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There are two most popular methods of employment in Poland: on employment agreement basis and on civil law agreements basis. The provisions of Polish Labour Code and other acts concerning labour law apply only to persons employed with employment agreements. Persons performing work under civil law agreements are legally not considered employees.
By establishing an employment relationship, an employee undertakes to perform work of a specified type for the benefit of an employer and under his supervision, in a place and at the time specified by the employer. At the same time, the employer undertakes to employ the employee in return for remuneration. It should be emphasized that employment under the aforementioned conditions is considered employment on the basis of an employment relationship, regardless of the name of the contract concluded between the parties. Employment contract cannot be replaced with a civil law contract where the performance of work conditions specified above remain intact.
There are three types of employment agreements in Poland:
Employment agreement for trial period
Employment agreement for definite period
Employment agreement for indefinite period
The agreement for trial period can be concluded for a maximum of 3 months. This type of agreement can precede employment agreement for definite or indefinite period.
The agreement for definite period can be concluded for a maximum of 33 months. Moreover, it is possible to conclude only 3 of such agreements in a row. The agreement which exceeds the total of 33 months or is a 4th agreement in a row will be considered as the agreement concluded for indefinite period.
All foreigners, EU, and non-EU residents can be employed on the basis of the same types of agreements as Polish citizens.
The foreigner has to obtain a work permit and possess legal basis to reside in Poland
in order to perform work in Poland. Such permit is issued on a request of employer by competent local authority (in Polish: wojewoda).
The procedure lasts approximately 2-3 months. Further, the work permit constitutes a basis to obtain working visa in the country of foreigner’s residence, that constitutes the legal basis to reside in Poland.
Citizens of Republic of Armenia, Republic of Belarus, Republic of Georgia, Republic of Moldova and Ukraine can perform work in Poland based on employer’s statement of intention to employ a foreigner.
The following conditions should be met:
The work permit is not required in case of citizens of EU and EEA and Switzerland. Residents of these countries are allowed to perform work under the same conditions as citizens of Poland. However, if the foreigner (EU resident) plans to stay in Poland longer than 3 months, he/she should register his/her stay in provincial office.
An employment agreement should specify the parties of the agreement, registered seat of employer, the type of agreement, the date of its conclusion, as well as the work and remuneration conditions, including in particular:
The type of work
The place where the work is performed
The remuneration corresponding to the type of work, with a specification of the remuneration components
The working time
The starting date of employment
in case of an employment agreement for trial period shorter or equal to 2 months, the duration of the subsequent agreement for definite period intended to be concluded after the current agreement.
Furthermore, the employer must inform the employee in writing, not later than within 7 days from the date of concluding the employment contract, about:
If the employer is not obliged to establish work regulations – they should additionally inform the employee about the night-time hours, the place, date and frequency of remuneration payments, and the adopted procedure of confirming the arrival and presence of employees at work, as well as the procedure of excusing their absence from work.
Additionally, the employer must inform the employee in writing, not later than within 30 days from the date of concluding the employment contract, about:
The remuneration in Poland cannot be lower than minimum wage, which is determined by the Council of Ministers each year. As of the 1st January 2024 the minimum wage amounts to PLN 4.242 gross. Starting 1st July 2024 it will be increased to PLN 4.300 gross.
There are 3 methods of terminating employment agreement in Poland:
Termination by mutual consent
Termination with notice
Termination without notice
The employment agreements can be terminated by notice given by each party. The termination notice period depends on the period of employment. Notice periods for definite and indefinite period agreements are the following:
In case of agreement for definite and indefinite period, the employer’s notice of termination should state the reason justifying the termination.
The law in Poland does not provide the list of possible reasons, but according to Polish judicature, the reason should be real, concrete and understandable for employee.
In case of agreements for trial period, the periods of termination notice are the following:
An employer may terminate an employment agreement without notice:
An employee may terminate an employment agreement without notice:
The employer is obliged to pay monthly contributions to social and health insurance and advances on the income tax. The tax advance should be paid until 20th day of the next calendar month. The contribution to social insurance should be paid until 15th day or 20th day of the next calendar month (depending on the legal status of the remitter).
The amounts of personal income tax owed in Poland are presented in the table below.
