During the state of epidemic, special provisions (the so-called Shield 4.0) introduced, among others: the possibility of suspending the functioning of the company social benefit fund (hereinafter referred to as the “fund”). What is the possibility of suspending and resuming the operation of the fund at present? Is it possible to resume the operation of the fund, e.g. after the first quarter of the new year?

Pursuant to Art. 15ge of the Polish Act of March 2, 2020 on special solutions related to the prevention, prevention and combating of COVID-19, other infectious diseases and crisis situations caused by them during the state of epidemic threat or state of epidemic announced due to COVID-19, in the event of at the employer within the meaning of Art. 3 of the Act of June 26, 1974 – Labor Code, the decline in economic turnover, referred to in art. 15g sec. 9, or a significant increase in the load on the remuneration fund referred to in Art. 15gb sec. 2, the employer may suspend the obligations:

1) establishing or functioning of the company social benefit fund,

2) making a basic write-off,

3) payment of holiday benefits

– referred to in the Polish Act of March 4, 1994 on the company social benefits fund (Journal of Laws of 2021, item 746).
On this basis, during the epidemic, the fund did not work for many employers. The condition for not creating or suspending the fund is the occurrence of an epidemic or epidemic threat.

However, it should be noted that the regulation of the Council of Ministers on the establishment of certain restrictions, orders and bans in connection with the occurrence of the state of epidemic threat of March 25, 2022 was amended, in which the state of epidemic was lifted and replaced with the state of epidemic threat.

As a result, the Company Social Benefits Fund may still be suspended during the state of epidemic threat. As a consequence, at this moment employers can make decision to not create a fund. They may also decide that, for example, after the first quarter of the new year, they will resume the operation of the fund. The first contribution to the fund must be made by May 31 of a given year, so there is no obstacle for the fund’s activity to be resumed not at the beginning of the year, but only during it.

However, the situation should be monitored, because it is possible that the state of epidemic threat will be lifted from the new year (such are the government’s forecasts). Then, failure to create the fund on the basis of the above-mentioned regulations will no longer be possible. Of course, the fund may not be created without these provisions (but after meeting the conditions set out in the Act on the Company Social Benefits Fund).