Employee wage subsidy – legal services package for entrepreneurs

On 1 April 2020, majority of provisions of the Act Amending the Act on Extraordinary Measures for Preventing, Counteracting and Combating COVID-19, Other Infectious Diseases and Emergencies Caused by Them and Certain Other Acts (hereinafter: the “Act”) entered into force.

In practice, this means that from 1 April 2020 entrepreneurs whose turnover has fallen following the COVID-19 outbreak may apply for payments from the Guaranteed Employee Benefits Fund (‘GEBF’) to subsidize wages of employees affected by economic downtime or reduced working hours following the COVID-19 outbreak. Benefits are granted on the terms of the Act.


What does the GEBF subsidy cover?

The Act introduces the possibility for an entrepreneur to apply for funds from GEBF including

  • subsidies to employees’ remuneration (co-financing of remuneration) and
  • subsidies to employees’ social security contributions, payable by the employer and due from the granted subsidy to wages

(the “Subsidy”).

Check, if you are eligible for the Subsidy

Eligible for the Subsidy is only an entrepreneur who:

  • suffered a drop in the sale of goods or services (following the COVID-19 outbreak), either in terms of quantity or value, in the amount not lower than that specified in the Act,
  • is not in arrears with payment of its public law liabilities as at the end of September 2019,
  • faces no prerequisites for declaration of bankruptcy,
  • its employees have been affected by economic downtime or reduced working hours (following the COVID-19 outbreak).

Our services

Our Law Firm offers comprehensive legal advice on issues related to the application for the Subsidy by entrepreneurs. Our services include:

  • legal assistance in assessing the entrepreneur’s consistency with the criteria for obtaining the Subsidy,
  • drawing up a draft agreement on working conditions during economic downtime or reduced working hours following the COVID-19 outbreak, concluded by the entrepreneur with trade unions or employee representatives (“Agreement”),
  • legal support in appointing employee representatives,
  • legal support at the conclusion of the Agreement, including in negotiating the terms and conditions of the Agreement with the trade unions or employee representatives, and forwarding a copy of the Agreement to the competent authority,
  • support in the preparation of the Subsidy Application (the “Application”), including preparation of drafts of all necessary statements and assistance in completing all other necessary attachments to the Application, and submission of the Application to the competent voivodeship labour office,
  • representing the entrepreneur before a relevant voivodeship labour office in the course of the Subsidy award procedure.

If we could provide you with our legal support in this respect, please contact us.