.
First, the draft act would introduce legal instruments to significantly strengthen the system of employee participation. These instruments are the agreement and the consultation. Consequently, it would become more and more difficult for employers to impose unilaterally their decisions as regards previously mentioned areas of interest.
Lastly, the draft act would introduce economic fines ranging from PLN 3,000 to PLN 50,000 (approximately €700 to €11,800) for employers who don’t comply with provisions, as well as civil liability towards affected employees.