Collective redundancy – from how many people?

What is collective redundancy?

According to the applicable regulations, collective redundancy is a special procedure for terminating an employment contract for reasons attributable to the employer rather than the employees, and it affects many people. To speak of collective redundancy in legal terms, three conditions must be met simultaneously, including that the company must employ at least 20 people and that the reason for the dismissal lies with the workplace (e.g. bankruptcy, liquidation of the plant or a branch, etc.). The third condition concerns the number of employees dismissed within a 30-day period, and the limits are:

• 10 employees if the company employs up to 100 people,

• 10% of all employees when the workforce falls within the range of 100–299 people,

• 30 employees when the company employs 300 people or more.

At the same time, it does not matter whether these employees were hired full-time or only part-time. Each of them is taken into account in these calculations. Temporary workers are not counted towards the figure of 20 employees in the company.

Important: The collective redundancy procedure, including the employer's obligations and the employees' rights, is governed by the Act on Special Rules for Terminating Employment Relationships with Employees for Reasons Not Attributable to the Employees of 13 March 2003, together with subsequent amendments.

Collective redundancy – from how many people are we talking about it?

As already mentioned, collective redundancy can take place even when 10 employees are dismissed within 30 days, provided the company employs between 20 and 99 people. In the case of the largest corporations and workplaces employing more than 300 people, we speak of collective redundancy when at least 30 employees receive notice within 30 days. At the same time, collective redundancy is a procedure that does not apply to companies employing up to 19 people, regardless of how many of them lose their job over a short period.

Employer requirements in collective redundancy

The collective redundancy procedure in Poland is described by the regulations, so the employer has no discretion in meeting the specified requirements. These are mandatory, and failure to comply with the regulations may result in legal and administrative consequences. The most important employer requirements under this mode of terminating an employment contract are:

• notifying the trade unions or employee representatives of the reasons for the dismissals, the manner in which they will be carried out, and other key information,

• informing the district labour office of the reasons for the collective redundancies (electronically, by letter, or during a visit to the office),

• concluding an agreement with the trade unions or the employer setting out in the regulations the rules of conduct towards employees affected by the collective redundancies (when there are no trade unions),

• conducting consultations on the collective redundancies and the entire procedure with the existing trade unions or employee representatives,

• notifying the district labour office of the agreement reached or the adopted collective redundancy regulations (electronically, by letter, or during a visit to the office),

• delivering statements on the termination of employment contracts and paying out cash severance.

In the context of collective redundancy, the termination of an employment contract may take place either by mutual agreement or by notice. This depends on the situation prevailing in the company and on what solution can be agreed on the basis of mutual consultations and negotiations. For both the company and the people it employs, this is an extremely difficult situation.

Severance pay in collective redundancy – basic information

The employer's obligation in collective redundancy is to pay severance. So how much is severance in collective redundancy? Of course, it depends on the length of service at the given company, and it is:

• one month's remuneration for employment of up to 2 years,

• two months' remuneration for employment of 2 to 8 years,

• three months' remuneration for employment of more than 8 years.

In addition, the amount of the cash severance may not exceed 15 times the minimum remuneration for work in force on the day the employment relationship is terminated.

Which employees cannot be subject to collective redundancy?

The regulations protect certain groups of employees who cannot be subject to collective redundancy. This applies to:

• pregnant women during maternity leave,

• members of the trade union's management board,

• employees called up to perform military service, military training, basic military service, or substitute service,

• employees in the protected period, who have no more than 4 years left before reaching retirement age,

• social labour inspectors,

• employees during parental leave, paternity leave, or leave on the terms of maternity leave.

This does not mean, however, that these individuals need not fear dismissal. The employer has other tools, including the option of altering the current terms of work or pay based on a change of position or a reduction in remuneration. However, if the employee is in the protected period before retirement, they are entitled to an equalising allowance until the end of that period anyway, so a mere reduction in remuneration has no economic justification.

Is your company in a difficult situation and are you planning collective redundancies? Be sure to familiarise yourself with the applicable regulations and comply with them. If you are looking for temporary workers from abroad, who are not included in the applicable limits, get in touch with us. For years we have been running recruitment processes for companies throughout Poland, specialising, among other things, in the placement of foreign nationals in employment.

Sources:

• Jak przeprowadzić zwolnienia grupowe, https://www.biznes.gov.pl/pl/portal/00207#1 (accessed 11.02.2026)

• Poinformuj powiatowy urząd pracy o przyczynach zwolnień grupowych, https://www.biznes.gov.pl/pl/portal/ou574 (accessed 11.02.2026)

• Poinformuj powiatowy urząd pracy o porozumieniu w sprawie zwolnień grupowych, https://www.biznes.gov.pl/pl/portal/ou573 (accessed 11.02.2026)

• Text of the Act: https://isap.sejm.gov.pl/isap.nsf/download.xsp/WDU20030900844/U/D20030844Lj.pdf (accessed 11.02.2026)