Employer of Record in Poland: A Comprehensive Guide for 2026

Introduction

Employer of Record in Poland requires compliance with the Polish Labour Code, employment contract regulations, tax obligations, and social security registration with the Social Insurance Institution. Companies hiring in Poland must also manage payroll filings, statutory contributions, and work authorization requirements for eligible foreign employees.

Managing employment in Poland requires accurate documentation, payroll calculations, and adherence to local employment rules. Errors in worker classification, tax reporting, or social security payments can result in compliance issues, financial penalties, and delays in employee onboarding.

In this guide, we explain how Employer of Record services work in Poland, including hiring processes, payroll, taxes, benefits, work permits, termination rules, and key employment compliance requirements for companies expanding their workforce.

Poland at a glance

• Population: 37.7 million
• Currency: Poland Zloty
• Capital: Warsaw
• Languages: Polish
• GDP: USD 1.04 Trillion

How can you hire employees in Poland?

In Poland, you may either hire employees by setting up a subsidiary or via an employer of record platform.

How do you incorporate a company in Poland?

To incorporate a Limited Liability Company (LLC) in Poland, you should be aware of the subsidiaries' taxation and compliance structure.

Several steps are required for the incorporation to engage in any commercial activities; therefore, it is necessary to prepare all the documents for the smooth functioning of the process.

The list of documents is as follows:

1. Articles of Association.
2. Contract or statute with a certified translation in Polish.
3. Power of attorney for company registration.
4. Founders: The company can be formed by one or more shareholders, with no restriction on nationality. A single-shareholder limited liability company cannot form another single-shareholder limited liability company.
5. Capital Contribution: 5000 PLN must be paid up in cash or kind before the business is registered.
6. Management: At least one person sits on the management board. A supervisory board becomes compulsory only when share capital exceeds PLN 500,000 and the company has more than 25 shareholders. Both conditions must be met. Companies below those thresholds may appoint a supervisory board or an audit committee voluntarily.
7. The company receives a KRS number on registration with the National Court Register, a REGON statistical number, and a NIP tax identification number.
8. Registration for VAT purposes is also required.

Should you set up an entity in Poland?

Poland is a popular destination for businesses looking to expand operations in Central Europe.

Setting up a legal entity in Poland can provide various advantages for direct hiring in Poland, but it's essential to weigh the pros and cons before making a decision.

Pros of hiring in Poland through your entity:

• Having your entity in Poland can give you greater negotiation power with local suppliers, service providers, and potential employees.
• You can leverage the country’s favorable tax regime to optimize your business taxes in Poland.
• Setting up an entity allows you to have direct control over hiring, onboarding, and managing your employees.
• You can tailor your company culture and practices to suit the business culture in Poland better.
• Having your entity in Poland can help you build brand recognition and establish a strong local presence.

Cons of hiring in Poland through your entity:

• Setting up and managing an entity in Poland can be administratively complex.
• Adhering to Polish labor laws, tax regulations, and other legal requirements can be time-consuming.
• Setting up an entity for direct hiring in Poland requires an initial investment, including costs for registration, office space, and legal fees.

You can consider modern business solutions like an employer of record in Poland to offset the HR costs involved in hiring Polish employees while you expand in the region.

How do EOR services work in Poland?

Poland Employer of Record (Poland EOR) solution makes expanding your business in Poland easier and faster, minus the complexities and expenses that may occur while establishing an entity in Poland without a feasibility study.

General terms of Employer of Record service provider in Poland:

The general terms above set a floor: employer contributions of roughly 19% to 22% on top of gross salary, a three-month minimum service duration, and separate documentation tracks for Polish citizens and expatriates. Every one of those is a process your HR team either builds or outsources.

Skuad supports this on a single platform. Skuad acts as the legal employer in supported markets, which lets your team hire in Poland without registering an entity or standing up local payroll operations.

