Observation (CEACR) - adopted 2005, published 95th ILC session (2006)

Protection of Wages Convention, 1949 (No. 95) - Poland (Ratification: 1954)

The Committee notes the Government’s report and the detailed information communicated in response to its previous observation.

1. The evolution of the situation with respect to wage arrears. The Committee notes the Government’s statement that in spite of the dropping trend, the scale of problems in this area of labour protection should be still considered as alarming. According to the results of 1,155 inspection visits carried out in 2004, half of the controlled employers fail to pay holiday and overtime pay. Most revealed irregularities related to small and medium-sized enterprises, mainly in the private sector, while most of the pay decisions issued by the labour inspection services concern enterprises in sectors such as manufacturing, construction as well as trade and repair. The Government adds that the number of employers who fail to comply with labour court decisions gradually declines even though 255 cases of non-compliance were recorded in 2004 as a result of 690 inspections. Most of non-complied-with decisions relate to non-payment of remuneration and other dues in respect of the employment relationship, and the main reason is the bad economic situation of employers. Moreover, the Government indicates that the situation is likely to improve following the forthcoming amendment of public procurement legislation, which provides for the exclusion from public procurement proceedings of those employers condemned by court decision for offences against the rights of gainfully employed persons. The draft law introducing this regulation was adopted by the Council of Ministers on 7 June 2005. The Committee would appreciate receiving a copy of the new legislation once it is formally enacted.

In addition, the Committee notes that according to a recent report published by the Polish National Labour Inspectorate (Polska Inspekcja Pracy - PIP), the number of employers not paying wages at regular intervals decreased from 62 per cent in 2003 to 55.9 per cent in 2004, but the number of employees experiencing delays in the payment of their wages has increased. Moreover, the total amount in unpaid wages during the first half of 2004 came to 71.5 per cent of the previous year’s total. The Committee expresses its concern at the particularly high rate of employers who, according to labour inspection statistics, are in violation of the national legislation on labour remuneration, and asks the Government to continue providing detailed information on all future developments in this regard.

2. The wage crisis in the health sector. The Committee notes the observations of the All-Poland Understanding of Trade Unions (OPZZ) dated 4 October 2004 concerning the ongoing problems of non-payment of wages in the health sector. According to the OPZZ, despite long discussions and promises, no progress has been made and it would therefore be necessary to keep under close scrutiny the situation in the health sector and also to look carefully into similar phenomena affecting other sectors.

In its reply, the Government indicates that the Act on public aid and restructuring of public health-care establishments was adopted on 15 April 2005 (Dz. U. No. 78, Text 684). According to the information provided by the Government, the law determines methods of writing off the debts of health-care establishments, and settling the problems of non-payment of wages and wage increase in health-care establishments. Concretely, the law provides that the restructuring of individual employee claims consists in concluding an agreement with the employee, which may provide that establishments’ liabilities towards the employee will be paid in instalments, determine the schedule of their payment, or contain a provision on resignation of interest for delay.

The Government adds that, as of 31 March 2005, the liabilities of independent public health-care establishments towards employees amounted to 1,400 million PLN (approximately 358 million euros), including 661.9 million PLN (approximately 170 million euros) of liabilities in respect of non-compliance with article 4(a) of the "203 Act". The Government further states that precise data as to the number of health-care personnel affected by the problem of delayed payment of wages are not currently available but will only be known when health-care establishments will file applications for restructuring proceedings under the new law. In a new communication received on 9 November 2005, the Government indicates that the state budget for 2005 provides for a loan reserve of 2.2 billion PLN primarily intended for the repayment of accumulated liabilities to employees under the "203 Act" for the period 2001-04. It also states that some 551 health-care establishments would be prepared to apply to the State Treasury for loans of an aggregate value of 1.7 billion PLN.

While noting the Government’s explanations, the Committee intends to examine the new Act on public aid and restructuring of public health-care establishments in greater detail, as soon as the translation of this text becomes available, in the light of the requirements arising from Article 3 and Article 12 of the Convention, and also in the light of the informal opinion given by the Office in April 2004 on a previous draft. While recalling that, in June 2004, the Government undertook before the Conference Committee on the Application of Standards to eliminate the problem of payment of outstanding wages in the health-care sector within two years, the Committee asks the Government to supply up-to-date information on the current situation prevailing in the country, including, for instance, any negotiated time schedule for the settlement of the wage debt, the amount of wage arrears already settled, detailed particulars on any individual agreements which may have already been concluded with health-care personnel under the new Act on restructuring, etc.

[The Government is asked to reply in detail to the present comments in 2006.]