Employer's obligations at the turn of the year - what should you remember?
Both at the end of the old year and at the beginning of the new year, the employer has many responsibilities. Among them, we can distinguish tasks related to employee leaves, working time in the next year or reports of the Central Statistical Office and PFRON. You can read about the obligations of the employer at the turn of the year in our article.
Employer's obligations at the turn of the year related to employee leaves
Among the employer's obligations related to employee leaves, we can distinguish:
- granting employees overdue holiday leaves,
- granting holiday leave days in the following year,
- creating a vacation plan for the next year,
- payment of holiday equivalents based on the new holiday coefficient applicable from 2020,
- collecting from employees declarations of intention or lack of intention to use the leave to look after children until the age of 14, provided that such a declaration has not already been submitted and nothing has changed.
Granting employees overdue holidays
It should be remembered that the annual leave should be granted to the employee in the year in which he acquired the right to it (Art. 161 of the Labor Code). At the end of the year, the employer should analyze the leave situation of his employees and grant them any leave they have left. If this is not possible, it is transferred to the next year. Then it should be used by the end of September (Art. 168 of the Labor Code).
The occurrence of vacation arrears can be justified only when they do not depend on the employer, e.g. if the employee is on maternity or parental leave.
If the employee does not use the leave on demand, it is transferred to the next year as ordinary leave, which means that in a calendar year the employee is entitled to no more than 4 days of leave on demand (Article 1673 of the Labor Code).
Allocation of new days of vacation leave
On the first day of the new year, all employees acquire the right to a new holiday leave (Article 153 § 2 of the Labor Code), which may be 20 or 26 days in a calendar year. It should be remembered that for part-time employees, the leave is calculated proportionally to the working time, while people with a moderate or severe degree of disability are entitled to an additional 10 days of leave.
Increasingly, you can come across a vacation plan that allows you to organize your work in the best possible way during employee holidays. It is best to prepare such a plan before or at the beginning of the next year (the regulations do not specify a specific date). The vacation plan does not have to cover the entire year and can be adjusted later.
Do not include 4 days of leave on request in your vacation plan.
The vacation schedule is provided to employees in the manner adopted by a given employer (Article 163 § 2 of the Labor Code).
If there is no workplace trade union organization in the company or the unions have agreed to it, the employer may not create a vacation plan.
In 2021, the holiday factor will change. From 1 January 2021, it will be 21. In the case of part-time employees, the coefficient is reduced proportionally to the number of full-time employees (§ 19 (3) of the Regulation on detailed rules for granting annual leave, determining and paying holiday remuneration and holiday cash equivalent). Remember to use the new holiday factor when paying your holiday allowance in January.
Childcare days off
An employee who brings up at least one child under the age of 14 has the right to 2 days or 16 hours of childcare for which he / she retains the right to remuneration (Article 188 § 1 of the Labor Code). Importantly, only one of the parents may exercise the right to this exemption (Article 1891 of the Labor Code). In order for the employee to be able to use the leave from work to care for the child, he / she should submit a declaration to the employer, in which he will specify whether he will use the hourly or day care (Art. 188 § 2 of the Labor Code). Such a declaration is submitted once, as a rule, when commencing the employment relationship. Another statement must be submitted if something has changed, e.g. an employee prefers hourly rather than daily settlement. Importantly, if he does not manage to use the days off for childcare, the unused days do not pass to the next year. The employer also does not pay a cash equivalent in the event of not using the pool of childcare.
Planning the working time
At the end of the year, employers should set the number of working hours for the next year so that employees can plan their working time schedules.
In 2021, there will be 2016 hours to be worked. There are also two public holidays on Saturday (May 1 Labor Day and December 25, First Christmas Day). For these days, employers will be required to give employees a day off.
In terms of employee wages, the employer should look at the minimum wage and employees on sick leave. The employer should also remember about the obligation to provide employees with ZUS RMUA by the end of February, a document containing annual information on the income constituting the basis for the assessment of contributions and the amount of contributions paid.
Remember to guarantee your employees a minimum wage. In 2021, the minimum wage will be PLN 2,800 gross. At the end of the year, the employer should review the salaries of employees and grant a raise to those who previously earned less than PLN 2,800. If your contract specifies a “minimum wage” as wage, you do not need to make any changes to the contract.