• Supports employment contract generation across 160+ countries in line with local labor law
• Facilitates statutory contribution workflows across supported markets
• Supports payroll processing in 70+ currencies with tax withholding applied at source
• Assists with onboarding documentation collection and verification for both local hires and foreign nationals
• Helps administer statutory benefits and paid leave entitlements in line with local requirements

Book a demo to see how Skuad supports Poland employment end-to-end

Also see: Poland hiring guide

Customer Story: How PureRED built a six-country team without six entities

PureRED is an integrated marketing and advertising agency serving large retail and consumer brands. The team needed to onboard employees across the UK, Spain, Croatia, Greece, Colombia, and India, each with its own labor law and payroll rules. Skuad supported localized employment contracts, multi-currency payroll, and ongoing compliance across all six markets from a single platform. 65 employees were onboarded without PureRED registering an entity in any of them.

"Skuad made our team expansion possible, handling the complex onboarding and payroll processes across six different countries with ease. Their local expertise ensured our compliance, letting us focus on what we do best, serving our clients."

- Brian Butcher, EVP Corporate Development, PureRED

Read the full case study

How do onboarding and employment agreements work in Poland?

Onboarding is the process of integrating new hires into your company. It's crucial for setting expectations, ensuring employee engagement, and ensuring new employees understand their roles and the company culture.

How do you onboard employees in Poland?

• Prepare everything the new employee needs before their first day, like a workspace and equipment.
• Provide a welcome packet with company policies, job expectations, and important contacts.
• Introduce the new hire to team members to help them feel welcome.
• Offer training sessions to explain their role and responsibilities.
• Set clear, achievable goals for their first few months.
• Check-in regularly to see how they're adjusting and offer support.

What types of employment agreements exist in Poland?

The Labour Code recognizes three basic types of employment contract:

• Contract for a trial period: used to assess an employee's qualifications and suitability before moving to a longer engagement.
• Fixed-term contract: includes an end date, and covers contracts for substitution of an absent employee. Employment on fixed-term contracts is limited to 33 months in total, and the number of such contracts with the same employer may not exceed three, with the fourth becoming a contract for an indefinite period.
• Contract for an indefinite period: the permanent contract, with no end date and the strongest employee protections.

Onboarding checklist for Poland

• Employment Contract: Prepare a written contract before the employee starts work, setting out the contract type, job title, place of work, remuneration, and start date.
• Work permits and authorization: Secure the necessary permits and supporting documents for foreign workers.
• Social Security Registration: Register new employees with the social security system.
• Tax Registration: Register the employee with the tax authorities.
• Health insurance: Coverage follows from ZUS registration. Employers withhold a 9% health contribution from employee salary rather than arranging separate private cover.
• Payroll setup: Apply PIT withholding and remit employee income tax to the tax office.
• Company Policies: Provide employees access to handbooks and familiarize them with company policies.

What are the tax requirements in Poland?

Here is a breakdown of employment tax in Poland, where we discuss employer and Poland employee tax rate obligations:  

Employer Taxation in Poland

Employee Taxation in Poland

VAT

What are the compliance requirements for hiring in Poland?

Here are some key compliance considerations for hiring & onboarding in Poland:

Employment laws in Poland

Poland's legal framework includes the Constitution of the Republic of Poland (which deals with general principles of freedom to work and social rights), international agreements on labor laws, the Poland Labour Code, acts and legislations defining employees' and employers' rights and obligations, and more.

Polish labor law is categorized into statutory labor law and autonomous labor law. Statutory labor law covers acts of Parliament and decrees.

Autonomous labor law consists of all acts formed by social partners that are recognized by the State as legal acts, such as collective labor agreements and external collective labor agreements.

• The national minimum wage is PLN 4,806 gross per month as of 1 January 2026, with a minimum hourly rate of PLN 31.40 gross for civil law contracts. The rate holds for the full calendar year.
• Employees receive regular remuneration for each overtime hour plus an allowance. The allowance is 100% of remuneration for overtime at night, on Sundays and public holidays that are not the employee's work days, and where work exceeds the average 40-hour weekly standard.
• For overtime on the employee's normal work days, the allowance is 50%. Employers and employees can agree to compensate overtime with time off instead.
• Citizens of the European Union, the European Economic Area, and Switzerland, along with their family members, can work in Poland without a work permit. Non-EEA nationals generally require both a work permit and an entry visa.

