Ladies and Gentlemen,
Anti-Crisis Shield 4.0, i.e. the Act of June 19, 2020, on interest subsidies for bank loans granted to entrepreneurs affected by COVID-19 and on the simplified procedure for approval of arrangements in connection with the occurrence of COVID-19, has been signed by the President of the Republic of Poland. The Act was published in the Journal of Laws under item 1086, and the full text of the Act can be found at http://dziennikustaw.gov.pl/DU/2020/1086.
Shield 4.0 further complements the solutions provided for in Shields 1.0, 2.0, and 3.0. We have prepared a summary of the most important changes and solutions introduced under Anti-Crisis Shield 4.0. Here they are:
- Submitting an application for the standby benefit and an application for exemption from ZUS contributions is only possible electronically. Previously, these applications could be submitted in paper form, either in person at a ZUS branch or by mail. However, the legislature decided to limit the submission process to electronic form only. As of June 24, 2020, applications must be submitted via the ZUS PUE account. This also applies to applications for relief without an extension fee and applications for waiver of late payment interest.
- The contractor can now submit an application for the standby benefit directly, i.e., without the involvement of the client/ordering party, if they refuse to submit the application. Until now, regulations allowed applications for standby benefits to be submitted only through the client, which meant that the person entitled to the standby benefit could be denied the benefit if the client refused or failed to complete the formalities related to submitting the application. Due to this change, a new ZUS RSP-CZ form has been introduced. Applications can only be submitted electronically.
- The deadline for the new JPK_V7 has been postponed to October 1, 2020. Originally, the new JPK_V7 was to apply from July 1, 2020.
- The additional care allowance for children up to 8 years of age is extended until 28 June 2020 with retroactive effect from 25 May 2020. Importantly, the allowance is also granted when the facility (school, kindergarten, children's club, nursery) attended by the child is open, but due to the parent's decision, the child does not attend it.
- Simplified restructuring proceedings. An entrepreneur may initiate simplified restructuring proceedings without court consent, but must enter into an agreement with a restructuring advisor, prepare the required documentation, and publish a notice in the Court and Commercial Gazette announcing the opening of the arrangement approval proceedings.
- Interest subsidies for bank loans. Businesses facing difficulties due to the COVID-19 pandemic have the opportunity to receive interest subsidies on bank loans granted under agreements concluded before December 31, 2020. The subsidy amounts to 2% for small and medium-sized businesses and 1% for other businesses. PLN 565 million has been allocated for the subsidy. Importantly, the subsidy will be available to businesses that are not in arrears with their loan repayments.
- The possibility of obtaining subsidies for salaries from the Guaranteed Employee Benefits Fund has been extended to entrepreneurs who have experienced a decline in economic turnover in relation to employees who were not covered by the downtime introduced pursuant to Article 81 of the Labor Code, the economic downtime introduced pursuant to Article 15g of the Anti-Crisis Shield or the reduced working hours referred to in Article 15g of the Anti-Crisis Shield.
- Introducing so-called "credit repayment holidays." This solution allows borrowers who lost their job or other primary source of income after March 13, 2020, to suspend their loan repayment obligations for a maximum period of three months, both in terms of principal and interest. This solution applies to consumer loans and mortgage loans concluded before March 13, 2020, with a maturity date of six months from March 13, 2020.
- The employer has the option to reduce the working hours of employees or to place employees on economic downtime if the employer notices a significant increase in the burden on the wage fund.
- An employer may require an employee to use accrued vacation leave from previous calendar years at a date chosen by the employer, without the employer's consent and without considering the leave schedule, for up to 30 calendar days, and the employee is obligated to use such leave. The legislature thus excluded the September 30 deadline for using accrued vacation leave, as provided for in the Labor Code.
- An upper limit of up to 10 times the minimum wage has been introduced for employee benefits, such as severance pay, compensation, and other similar benefits paid by the employer to the employee in connection with the termination of an employment contract. This applies to employers who, during the period of the state of epidemic or the state of epidemic threat, experienced a decline in economic turnover or a significant increase in payroll burdens. The limit also applies to benefits paid for the termination of a contract of mandate or other service contract, excluding agency contracts.
- Possibility of terminating a non-competition agreement. A party to a non-competition agreement in effect after the termination of an employment relationship, agency agreement, contract for specific work, contract for the provision of services, or other contract governed by the provisions of the Civil Code concerning mandate, for whose benefit the non-competition agreement has been established, under the Act, has the right to terminate the non-competition agreement with a seven-day notice.
- The provision regarding remote work has been clarified by specifying that remote work may be assigned to an employee if they possess the technical and physical skills and capabilities, and the type of work performed allows for it. Furthermore, the employer has the right to withdraw the remote work order at any time and is obligated to provide the materials necessary for remote work. The employer may also require the employee to keep records of the activities performed.
- The Code of Petty Offenses has introduced a new penalty for obstructing or preventing the transmission of information via an IT system , punishable by restriction of liberty or a fine of no less than PLN 1,000. This provision is intended, in particular, to protect the uninterrupted conduct of remote communications.
- The employer has the option of temporarily suspending the obligation to establish or operate the Employee Benefits Fund, making basic contributions to the Employee Benefits Fund and the obligation to pay holiday benefits during the period of an epidemic or epidemic threat.
- that expire during the period of an epidemic threat or epidemic state is extended by six months,
- The deadline for paying the annual perpetual usufruct fee for 2020 has been extended to January 31, 2021.
This material is for informational purposes and has been prepared on the basis of the Act of 19 June 2020 on interest subsidies for bank loans granted to entrepreneurs affected by the effects of COVID-19 and on simplified proceedings for the approval of an arrangement in connection with the occurrence of COVID-19 (Journal of Laws of 2020, item 1086).