Basis for tax calculation | Tax amounts to |
Up to PLN 120,000.00 | 12% – amount decreasing the tax PLN 3,600 |
Above PLN 120,000.00 | PLN 10,800.00 + 32% of surplus over PLN 120,000.00 |
The amounts of contributions in Poland are presented in the table below.
Contribution | Employee | Employer |
Retirement pension contribution | 9.76 % | 9.76 % |
Disability pension contribution | 1.5 % | 6.5 % |
Sickness contribution | 2.45 % | N/A |
Accident contribution | N/A | from 0.67 % to 3.3 % |
Health insurance | 9 % | N/A |
Labour Fund | N/A | 2.45 % |
Guaranteed Employee Benefits Fund | N/A | 0.1 % |
TOTAL | 22.71 % | 19.48 % – 22.11 % |
Working time should not exceed 8 hours per day and an average of 40 hours per an average five-day working week. For the work performed in excess of the working-time standards employee is entitled to an allowance. If it’s justified by the type of work or the organization thereof, the employer can introduce the other working-time systems which allow to extend daily amount of working time. Specific requirements related to this matter are indicated in the Polish Labour Code.
An employee is entitled to an annual, paid vacation leave amounting to 20 days – if an employee has been employed for less than 10 years, or to 26 days if an employee has been employed for at least 10 years. In case of an employee who possess intermediate or severe level of disability, such employee is entitled to additional 10 days of annual paid vacation leave.
Periods of previous employment, regardless of intervals in employment and how the employment relationship ended, are counted into the employment period determining the right to leave and the length of leave.
Graduating from the following schools means the following periods are counted into the employment of period on which the length of leave is based:
The periods of education cannot be aggregated.
If an employee attended school while being employed, the employment period determining the length of leave includes either the duration of employment while attending school, or the duration of attending school, whichever is the more favourable to the employee.
In the event of changing the employer during the year, the employee is entitled to paid leave as follows:
An employee who has exceeded the leave he/she is entitled to during employment (with the prior employer), is entitled to leave with the new employer in an appropriately reduced amount. The total length of leave within a calendar year cannot be shorter than the amount resulting from the employment period, as indicated above.
This time off may be granted for 2 days or 16 hours per year, in urgent family matters caused by disease or accident (employee retains 50% of his/her remuneration).
This leave is unpaid and can be granted to employees for 5 days per year. It can be granted to provide care to a family member who requires support for serious medical reasons.
For the period of an employee’s incapacity to work, the employee retains the right to the sickness remuneration. The sickness remuneration is due in amount of 100 % or 80 % of regular remuneration depending on the cause of the incapacity. The employer is obliged to pay the sickness remuneration for the first 33 days of incapacity in any given calendar year. If the incapacity lasts longer the employee is entitled to receive sickness benefit paid by social security institution for a period of up to 182 days, including the previous 33 days of sickness remuneration in this limit of days.
At the written request of an employee, the employer in Poland can grant unpaid leave to the employee. The period of unpaid leave is not counted into the employment period on which the employee’s rights are based.
When granting unpaid leave longer than 3 months, the parties may provide a possibility to recall the employee from leave for important reasons.
An employer can also grant an employee, with the written consent of the employee, unpaid leave to perform work at another employer for a period set out in an agreement concluded on this matter between the employers. The period of such leave is counted into the period of work on which the employee’ rights at the existing employer are based.
According to Polish law, temporary work shall be understood as:
The legal scheme of temporary employment is the following:
a temporary work agency concludes a contract with a user-employer setting forth the rules of leasing of the temporary employee
the temporary work agency employs a temporary employee
the temporary work agency assigns the temporary employee to perform temporary work for the user-employer
It shall be stressed out that the temporary employee remains the employee of the temporary work agency at all times. But it is the user-employer who instructs the temporary employee and subsequently supervises his work.
It shall be noted that unless regulated in Act on Employment of Temporary Workers otherwise, the provisions of the Labour Code and other labour laws concerning the employer and the employee apply accordingly to temporary work agency, temporary employee, and user-employer. The only exception is the regulation related to group redundancies.
The temporary work agency should agree with the user-employer in writing, at least on the following:
The user-employer shall also inform the temporary work agency about the remuneration and its structure (bonuses, fees, additional payments) and also health and safety conditions.
