General information

Undertaking full-time employment by foreigners is regulated by rules binding in Poland and resulting from international agreements.

Main regulations regarding foreigners performing work within the territory of Poland are in the Act of 20 April 2004 on the promotion of employment and labour market institutions, which provides for the following forms of performing work by foreigners:

Employment

that is performing work based on:

  1. an employment relationship
  2. a business relationship
  3. a contract on home based work

Performing other paid work

that is performing work or providing services under civil-law agreements, regulated by the Civil Code (KC), e.g. a mandate contract, a contract for specific work, an agency agreement.

Performing functions on managment boards of legal person

which obtained an entry into the Register of Entrepreneurs based on the regulations of the KRS (National Court Register) or are companies in organisation,
that is based on, e.g. a managerial contract

What is an employment relationship?

From a foreigner’s perspective, the most important base for an employment relationship is an employment contract, regulated by the Labour Code (LC) and specific regulations.
A foundation for establishing an employment relationship may also be a co-operative employment contract, regulated by the Co-operative Law Act, concluded between a labour co-operative and an employee as its member. There are also non-contractual grounds, such as an appointment, an institution or an election. An employment relationship is concluded in this way only when it is provided for by specific regulations and concerns public employees, e.g. prosecutors, court judges, public service employees, e.g. in the army; members of management boards of self-government authorities.

What is a civil-law agreement?

Employment based on civil-law agreements is preferred by employers because of a reduction in employee costs and a release from many troublesome formalities.
An employer engaging employees on the basis of civil-law agreements does not have to comply with the majority of obligations resulting from the Labour Code. Proper application of LC regulations refers basically only to matters connected to ensuring health and safety at work and only in the scope defined by the employer. Also employees choosing this type of agreement are not bound by the Labour Code.

In civil-law agreements parties usually establish shorter notice periods than the ones employees are entitled to under employment contracts. It is common for civil-law agreements not to provide for situations in which the agreement may be terminated. Parties do not have to do this since Civil Code regulations provide for several situations in which it is possible to make this kind of move. There is also a possibility to terminate the agreement without giving a reason for terminating work.

A person performing work under a civil-law agreement may pursue his rights before a court hearing civil-law cases, and not before the Labour Court, as in case of employment contracts (excluding actions to establish the existence of an employment relationship). In such cases, pursuing one's rights tends to be more complicated and involves the need to cover all case costs by the plaintiff unless he is released from paying them at his request. Supervision of work performed under civil-law agreements also does not belong to the competences of the National Labour Inspectorate.

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Project “New law - my new rights” is co-financed by European Fund for Integration
of Third Country Nationals and Polands state budget

 Copyright © by Foundation for Development Beyond Borders, 2015