Paliwoda graduated with honors from the Cleveland Institute of Art in the early 1930s, thereafter touring Europe on a year's art scholarship. A few years after returning from Europe, Paliwoda moved to Los Angeles, where he worked from 1935 to 1960 at Walt Disney Studios, first as an Assistant Animator and later as an Animator. Among his many assignments was to animate the characters "Jasper" and "Horace", who were the henchmen of the female villain, "Cruella deVille", in the animated feature film, One Hundred and One Dalmatians. While at Disney he helped organize the Motion Picture Screen Cartoonists, Local 839 IATSE, and was one of the 21 charter members of that union. After leaving Disney he worked for many other studios, including Hanna-Barbera, Filmation, Bakshi Productions and Duck Soup Producktions. He retired from animation in 1983. For his lifetime of work in the animation field, Paliwoda received the Animation Guild's Golden Award in 1985.
Paliwoda died of natural causes on June 9, 1999, in Manhattan Beach, California, several months short of his 90th birthday.