Mismanagement of social funds can be a false economy
28.02.2023
There are two important points to bear in mind when it comes to trade union claims concerning the company’s social fund. Firstly, unions do indeed have the right to demand that the funds that were not used or allocated correctly according to the law are returned by the employer.
However, if, for example, payments were made equally to employees who were not means-tested beforehand, then the unions can demand that the money be returned to the social fund, but only the portion that was spent in error. Secondly, negotiating with the unions on how the social fund is going to be used under Article 27(2) of the Labor Unions Act is not a collective matter, but an individual one. Meanwhile, there is a misplaced common practice that a union negotiates benefits on behalf of all employees – regardless of whether they are members of that union, another union, or not union members at all. This approach breaches, in particular, for non-members, the freedom of association and the right not to join a union as well as their right to privacy. – Łukasz Chruściel comments for Rzeczpospolita.
Article: here.