Employee/Contractor Classification in Poland

Every employer needs to know how employment relationships are governed and performed while hiring employees in Poland, along with detailed knowledge of Poland's labor code.

There are three types of contracts: trial period, fixed-term, and unlimited term. These contracts should mention the parties, such as employer and employee, the date, conditions of work, remuneration, venue of work, and other necessary details as per the type of work.

Therefore, when choosing a type of employment, it is important to consider the above three categories to hire a good team according to your work.

Poland gives you trial period, fixed-term, and unlimited-term contracts, plus contractor arrangements that carry misclassification exposure of up to PLN 30,000. The classification call you make at the offer stage determines your compliance risk for the life of the engagement.

Skuad supports both hiring models from a single platform:

EOR for full-time employees

• Acts as the legal employer across 160+ countries, so you can hire without setting up a local entity
• Supports employment contract generation aligned with local labor laws across supported markets
• Facilitates statutory contribution workflows covering applicable social insurance and pension obligations
• Supports payroll processing in 70+ currencies with tax withholding and year-end reconciliation
• Assists with termination and offboarding, including notice periods and severance calculations as required locally

Contractor management

• Helps onboard contractors with locally compliant agreements that reduce misclassification exposure
• Supports invoice generation, approval workflows, and payment processing
• Helps flag classification risk before it becomes a compliance issue with built-in worker classification checks
• Facilitates multi-currency payouts across 70+ currencies
• Helps keep contractor records, contracts, and payment history alongside full-time employees in one dashboard

Full-time or contractor, Skuad supports both. See pricing

Fines/Penalties per Employment Laws

Fines for offences against employee rights range from PLN 2,000 to PLN 60,000, rising to between PLN 3,000 and PLN 90,000 for certain categories of offence. Labour inspectors can issue on-the-spot fines of up to PLN 5,000.

Since 8 July 2026, the risk goes beyond fines. The National Labour Inspectorate can now confirm the existence of an employment relationship where someone formally engaged on a civil law contract is in practice working as an employee, with a right of appeal to the labour court. This applies where a company misclassifies employees as independent contractors.

The reform does not change the rules on when an employment contract is required under Article 22 of the Labour Code, which have been unchanged since 2002. It introduces tools to enforce them.

An engagement is treated as employment where it shows six characteristics: the work is performed voluntarily, it is personal in character, it is continuous, the worker is subordinate to the employer, the work is paid, and the employer bears all personnel, organisational, and economic risk. Where those conditions are met, it is an employment relationship regardless of what the contract is called.

Companies that engaged workers on civil law contracts before 8 July 2026 where the relationship meets all the characteristics of employment can avoid liability by voluntarily concluding an employment contract within twelve months of that date.

Confidentiality of personal information

Data protection is governed by the General Data Protection Regulation (GDPR), which is implemented under the Act of 10 May 2018 on the Protection of Personal Data, and:

• It governs how employers collect, store, and process employee and candidate personal data.
• It sits alongside the Labour Code provisions that limit which categories of data an employer may request.

What are the types of visas In Poland?

There are three categories of visas required in the Republic of Poland.

What are the work permit requirements in Poland?

Foreign nationals require a work permit, but the following categories of foreign nationals are exempted from obtaining a work permit:

• The act does not apply to work entrusted to citizens of EU or EFTA/EEA member states, or to UK nationals covered by the Withdrawal Agreement and their family members.
• Free access to the labour market also applies to Swiss nationals with a right of residence, holders of a permanent residence permit, long-term EU residents, refugees, beneficiaries of subsidiary protection, holders of humanitarian or tolerated stay, and those under temporary protection.
• A work permit is also not required for holders of a valid Karta Polaka, graduates of Polish secondary schools holding Polish vocational qualifications, graduates of Polish universities, holders of a doctoral degree awarded in Poland, and doctoral students at Polish institutions.

A Polish work permit is issued by the province governor for the employer's registered office, takes one to two months, and requires the district governor to first confirm that no registered jobseeker can fill the role. Anyone staying beyond three months then needs a separate temporary residence permit.

