Supreme Court allows severance pay cumulation with damages for illegal fixed-term contract termination by employer.
Poland (PL)
Legislator summary
AI generatedThe Supreme Court of Poland partially allowed the plaintiff's cassation appeal regarding the cumulation of severance pay and damages for an illegal termination. The lower courts had incorrectly ruled that Article 59 of the Labor Code excluded the right to severance pay under the Group Dismissals Act when a fixed-term contract was terminated without notice due to employer fault. The court clarified that Article 59 limits the choice between reinstatement and damages but does not preclude the separate entitlement to severance pay if statutory conditions for group dismissals are met. Consequently, the court ordered the employer to pay the full amount of damages and severance pay, along with procedural costs.
Legislator headnote
AI generatedArt. 59 k.p.; Art. 8 ust. 2 pkt 3 ustawy o zwolnieniach grupowych: The right to severance pay under the Group Dismissals Act is not excluded by the damages provision for illegal termination of fixed-term contracts; both remedies may be cumulated when the employer is at fault.