what is “automatic subscription to ecp”?

Pursuant to the Act of 4 October 2018 on employee capital plans, every four years the employing entity must perform the so-called automatic subscription, that is automatically subscribe to ECP employees who are aged 18–54 and subject to mandatory pension and disability insurance.

Thus, as results from the provisions on automatic re-subscription, the declarations to opt out from ECP contributions expire every four years on the last day of February.

Pursuant to the provisions of the act, the first automatic subscription is to occur in 2023, so current opt-out declarations are valid until 28 February 2023.

Thus, we would like to inform you that, as of 01.04.2023, the employing entity will resume making contributions for a person who has previously opted out of the Employee Capital Plans, unless the person again submits a declaration of opting out of making contributions to the Employee Capital Plans.

The next automatic subscription will occur in 2027, 2031, 2035, etc.

ecp opt-out declaration expiration date.

Please note that all current ECP opt-out declarations will expire by the same date, i.e. by the last day of February in the year when the automatic subscription occurs, regardless of the date the ECP was introduced, the employee was hired or the employee opted out from ECP contributions.

EXAMPLE: both the opt-out declaration submitted in November 2019 and the opt-out declaration submitted in February 2023 are valid until 28 February 2023.

who is subject to automatic subscription to ecp?

Automatic resubscription applies to all persons aged 18–54 and subject to mandatory pension and disability insurance who had previously submitted the ECP opt-out declaration.

It makes no difference whether the employee opted out from ECP after an ECP agreement was concluded on their behalf or submitted the opt-out declaration before such agreement was concluded and has never joined ECP (i.e. whether the employee became an ECP participant or not).

 

what actions can employees take?

if you have any questions, please contact your consultant directly.

want to save with ECP still don’t want to save with ECP
If you have previously submitted an ECP opt-out declaration, are subject to mandatory pension and disability insurance, aged 18–54, and:

you don’t need to take any action, we will handle all the formalities for you and start making contributions to your individual ECP account

you need to complete the declaration on opting out from ECP contributions (click here) and submit the original copy with the person handling your affairs in the Randstad group company. A new opt-out declaration may not be submitted before 1 march 2023
Jeśli wcześniej złożyłeś rezygnację z PPK, przed 1 kwietnia 2023r. ukończysz 55 lat

you need to complete the ECP agreement application (click here) or ECP contribution application (click here) and submit the original copy with the person handling your affairs in the Randstad group company

 

you don’t need to take any action, we will not subscribe you to ECP and will not calculate or make ECP contributions, as you are not subject to automatic ECP subscription due to your age

frequently asked questions

  • 28.02.2023

    what is next?

    • 1)Randstad Group companies:

    a)    will charge and collect ECP contributions as of 1 March 2023 for those who opted out earlier and:
    - are ECP participants (i.e. an ECP agreement was concluded on their behalf before their opt-out) between 18 and 54 years of age; 
    - are ECP participants between 55 and 70 years of age and submitted a contribution application prior to 28 February 2023; 

    b)    will enroll in the program all those who submitted declarations on opting out from the ECP Program and, therefore, had no ECP agreement concluded on their behalf (employees between 18 and 54 years of age – automatically, and employees between 55 and 70 years of age – if they submit an ECP agreement application prior to 28 February 2023) no later than by 10 March 2023;
    after enrollment, ECP contributions for these employees will be charged and collected

    2) Employee Capital Plans Program is voluntary, therefore employees, if they so desire, may submit a new ECP opt-out declaration from 1 March 2023; a newly submitted declaration will be valid for a given employer for the next four years, i.e. by 28 February 2027, unless the employee submits an ECP contribution renewal application prior to that date

    3) if an employee opts out in March 2023 and their ECP contributions for March 2023 have already been charged and collected, the payroll will be adjusted and their ECP contribution returned 

    4) ECP contributions for those who do not submit a new ECP opt-out declaration will be transferred to their individual ECP accounts in PKO TFI between 1 and 15 April 2023

  • I would like to continue opting out of ECP.

    Can I already (January 2023) submit a new opt-out declaration?

    • No. A new opt-out declaration may not be submitted to the employer before 1 March 2023. Each opt-out declaration submitted before that date will automatically expire on 28 February 2023.

  • I was employed on 9 January 2023 based on an employment contract and as of that day I submitted a declaration that I opt out of ECP. Am I also subject to the automatic re-subscription?

    Do I have to submit a new declaration of opting out in March 2023 if I continue not to be interested in saving with ECP?

    • Yes, if you are 18–54, do not turn 55 before 1 April 2023 and you are not interested in saving with ECP, you should submit a new ECP opt-out declaration in March 2023. Any opt-out declaration submitted until 28 February 2023 has the same date (28 February 2023) as its expiry date. Thus your opt-out declaration submitted on 9 January 2023 is only valid until 28 February 2023.

     

  • In July 2022 my current employer made an ECP agreement on my behalf. Now, however, I have no ECP contributions charged since I submitted an ECP opt-out declaration in August 2022.

    My remuneration will be paid on 3 March 2023. Will my employer charge and collect ECP contributions from me if I fail to submit the original copy of ECP opt-out declaration to them until 3 March 2023? I am 53 now.

    • Yes, if you fail to submit a new ECP opt-out declaration before the time when salaries are calculated, the employer will have to charge ECP contributions, as you are still under 55 before 1 April 2023. If, however, you submit a new opt-out declaration later, but still in March 2023, i.e. before the ECP contributions are transferred to the financial institution, the ECP contributions charged will be corrected and your part will be reimbursed to you.

  • I am 46 and have never been subscribed to ECP, as I submitted my opt-out declaration to the current employer on the first day of my employment, i.e. 1 July 2021.

    My remuneration will be paid on 6 March 2023. Will the employer charge my ECP contributions if I fail to submit ECP opt-out declaration until that day?

    • In such case the employer has to first make an ECP agreement on your behalf since, as your question suggests, such agreement has not been made for you during your employment with that employer. An employer who has a lot of employees may fail to make an ECP agreement until 6 March. This will prevent ECP contributions from being charged (ECP contributions may be charged for an employee only after the ECP agreement is made on behalf of that person).

     

  • I opted out from ECP in September 2022. On 14 March 2023, I will turn 55.

    Will my employer charge ECP contributions for me in March 2023 if I do not renew my opt-out declaration from ECP?

    • In this particular case, the employer will not charge ECP contributions even though you did not repeat your opt-out declaration. This is due to the fact that the automatic subscription only concerns people aged 18–54. Hence in your case, if you become interested in saving with ECP, you will be required to file an application for paying contributions to ECP (if you were registered in ECP by your current employer) or an ECP agreement application (if you had opted out from ECP early enough so that you were never registered in ECP with your current employer). However, if you are still not interested in saving in ECP, you do not need to submit any document – no ECP contributions will be charged for you.