27.08.2025 employer of record

Hiring employees in Poland can be a rewarding step for international businesses looking to access skilled talent in a growing European economy. However, Poland has a well-defined legal framework that requires employers to follow specific procedures. Failing to comply with local regulations can result in financial penalties, disputes with employees, and even reputational risks. This guide explains how to hire staff in Poland legally, step by step, while remaining compliant with Polish labor law.

Why Companies Hire in Poland

Poland has become one of the most attractive destinations for international employers in recent years. The country offers a strong pool of well-educated professionals, competitive labor costs compared to Western Europe, and strategic access to the European Union market. Sectors such as IT, manufacturing, finance, and business services are particularly dynamic, attracting both global corporations and startups. Employers also benefit from Poland’s economic stability and modern infrastructure, which make hiring and managing teams easier than in many emerging markets.

Legal Requirements for Hiring

Before employing staff in Poland, companies must register with several state authorities and comply with mandatory legal steps. Employers are required to obtain a tax identification number (NIP), register the business with the Social Insurance Institution (ZUS), and notify the local labor office when hiring new employees. In addition, employers must ensure proper income tax withholding (PIT) and make social security contributions. These procedures guarantee that employees are legally protected and that employers remain compliant with Polish labor law.

Employment Structures

In Poland, employers can choose from different legal structures when hiring staff. The most common option is a standard employment contract regulated by the Labor Code, which guarantees full employee rights and protections. Alternatively, companies may use civil law contracts, such as contracts of mandate (umowa zlecenie) or contracts for specific work (umowa o dzieło). Some businesses also collaborate with independent contractors (B2B model). Each structure has different implications for taxes, benefits, and employer obligations, making it important to choose the right one for the role and level of control.

Common Legal Challenges

Despite Poland’s clear legal framework, many employers—especially international ones—face challenges when hiring. One of the most frequent issues is misclassification of workers, for example treating someone as a contractor when the relationship should be covered by an employment contract. Another common challenge is failing to follow mandatory labor law provisions, such as providing the correct notice period, paid leave, or overtime pay. Employers must also be mindful of language requirements—employment contracts should be in Polish, even if an English version is provided alongside.

Hiring Options for Foreign Companies

Foreign employers that want to hire in Poland have several options. The most traditional route is to set up a local subsidiary, which allows full control but requires significant time, cost, and administrative effort. Another path is to work with a local payroll provider, who handles salary payments but does not take legal responsibility for employment compliance. A more flexible alternative is using an Employer of Record (EoR) service, which enables companies to legally hire staff in Poland without creating a local entity. In this model, the EoR (such as Bizky) becomes the legal employer on paper, while the foreign company manages the employee’s daily work. This approach is particularly attractive for businesses testing the Polish market or hiring just a few employees.

Best Practices for Smooth Hiring in Poland

To hire successfully in Poland, companies should go beyond legal compliance and focus on building a positive employee experience. Clear and transparent employment contracts are essential, outlining working hours, salary, benefits, and termination terms. Employers should also respect cultural aspects—Polish employees value job stability, career development, and clear communication from management. Another best practice is ensuring proper onboarding, which helps employees adapt quickly and increases retention. Finally, foreign companies should monitor changes in labor law, as Poland frequently updates regulations related to working time, benefits, and remote work.

Ongoing Compliance and Reporting

Hiring in Poland does not end with the signing of an employment contract. Employers must meet ongoing obligations such as monthly social insurance declarations to ZUS and timely tax filings to the tax office. New hires must be reported to ZUS within seven days, and payroll records must be maintained accurately. Inspections by the National Labour Inspectorate (PIP) are frequent and focus on compliance with wages, contracts, and working conditions.

Employment Documentation

Another critical requirement is maintaining detailed personnel documentation. Employers must keep employment contracts, personal data, medical examination records, and training certificates for every employee. Since 2019, Polish law allows electronic storage of these records, which reduces administrative work, but strict GDPR compliance is required. Payslips must also be issued for each payroll cycle and made available to employees.

Health and Safety Obligations

Polish labor law requires employers to provide a safe workplace and ensure that employees undergo proper health checks and training. Before starting work, employees must complete a medical examination and health & safety training. Follow-up checks depend on job type: office workers may require updates every few years, while employees in hazardous industries need regular monitoring. Employers are also responsible for providing protective equipment and enforcing workplace safety rules.

Employee Benefits in Poland

Employers in Poland are expected to provide a range of benefits that go beyond salary. Mandatory benefits include paid annual leave, sick leave, and contributions to the social insurance system. However, many companies also offer additional perks to stay competitive in the labor market. These may include private healthcare, meal vouchers, sports cards, or training programs. Offering a strong benefits package not only improves employee satisfaction but also strengthens retention rates, especially in industries with high demand for skilled workers.

Working Hours and Overtime Rules

Polish labor law strictly regulates working hours to protect employees. The standard working schedule is 40 hours per week, spread over five days, with a maximum of 8 hours per day. Employers may introduce flexible arrangements, but they must remain within the limits of the Labor Code. Any work performed beyond these limits is considered overtime, which requires additional pay or time off in lieu. Employees cannot work more than 150 overtime hours annually unless otherwise agreed in collective arrangements. Special rules apply for night work, which must be compensated with additional allowances.

Termination of Employment

Ending an employment relationship in Poland must follow strict legal procedures to protect both the employee and the employer. Termination can occur through mutual agreement, resignation, or dismissal with notice. The notice period depends on the employee’s length of service: two weeks for employees with less than six months of service, one month for those employed between six months and three years, and three months for those employed longer than three years. Employers must also provide valid reasons for dismissal, particularly in indefinite-term contracts. In some cases, employees are entitled to severance pay, especially when termination is due to organizational or economic reasons.

Probation Periods in Poland

In Poland, employers often begin new employment relationships with a probationary contract. This trial period allows both the employer and the employee to evaluate whether the cooperation is a good fit. The maximum probation period is 3 months, and it must be clearly stated in the employment contract. During this time, the employee enjoys the same labor rights as regular staff, including paid leave and social insurance contributions. Termination rules during probation are more flexible, with shorter notice periods, which gives companies an efficient way to assess performance before committing to a longer-term agreement.

Annual Leave Entitlements in Poland

Employees in Poland are entitled to paid annual leave, which is guaranteed by the Labor Code. The number of days depends on the employee’s total work experience, not just their tenure with the current employer. Those with less than 10 years of professional experience receive 20 days of annual leave, while employees with 10 years or more are entitled to 26 days. Importantly, higher education counts toward the calculation of service years—completing university adds eight years to the total. Annual leave is fully paid and cannot be replaced with financial compensation, except when employment ends. Employers must keep precise leave records and ensure employees use their entitlement.