If the company also employs contractors, their remuneration should also be increased, if it is lower than the minimum (PLN 18.30 per hour in 2021).
The minimum remuneration under the employment contract in 2021 will be PLN 2,800 gross. The minimum remuneration of the contractor in 2021 will be PLN 18.30 per hour.
Along with the change in the minimum wage for work, other indicators will change, e.g. night work allowance.
Sick leave at the turn of the year
If the employee falls ill at the turn of the year, i.e. the sick leave covers both December and January of the following year, it should be considered whether the employee is entitled to remuneration or sickness benefit for December 31st. If the employee received sick pay on December 31, then from January 1, he is still entitled to sick pay, as the limit of 33 days (or 14 days, respectively, for people over 50) is counted anew. If, in turn, on December 31, the employee received sickness benefit, then for continuing the sick leave in January, he will also receive a sickness benefit.
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In connection with tax settlements, employers and employees have specific deadlines:
- before the first payment in a given year, employees have time to submit a PIT-2 declaration - on its basis, the employer settles the employee's income for a given year;
- until January 31, the employer must submit to the Tax Office, competent for the seat, annual PIT-4R or PIT-8AR declarations (PIT-8AR applies to flat-rate tax);
- by the end of January, the employer has time to submit the form to the Tax Office:
PIT-11 and IFT-1R, employees should receive these declarations by the end of February.
PIT-8C - in the case of payment of benefits from other sources, from which no advance income tax or lump-sum tax has been paid.
Due to the fact that in 2021 both January 31 and February 28 are on Sunday, the transfer of PIT-11, PIT-4R, Pit-8AR IFT-1R to the Tax Office should take place no later than February 1, and the employee should receive PIT- 11 and IFT-1R maximum on March 1.
Who will be the payer of benefits in 2021, the employer or the Social Insurance Institution, is determined by the number of people reported for sickness insurance, compulsorily or voluntarily, as of November 30, 2020. An employer who will have more than 20 people reported for sickness insurance on that date, will be a benefit payer in 2021.
By the end of December, employers are required to correct basic contributions to the Social Fund, taking into account the actual employment during the year. In the event of a change in the size of employment in relation to the planned average, a correction of the write-off should be prepared and in the case of lowering the write-off, the difference should be paid to the fund's account.
Employers who, as of January 1 of a given year, employ at least 50 full-time employees, are required to establish a ZFŚS. The others may, but do not have to create the Company Social Benefit Fund, they may also pay holiday benefits. In the event of a decision not to establish a Social Benefits Fund and not to pay a holiday benefit, employees should be informed of this fact by the end of January.
Employers who employ at least 25 employees should submit annual information under the e-PFRON system by January 20:
- the DEK-R document is submitted by employers who have not achieved the appropriate employment rates of people with disabilities (at least 6%);
- INF-1 is submitted by employers who have achieved adequate employment rates for the disabled.
Until January 31, the employer is required to submit information to the Social Insurance Institution (ZUS IWA) for the previous year. This document contains information on accidents at work and people employed in hazardous conditions. If the employer submitted ZUS IWA for the next 3 calendar years, on the basis of this document, ZUS will calculate the accident rate, which will apply from April 1, 2021 to March 31, 2022. Employers who did not submit ZUS IWA in one of the years, they set the accident rate themselves, based on the activity group.
Not every employer is required to submit ZUS IWA. This document must be submitted by employers who meet all of the following conditions:
- were reported as contribution payers from 1 January 2020 to 31 December 2020 and at least one day in January 2021,
- in 2020, reported on average at least 10 people for accident insurance,
- On December 31, 2020, they were entered into the REGON register.
The next obligations of the employer at the beginning of the year are GUS reports, which must be submitted by employers obliged to fulfill them:
- Z-05 (labor demand study) for the fourth quarter of 2020 should be submitted by January 11, 2021,
- Z-06a (report on employees, remuneration and working hours of the entity, which in 2020 was required to submit quarterly reports Z-03) for 2020 should be submitted by January 20, 2021,
- Z-06b (report on employees, wages and working hours of a unit belonging to the enterprise sector) for 2020 should be submitted by February 3, 2021,
- Z-10 (work conditions report) for 2020 must be submitted by February 15, 2021.