Poland Employer of Record
If a lack of speed or local expertise are among your top concerns when expanding to or employing workers in Poland, an employer of record may be the best option for achieving your global growth objectives.
An employer of record, sometimes known as an international PEO, enables you to quickly hire and onboard workers in Poland―often in as little as two weeks―without having to take on the cost and risk of establishing a local entity.
Learn about the hiring, employment, payroll and benefits requirements for workers in Poland and how our employer of record service, Global Employment Outsourcing (GEO), and local HR experts can help you manage your international employment needs.
Hiring in Poland
The Labor Code governs most labor laws in Poland. A variety of other regulations govern laws regarding labor unions, collective disputes, group redundancies, safety and other issues. Although employment contracts can deviate from the minimum requirements, they can never be less favorable to an employee than what the law requires.
Since employment in Poland is highly regulated, compliant employment contracts are an essential business need. As your employer of record and PEO in Poland, we can ensure that every contract, for every worker, meets all requirements. We can also provide you with guidance about cultural norms and hiring best practices and keep you up-to-date with employment regulations as they change.
Employment contracts in Poland
As you look to hire employees in Poland, here are some common regulations you’ll need to know to create a compliant contract, as well as how an employer of record and PEO can provide support for your unique HR needs.
Working hours
The standard workday in Poland is eight hours with a 40-hour workweek. Working hours may be extended if longer workdays are balanced by additional time off within the same month.
Employees are entitled to at least 11 hours of continuous time off each day and at least 35 hours of continuous time off each week.
Employees who work for at least six hours a day are entitled to a 15-minute break, which is included in working time. An employer may provide an additional break of up to an hour that does not have to be included in working time.
Compensation
As you consider the appropriate salary to offer new employees, keep in mind:
- As of January 1, 2022, the monthly minimum wage is 3,010 zloty. It will increase 10% per year until 2024.
- First-year workers can be paid 80% of minimum wage.
- Night work entitles employees to an additional allowance equal to 20% of the hourly minimum wage.
- Work more than eight hours per day and 40 hours per week is paid as overtime and cannot exceed 150 hours a year. Overtime is paid at 150%, or 200% for work at night, on Sundays or on public holidays.
As your employer of record in Poland, we can provide you with resources and insights about employee compensation, so you are better equipped to make a competitive employment offer.
Bonuses
Bonuses are not mandatory in Poland.
Probationary period
Probationary periods may last for up to three months and can be renewed once.
Termination and severance
Terminating employees requires advance notice as follows:
- Employed less than six months: Two weeks’ notice
- Employed at least six months but less than three years: One month
- Employed at least three years: Three months
Termination of a contract without notice is permissible if an employee does any of the following:
- Seriously violates basic employment duties
- Commits an offense that makes further employment impossible
- Loses a license needed for employment
- Is absent from work for more than 272 consecutive days
- Refuses to accept a reasonable change in employment or salary
All dismissals without notice require a letter of explanation.
Termination of an indefinite employment contract must have sufficient justification, which must also be cited in a letter of dismissal.
Under Polish law, a notice of termination cannot be served to an employee under the following conditions:
- Absent on holiday leave; maternity, paternity or other parental leave; special events leave; or family emergency leave
- Unable to work due to illness (unless the duration of the absence allows the company to terminate the employment contract without notice)
- Due to qualify for retirement in less than four years starting from the date of receipt of the letter
- Appointed as trade union officer or designated by a trade union organization as protected against termination
- Appointed to the works council
Employees have 21 days to bring an action against an employer for wrongful termination.
Employees must give advance notice of resignation except when serious cause justifies immediate resignation, such as when an employee is forced to work under hazardous conditions or if the employer refuses to transfer them to another position despite medical necessity.
When leaving the company, employees are entitled to a cash payment in lieu of any unused holiday leave. Alternatively, an employee may be told to use up holiday leave during the notice period.
All employees who are made redundant are entitled to severance pay. The amount of this compensation depends on length of service with the current company. The maximum severance pay is three months’ average earnings for employees who have been employed for eight years or more, with a cap at 15 times the national minimum wage.
As your employer of record in Poland, we can work with you to quickly handle the unforeseen event of an employee termination, providing legal guidance and a personalized process that ensures you stay out of labor court.
Employee benefits and paid leave in Poland
When negotiating terms of an employment contract with a candidate in Poland, here are some of the statutory benefits and paid leave requirements to keep in mind, as well as how an employer of record can support your company’s benefits strategy.
Maternity leave
Pregnant employees are entitled to maternity leave when they give birth to or adopt children. The number of children birthed or adopted determines the amount of leave:
- One child: 20 weeks
- Two children: 31 weeks
- Three children: 33 weeks
- Four children: 35 weeks
- Five or more children: 37 weeks
Maternity leave may begin six weeks before the due date. The remaining leave must be taken in full immediately after childbirth. An employee must take a minimum of 14 weeks’ maternity leave before returning to work. Following maternity leave, working mothers are also entitled to parental leave.
Employees are entitled to maternity benefits covered by the public sickness insurance fund operated by the State Social Security Office.