Skuad supports the work permit process on your behalf, including:

• Supporting work permit applications for foreign employees joining your team
• Helping coordinate visa documentation with the relevant local immigration authorities
• Assisting with residence or work permit conversions as required by local immigration law
• Helping track documentation requirements and deadlines across the full permit lifecycle
• Helping keep your team aligned with compliance requirements as permit renewals and regulations change

Sponsorship sits with the employer of record, which means your company does not need a registered Polish entity to bring a foreign national onto the team.

Book a demo to see how Skuad supports Poland work permits end-to-end

How does payroll work in Poland?

When managing payroll in Poland, it’s essential to understand the local regulations and processes to ensure compliance and efficiency.

How to pay employees in Poland

• Classify each engagement correctly. The distinction between an employment contract and a civil law contract determines tax and social insurance obligations, and since July 2026 the National Labour Inspectorate can reclassify it by administrative decision.
• Calculate gross salary including bonuses and allowances, then deduct employee social insurance contributions, the 9% health contribution, and PIT advances at 12% or 32%.
• Pay at least once a month on a fixed, predetermined date.
• Pay in arrears no later than the first 10 days of the following calendar month. If that date falls on a holiday, pay the day before.
• Pay to the account indicated by the employee. An employee who wants cash must request it from the employer in writing or electronically.
• Late payment triggers statutory interest.

Consider using payroll services in Poland to simplify payroll management and ensure tax compliance.

Best way to pay your Polish employees

Employers collect the employee data needed to run payroll, including the account details for salary payment. The Labour Code sets a defined list of what may be requested, and categories such as education and qualifications may be requested only where relevant to the role.

Employers withhold PIT advances from employee salaries and remit them monthly, alongside social insurance and health contributions to ZUS.

Polish payroll runs on a fixed calendar. Salary must reach the employee by the tenth of the following month, ZUS contributions and PIT advances have their own filing deadlines, and missing any of them triggers statutory interest. Employer contributions add roughly 19% to 22% on top of gross before any of that is calculated.

Skuad helps you model the full cost before you commit. The cost calculator returns an estimate covering gross pay, employer contributions, and platform fees, so finance sees the loaded figure at offer stage rather than at the first payroll run.

• Supports payroll processing in 70+ currencies with tax withholding and statutory deductions applied
• Facilitates statutory contribution workflows across supported markets
• Helps produce payslips and payroll records aligned with local reporting requirements
• Supports year-end reconciliation and filing preparation across supported markets

Estimate the full cost of your Poland hire

How do benefits and compensation work under Polish labor law?

Polish labor law, specifically the Labor Code, regulates the benefits and compensation offered to employees in Poland. These regulations aim to ensure fair treatment and adequate remuneration for workers.

Worker rights and working Conditions

What are the rules for remote and hybrid work in Poland?

Poland has a dedicated provision for remote and hybrid work arrangements under its labor law. Here are some key considerations for implementing a remote work policy in Poland:

• Remote work can be agreed when the employment contract is concluded, or during employment as an amendment to the terms. No written form is required. The rules must be set out in an agreement with trade unions, or in employer regulations where no agreement is reached or no union operates.
• Requests from pregnant employees, employees raising a child up to age 4, and those caring for a disabled family member must as a rule be granted. Refusal is only possible where the type of work or work organisation makes remote work impossible, and the employer must give the reason.
• The employer must provide materials and work tools including technical devices, handle installation, service and maintenance or cover those costs, and cover electricity and necessary telecommunications costs. Where the employee uses private equipment by agreement, they are entitled to a cash equivalent in an amount agreed with the employer.
• Establish clear communication channels and expectations for remote and hybrid workers.
• Implement robust data security measures to protect sensitive information accessed remotely.
• Before allowing remote work, the employer must prepare an occupational risk assessment and, based on it, information covering safe workstation setup, safe and hygienic working practices, activities to complete after finishing work, and conduct in emergencies.
• Occasional remote work is available at the employee's request, up to 24 days per calendar year. Some provisions do not apply to it, including the obligation to provide materials and work tools.
• Where remote work is agreed during employment, either party may request a return to on-site work. The change takes effect by agreement, or after 30 days if the parties do not agree.

Also read: Remote work readiness checklist

What is the average salary in Poland?

