Employer of Record (EOR) in Poland
Let Native Teams handle the red tape associated with hiring new team members in Poland and focus on the core of your business. As a solo professional, you can also get a regulated employment status with all the benefits.
How does an EOR in Poland work?
Partnering with an EOR provider like Native Teams allows businesses to expand globally without the hassle of navigating legal systems or setting up a legal entity. The EOR handles all administrative duties, such as processing payroll, preparing employment contracts, onboarding, and ensuring compliance with local labour regulations. At the same time, businesses maintain full control over managing their employees' day-to-day activities.
For freelancers, remote workers, and digital nomads, an EOR is an excellent option to gain formal employment status while keeping their flexible work setups. It also provides access to traditional employment benefits like private health insurance, pension plans, and legally binding contracts.
Who can use EOR Services in Poland?
EOR services in Poland are suitable for businesses that want to compliantly hire in the country or worldwide and for individuals that want the security of traditional employment.
Businesses
Businesses of all sizes, from startups to global corporations, can leverage EOR services in Poland to streamline their expansion. These services are especially beneficial for companies aiming to enter the Polish market without setting up a legal entity. EOR providers help businesses hire local talent, handle payroll, and comply with Polish labour laws, making the process efficient and hassle-free.
Individuals
Freelancers, remote workers, and consultants seeking the benefits of traditional employment in Poland can also utilise EOR services. With an EOR, individuals can obtain legal employment status in Poland, ensuring that all taxes, social security contributions, and other legal obligations are properly fulfilled.
Features of Native Teams EOR Services in Poland
Employment status
Native Teams' EOR services allow freelancers to manage their employment status compliantly, regardless of where they live or work. Employers can also hire, onboard, and pay their global teams in full compliance.
HR administration and documentation
We automate HR tasks and provide all necessary documentation, accessible with a single click from the Native Teams dashboard.
Global payroll
Our payroll calculator, available in over 70 countries, makes it simple for freelancers and employers to calculate salaries, taxes, benefits, and deductions. Employers can manage payroll for all employees globally from one platform.
Benefits
Freelancers get the flexibility of freelancing while enjoying traditional employment perks like healthcare, insurance, and pensions. Employers can offer these benefits to attract and retain top talent.
What legal requirements exist for employment in Poland
Obtaining a tax identification number
Before hiring, employers need to obtain a tax identification number (NIP) from the local Polish tax authorities (Urząd Skarbowy).
Employment contract
A written contract must be signed between the employer and the employee. The contract should outline the specific terms and conditions of employment, such as benefits, working hours, salary, and notice period.
Personal income tax
Employers are obliged to withhold tax from their employees’ taxable salaries and remit it to the tax office in Poland (ZUS) on the 20th day of the month. Annual tax returns must be filed and paid by April 30th of the following year, listing all the sources of income or any additional tax due.
Social security contributions
Employers must deduct the appropriate amount of their employee’s salary and pay social security contributions on their behalf until the 15th day of the following month. These contributions include pension, disability, and health insurance.
Labour laws
Employers must comply with Polish labour laws, which include regulations about working hours, safe and hygienic work conditions, and salary payment.
Employees records
Employers have to keep paper or electronic records of the employee’s employment, including payroll information, contracts, and work permits.
Employee capital plans (PPK)
The employee capital plan allows employees to accumulate capital for their retirement plan. Employers need to contribute 1.5% of the remuneration, while the employee contributes 2%. Only employers that use Employee Pension Plan (PPE), which is aligned with PPK requirements, are exempt from establishing PPK. Please note that these tax and legal requirements in Poland may change, so it’s important that companies stay updated on the latest requirements to ensure compliance.
Termination procedures
There are specific procedures and notice periods to be followed when terminating employment contracts in Poland. Failure to comply with these procedures may result in severance pay or legal consequences. It's important to note that this is not an exhaustive list, and specific requirements may vary based on factors such as the nature of the employment, industry, and individual circumstances.
Please note that all these requirements may vary depending on the job type, the employer and individual circumstances.
Curious about labour laws in Poland? Check out our hiring guide for more details
Why Choose Native Teams as your Poland Employer of Record?
Native Teams is an all-in-one platform that provides employment solutions for solo professionals and global businesses. With our EOR solutions, you can simplify the hiring process by handing over administrative tasks like drafting contracts, handling taxes and social contributions, ensuring full compliance and even managing termination procedures. We’ll take of all the details while you expand on the global scene.
What is an Employer of Record?
An Employer of Record (EOR) is a third-party organisation that takes on the legal responsibilities of employing workers on behalf of a company. The EOR manages all employment-related administrative and legal tasks, including payroll, tax deductions, benefits management, and ensuring compliance with local labour laws.
Additionally, an EOR can assist freelancers and remote workers by managing their employment status, securing employee benefits, and handling their administrative tasks.
What are the costs of using an Employer or Record in Poland?
The cost of using an Employer of Record (EOR) in Poland depends on factors like the chosen EOR provider, the number of employees, and the required services.
Native Teams offers one of the most cost-effective and transparent pricing models for global workforce management. Their Employer of Record plan for businesses starts at €79 per employee per month, while the Remoter plan for individuals begins at €49. Both plans include all the essential tools and features for compliant employment.
What is the difference between PEO and EOR?
A PEO (Professional Employer Organization) and an EOR (Employer of Record) both assist businesses with HR tasks like payroll and compliance, but they differ in legal responsibilities. A PEO enters into a co-employment relationship, where both the company and the PEO share liability for the employees.
On the other hand, an EOR fully assumes the legal responsibility of employing workers, meaning the company has no direct legal obligations regarding employment. The EOR is ideal for companies expanding internationally without establishing a legal entity, while a PEO is typically used for managing HR within the company’s own legal structure.
What are the responsibilities of an Employer of Record (EOR) service provider?
An Employer of Record (EOR) service provider serves as the legal employer, ensuring adherence to local labour regulations and managing payroll processing. The EOR also handles employee benefits, prepares and manages employment contracts, and oversees both onboarding and offboarding procedures.
By assuming liability for employment-related matters, the EOR reduces risks for the client company and provides additional HR support when necessary. This allows the client to concentrate on running its business while the EOR manages the complexities of employment.
Is using an Employer of Record in Poland legal?
Yes, using an Employer of Record (EOR) in Poland is legal. An EOR allows companies to hire employees in Poland without setting up a local legal entity. The EOR assumes all legal responsibilities for employment, including payroll, tax compliance, and adhering to Polish labour laws, ensuring that the business operates within the country’s regulations while managing its workforce.
Why should I use EOR instead of opening my own company or an office in Poland?
An EOR allows you to bypass the lengthy and expensive process of setting up a legal entity in Poland. Establishing a company requires dealing with complex regulations, registering with local authorities, and adhering to ongoing legal obligations, which can be difficult if you're not familiar with Polish business practices and laws.
With an EOR, you can begin operations in Poland much faster. The EOR assumes the legal responsibilities of employing staff, handling payroll, taxes, and benefits in full compliance with local regulations. Additionally, if your business plans change or the Polish market doesn't align with your expectations, you can easily scale operations up or down without the hassle of closing a legal entity or ending leases.
How many people can I employ in Poland?
There is no legal limit to the number of people you can employ in Poland. You can hire as many employees as your business requires, provided you comply with Polish labour laws and regulations regarding payroll, taxes, and employee rights. If you use an Employer of Record service like Native Teams, we will help ensure that your hiring process meets all legal requirements in Poland.