Polish law does not directly regulate the issue of terminating employment contracts subject to a condition precedent. In order to answer the question posed in the title, it is necessary to examine the regulations concerning employment contracts and conditions.
Terminating a work contract according to the Labour Code
The Labour code precisely indicates, when an employment contract is terminated. According to these regulations, an employment contract may be terminated by mutual agreement of the parties or by termination notice (by either the employee or the employer) An employment contract is terminated also when it was concluded for a fixed term and that term has expired.
It should be noted that the Labour Code does not provide for the possibility of performing conditional legal acts related to the termination of an employment contract. However, it should be noted that the Article 300 of the Labour Code states that in matters not regulated by the Labour Code, Civil Code provisions shall be applied, unless this is contrary to the principles of labour law. However, in the case of termination of an employment contract, it seems that this principle cannot apply. The argument for this is the nature of this legal action. It has to be certain and determine its effects in a clear way, which is impossible in case of conditional legal action. It must be certain and clearly define its effects, which is impossible in the case of a conditional action. In case of terminating of an employment contract by the employer it is also necessary that it contains its justification.
The appropriate application of the Civil Code regulations
According to the Civil Code, a condition is a future and certain event. As a rule, the effects of a legal transaction may be made conditional, unless prohibited by law or impossible due to the nature of the legal transaction. Examples of such transactions include a contract for the transfer of real estate ownership and marriage.
The Labour Code indicates that the provisions of the Civil Code may be applied accordingly – so how should the concept of appropriate application be understood?
The appropriate application of the provisions of the Civil Code in labour law means that they may only be used to the extent that they do not conflict with the provisions of the Labour Code or with the principles of labour law, such as the protection of the employee as the weaker party in the employment relationship. The provisions of the Civil Code may be modified or applied only in part, so as to take into account the specific nature of the employment relationship, which differs from civil law relationships, e.g. the greater degree of subordination of the employee or the need to provide them with special protection. It should therefore be remembered that the application of the provisions of the Civil Code in labour law cannot be mechanical or unreflective. Their inappropriate use could lead to a violation of fundamental employee rights, such as the right to remuneration, job stability or protection against dismissal.
Terminating a contract under a condition precedent and the mutual agreement
With regard to the termination of an employment contract by mutual agreement subject to a condition precedent, according to the courts, in particular judgment I PKN 474/00 of 20 June 2001, the Supreme Court allows for such a possibility, provided that certain conditions are met. There is no general rule regarding the possibility of conditional termination of an employment contract by mutual agreement. In the opinion of the Supreme Court, the conclusion of an agreement between the parties to terminate an employment contract subject to a condition precedent is possible when:
- Both parties to the employment relationship agree to it,
- The condition is formulated in a clear and unambiguous manner
- The condition is not contrary to the provisions of the Act, and its content does not violate the principle of protecting the employee as the weaker party in the employment relationship.
- The specific nature of the employment relationship justifies this type of solution – e.g. in the case of positions related to achieving specific results (such as sports coaches, project managers), where making continued employment dependent on results may be considered justified.
Summary
In view of the above it has to be said that termination of a work contract unilaterally cannot happen under a condition precedent. Because of this the only logical way, in case of termination of a contract and subsequent willingness to cooperate again, is to simply conclude another work contract. However, it is possible to conditionally terminate a work contract by mutual agreement, if it is possible to precisely determine the date of the termination.