Salaries for Polish employees must sit above the national minimum wage of PLN 4,806 gross per month as of January 2026. Moreover, you can use Skuad’s salary insights tool to benchmark the salaries of your newly hired employees in Poland.

What is the leave policy in Poland?

Poland's leave policy is regulated by the Labor Code and collective bargaining agreements. Here are some key aspects of living in Poland:

Paid Public Poland Holidays

• New Year’s Day
• Epiphany
• Easter Sunday
• Easter Monday
• Labour Day/May Day
• Constitution Day
• Whit Sunday
• Corpus Christi
• Assumption of Mary
• All Saint’s Day
• Independence Day
• Christmas Day
• The second day of Christmas
• Boxing Day

Dates of these holidays and observances may change based on religious calendars.

How do background checks work in Poland?

When conducting background checks in Poland, you must comply with Poland's data protection laws, including the General Data Protection Regulation (GDPR).

Background checks are commonly used to assess potential employees' suitability for a role. However, there are specific regulations in place to protect individuals' privacy and prevent discrimination:

• Consent cannot serve as the legal basis for processing data on convictions. Poland restricts what employers can verify about candidates during background checks. The Labour Code sets a defined list of personal data an employer may request from a job applicant, covering name, date of birth, contact details, education, professional qualifications, and previous employment.
• Background checks are generally limited to verifying information provided by the candidate, such as employment history, education, and criminal records.
• You can access criminal records, but they are restrictive and require specific authorization from the relevant authorities.
• Credit checks are generally not permitted for employment purposes unless explicitly authorized by the candidate.

What are the rules for terminating employees in Poland?

Probation & Termination in Poland

A trial period contract may in principle be concluded only once and may not exceed three months. The maximum is 1 month where a fixed-term contract of less than 6 months is intended, and 2 months where a fixed-term contract of at least 6 months and less than 12 months is intended.

The parties may extend these periods once by no more than 1 month if justified by the nature of the work. Re-employment on a trial period is possible where the employee is to perform a different type of work.

Termination of service

Poland's notice structure changes with tenure. Three working days during a short probation, two weeks under six months of service, and three months once an employee passes the three-year mark. Severance follows a separate schedule capped at 15 times the statutory minimum salary. Getting either wrong turns an exit into a claim.

Skuad helps you work through this. Offboarding runs through the same platform as onboarding, with notice and severance calculations applied against local requirements rather than reconstructed by your HR team each time.

• Assists with termination and offboarding aligned with local labor requirements across supported markets
• Helps calculate notice periods and severance entitlements based on tenure and contract type
• Supports final pay processing including outstanding leave and statutory entitlements
• Helps maintain employment records and documentation through the full exit process
• Helps keep your team aligned with regulatory requirements as local labor law changes

Book a demo to see how Skuad supports Poland offboarding

Hire in Poland without the entity setup overhead

Skuad supports the operational complexity of hiring in Poland, covering employment contracts under the Labour Code, statutory contribution filings, payroll in 70+ currencies, leave and severance entitlements, work permits, and compliance monitoring, so your team can focus on the work rather than the paperwork.

Companies across SaaS, marketing, engineering services, and technology use Skuad to support their entry into Central European markets, stay aligned with regulations as they change, and grow their Poland workforce without building local HR infrastructure from scratch.

Book a demo to see how Skuad gets your first Poland hire onboarded in weeks, not months

FAQs

1. What is an employer of record in Poland?

An employer of record in Poland is a service where a local entity legally employs workers on behalf of a foreign company while managing payroll, taxes, and employment administration. EOR arrangements typically follow Poland’s Labour Code, including employment contract requirements, employee protections, and social insurance obligations managed through ZUS.

2. What documents are required to hire employees through an EOR in Poland?

Foreign companies typically need employee details, identification documents, role information, and compensation details to begin hiring through an EOR in Poland. The process usually involves preparing Polish-compliant employment contracts and completing registrations connected with the Social Insurance Institution (ZUS) before employment administration starts.