An employee who is nursing one child and works more than six hours a day is entitled to two 30-minute breaks a day, while an employee who is nursing more than one child is entitled to two 45-minute breaks each day.
Mothers of stillborn babies or babies who die following childbirth are entitled to a portion of their maternity leave.
Vacation
All employees are entitled to paid vacation as follows:
- Full-time employees with less than 10 years of total employment: 20 days of leave per year
- Employees with more than 10 years of total employment: 26 days
- Part-time employees: Prorated depending on their working hours
- New employees hired for the first time in their career: Earned at the rate of 1/12 of total annual leave per month (effective at the end of a calendar month)
Employees must take at least 14 consecutive calendar days of vacation each year. Any unused vacation is carried over and must be used by Sept. 30 of the following year.
Cash payment in lieu of leave is only allowed when an employee ends their employment at a company.
Holidays
Employees in Poland are entitled to 13 paid holidays:
- New Year’s Day
- Epiphany
- Easter Sunday and Monday
- Labor Day
- Constitution Day
- First day of Whitsun Holidays
- Corpus Christi
- Assumption Day
- All Saints’ Day
- Independence Day
- Christmas Day
- Boxing Day
Working on public holidays is forbidden with the exception of essential services. If an employee has to work on a public holiday, another day off must be granted, regardless of the number of hours worked.
Sick leave
When unable to work due to disability or illness resulting from an accident at work, while traveling to or from work or due to pregnancy, an employee is entitled to their full salary. For non-work- or pregnancy-related disability or illness employees are entitled to sick pay equal to 80% of their average earnings, which is calculated based on the salary they received for the 12 months prior.
An employer must cover sick pay for up to 33 days per year, after which the State Social Security Office assumes payment for a maximum 182 consecutive days per year. For employees 50 and older, the employer only has to cover the first 14 days of the year.
Health coverage
In Poland, health care is provided to all residents both temporary and permanent through the National Health Fund (NHF), or Narodowy Fundusz Zdrowia. It is mandatory for employees to pay into the NHF at a rate of 9% of their salary. Many people use a mix of public and private healthcare since public healthcare services can have long waits.
It is becoming more and more common for employers to provide supplementary health insurance to employees as part of their benefits package. This may take the form of a contract made directly with a medical center or a monthly healthcare allowance paid to the employee.
All employees are required to undergo a mandatory health exam prior to starting work. This exam is paid for by the employer.
As your employer of record in Poland, we may be able to provide optional supplementary medical insurance coverage for professionals and their dependents at a more cost-effective rate.
Pension
The legal retirement age is 60 for women and 65 for men. Employees and employers share the cost of government pensions by paying 9.76% each of the monthly remuneration. Employers are also required to offer either a pension scheme known as the PPK, or a retirement scheme known as the PPE. Employer contributions to the PPK equal 1.5% of the employee’s salary, while contributions to the PPE equal 3.5% of the employee’s salary. Employees are also required to contribute to the PPK or PPE.
Workers’ compensation
Employees who suffer work-related injuries or illness are entitled to time off if they have a doctor’s certificate that shows proof of incapacity. Employers are required to pay employees 100% of their salary during the first 33 days of incapacity (or in the case of employees 50 or older, 14 days) with any remaining sick pay financed through social insurance payments.
Employer social costs will cover a large portion of employee benefits in Poland, but we can consult with you about supplemental coverage options, such as additional pension contributions or life insurance, if needed.
Employee onboarding with an employer of record in Poland
We write and validate all local employment contracts, streamlining the onboarding process for you and your Poland employees—all you have to do is provide relevant information and review and approve the employment agreement.
As your employer of record in Poland, we will:
- Schedule a welcome call to discuss HR and employment information for Poland, as well as answer any questions
- Prepare a customized employment contract in English and in Polish (or other local language)
- Share the employment contract and benefits information with the new employee for signature and review
- Gather tax and banking information from the employee to set up payroll
- Provide a local point of contact to the employee to answer any questions regarding their employment, local HR or payroll
The entire onboarding process for the employee is often completed in as little as two weeks.
Partner with Safeguard Global as your employer of record and PEO in Poland
With over a decade of service, we are the longest-serving employer of record and PEO provider in the international market. Organizations around the world rely on Global Employment Outsourcing (GEO) to expand and hire in over 179 countries around the world, quickly and compliantly.
We’ve seen just about every global employment circumstance imaginable—and with our extensive knowledge of local law and culture, we know what it takes to get employment right in Poland. We provide written contracts in the local language, salaries in the local currency and HR support in your employees’ time zone.
Additionally, as a global payroll provider we support payroll administration—including payments, filings and other calculations—in more than 150 countries and can accommodate the payroll outsourcing needs of any size organization.
Whether you’re looking to hire as part of a strategic expansion or to meet specific talent needs, our global solutions advisors can walk you through your international hiring options so you can make the right choice for your organization. Contact us today.
The information provided on or through this website is for informational purposes only and does not constitute legal advice. Safeguard Global expressly disclaims any liability with respect to warranty or representation concerning the information contained herein, including the lost essence, interpretation, accuracy and/or completeness of the information in transit and language translation.
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