The temporary work agency may not assign the temporary employee with temporary work for a single user-employer for a total period of work exceeding 18 months within a period of 36 successive months. The user-undertaking can use the temporary employee for not more than 18 months within a period of 36 successive months.
There is an exception only in a situation when the temporary employee performs temporary work for the benefit of a given user-employer in a continuous manner, and the work includes performing the tasks of an absent worker of the user-employer. In such a case the temporary work can be performed for maximum of 36 months. The break between the employment for the same user-employer shall last at least 36 months.
The activity of temporary work agency is regulated by Polish state. In order to conduct such activity each entity should register in the National Register of Employment Agencies kept by the marshal of the voivodship. In order to be registered as a temporary work agency the following conditions shall be fulfilled:
The employment agency has an obligation to provide the marshal of the voivodship with a report on the activities of employment agencies – within January 31st of each year for the preceding year – containing in particular the number of persons assigned to perform temporary work.
In the documents, announcements and offers the temporary work agency is obliged to disclose the registration number and label the job adverts for temporary employment as “temporary jobs”.
Employee Capital Plans (PPK) is a voluntary pension saving system for all persons paying the social security contributions, regardless of the form of employment. This is a universal social program which aim is to increase the financial security of Poles.
Regulations concerning PPK are included in the Act on Employee Capital Plans from October 4, 2018. The participation in PPK is voluntary for the employees. They may resign from it based on a written declaration.
On the other hand the employer is obliged to join the PPK in case it employs at least 1 person. There is only one exception for employers being microentrepreneurs, whose all eligible persons resigned from participation in PPK. Such employer is not obliged to join the program. However, such employer shall constantly observe whether it fulfils the requirements of allowed exception. The obligatory basic contribution is financed by both the employee and the employing entity’s funds.
The scheme below depicts the contribution rates:
Obliged entity | The amount of payment |
State Welcome Payment | 250 PLN |
State Annual Payment | 240 PLN |
Employer | Basic contribution | 1.5% of basis of pension and disability insurance contribution |
Employer | Additional contribution | 2.5% of basis of pension and disability insurance contribution |
Employee | Basic contribution | 2% of basis of pension and disability insurance contribution |
Employee | Additional contribution | 2% of basis of pension and disability insurance contribution |
Funds accumulated in PPK will be paid to the participant after reaching the age of 60 (the legislator introduced the same age for women and men in accordance with the principles of equal treatment in relation to voluntary pension schemes for employee). This payment will be divided into one-off payment (equal to 25% of accumulated capital) and the other parts (equal to 75% of accumulated capital) paid for the period of 10 years and divided in 120 monthly instalments.
Remote work has been implemented to the Labour Code in April 2023. It means the work performance entirely or partially in the place designated by the employee (including under the employee’s address of residence) and each time agreed with employer.
Agreeing on remote work between employee and employer.
Remote work can be agreed:
The fundamental legal basis for remote work.
The law introduced the obligation to specify the rules for remote work in:
Legal basis of remote work in connection with special circumstances.
Employer may instruct (not agree with) an employee to work remotely under special circumstances, i.e., during:
The employer is obliged to:
Occasional remote work may be granted at the employee’s request (non-binding, the employer may refuse to consider it), for up to 24 days in a calendar year, due to its specific nature, some provisions regarding remote work do not apply (e.g., the obligation to provide work materials and tools). Applicability of Occasional Remote Work is based on the provisions of the labour law.
In the first part of 2024, it is highly likely that the Whistleblower Protection Act is going to be adopted in Poland. The Whistleblower Protection Act forms an implementation of EU Directive 2019/1937 of the European Parliament and Council of 23 October 2019 on the protection of persons who report breaches of Union law.
The adoption of a law regulating issues related to reporting violations, including the protection of whistleblowers who have become aware of a violation of the law in the context of their work, will require employers to take a series of actions, including implementing a violation reporting procedure. Failure or improper fulfilment of this obligation will be sanctioned with a fine. Employers will be required not only to develop and implement an internal procedure for reporting legal violations but also to take a series of follow-up actions, including conducting appropriate proceedings regarding received reports.
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