3. How can foreign companies hire employees in Poland without setting up an entity?

Foreign companies can typically hire employees in Poland through an EOR instead of establishing a local legal entity. The EOR usually manages employment contracts, payroll administration, and statutory obligations under Poland’s Labour Code while handling requirements such as employee registration with ZUS for social security contributions.

4. What employment compliance risks should companies consider when hiring in Poland?

Companies hiring in Poland need to consider risks related to employment contracts, payroll accuracy, employee rights, and data protection obligations. Under Poland’s Labour Code, violations of employee rights may result in fines ranging from PLN 1,000 to PLN 30,000, while GDPR rules apply to employee data processing.

5. What is the difference between an EOR and setting up a company entity in Poland?

An EOR generally allows foreign businesses to employ workers in Poland without creating their own subsidiary, while entity setup requires managing local registration, taxes, and administration. The right approach depends on business goals, hiring scale, and obligations under regulations such as Poland’s corporate and labour laws.

6. Can an EOR in Poland help companies hire remote employees?

An EOR in Poland can help foreign businesses employ remote workers while managing local employment administration requirements. This usually includes payroll processing, tax-related obligations, and social insurance reporting under Polish regulations, including ZUS requirements, while the company continues managing daily tasks and performance expectations.

Professional Employer Organization (PEO)

The most critical difference between a PEO and an EOR is that while the former acts as your co-employer, the latter acts as the legal employer of your employees. 

If you opt for PEO services, you will still have to make key decisions on the outsourced activities, whereas an EOR requires no such hand-holding. 

Once you partner with Skuad’s EOR, Skuad can manage complete HR responsibilities while you focus on other core areas of your business.‍

Skuad’s EOR solution easily helps your business expand in Poland according to your business’s requirements. 

Moreover, Skuad’s experts will also guide you at every stage during the business expansion. Book a demo to learn more.

Conclusion

The most crucial aspect of business expansion and setting up a remote team in Poland is to have a thorough understanding of the local laws and the employment process. 

However, several factors ranging from the employment types and specific state laws to understanding the prevailing taxation laws can hold back and prolong the business expansion process.

Instead of setting up a new commercial entity and getting immersed in understanding the nuances of the prevailing laws, it is wise to partner with an EOR that will take care of your HR needs. 

The EOR can ensure the HR practices align with the local legal system and leave no room for lapses or deviations.

Skuad’s globally distributed teams can make hiring exceptional talent in Poland an easy and straightforward process. 

Skuad can also help manage your payroll and help your company remain compliant with the prevailing laws and taxation on a single unified employment platform. Contact us today to give shape to your ideas for business expansion in Poland.

‍Get in touch with Skuad to make your expansion dream a reality.

FAQs

What is an employer of record in Poland?

An Employer of Record (EOR) becomes your Polish staff's legal employer, handling HR complexities like payroll, taxes, and social security. This eliminates the need for a local entity setup. EORs in Poland ensure compliance with labor laws, lowering legal risks for your international recruitment.

How does an employer work in Poland?

An employer in Poland works by complying with Polish labor laws and regulations. They cover various aspects of the employment relationship, including minimum salary in Poland, working hours, vacation, sick leave, social security contributions, and unionization. Employers must also ensure that their hiring and onboarding practices are compliant with data protection laws and other relevant regulations. Additionally, employers are responsible for providing a safe and healthy work environment, managing employee performance, and addressing any disputes or grievances that may arise.

How do you choose an EOR in Poland?

To choose an EOR in Poland, consider factors like reputation, services, compliance expertise, references, cost, communication, and data security. Further, you can evaluate these factors to select an EOR that meets your business needs and ensures compliance with Polish labor laws.

How much does an EOR cost in Poland?

The cost of Employer of Record services in Poland (EOR) can vary significantly based on factors like the number of employees, location, services needed, industry, and additional fees. You can use Skuad's cost estimator tool to get a more accurate estimate, which provides a personalized quote based on your specific requirements.

What are the benefits of an EOR?

An Employer of Record (EOR) handles the international HR complexities you'd otherwise face – Poland payroll, taxes, and compliance. EORs become the legal employer for your global staff, removing the need for a local entity setup. By partnering with an EOR, businesses can focus on their core operations while ensuring compliance and minimizing risks in foreign markets.