In Poland, we can distinguish between two types of employment contracts. One type includes contracts concluded on the basis of the Labour Code, while the other – on the basis of the Civil Code.

The employment contract is regulated by the Labour Code and therefore offers a full range of rights under the Labour Code. The employee is entitled to holiday, maternity and sick leave. During the illness, the employee is paid by the employer or Social Insurance Institution and has access to medical services.

We can distinguish between the following types of employment contracts:

Contract for a probationary period

An employment contract for a probationary period is concluded in order to check the employee’s qualifications and competencies in relation to the tasks assigned to him/her. Such a contract is concluded for a period not exceeding 3 months.

Fixed-term contract

A fixed term employment contract, , as the name of the contract indicates, is a contract that is entered into for a specific period, therefore the termination date is to be indicated in the body of the contract. Such a contract may be entered into for a period not exceeding 33 months. After 33 months the contract automatically becomes a permanent contract by virtue of law. A fixed term employment contract terminates at the end of the period or, before its expiration, may be terminated by notice to the employee or the employer. The notice period depends on the length of employment with the employer:

  • 2 weeks if an employee has been employed for less than 6 months;
  • 1 month if an employee has been employed for at least 6 months;
  • 3 months if an employee has been employed for at least 3 years.
Permanent contract

A permanent employment contract is a contract for an indefinite period. The notice period for such a contract is the same as for fixed term employment contracts.

A contract of mandate and a contract for specific work are contracts regulated by the Civil Code.

With a contract of mandate, a minimum hourly rate is specified, amounting to gross PLN 19.70 in 2022. The rate is variable, so it is advisable to check the minimum rate before signing a contract of mandate. The contract of mandate can be terminated by either party at any time. It is less favourable to the contractor (“employee”) because he/she is not entitled to all employment rights as in the employment contract. For example, the contractor is not entitled to a holiday leave. Under the contract of mandate there is an obligation to calculate and pay social security contributions to the Social Insurance Institution. The principal (employer) is the payer of contributions. The principal also withholds advance income tax from the contractor’s salary.

Under a contract for specific work, the person accepting the order undertakes to perform the work, and the ordering party is obliged to pay for the order. It is worth remembering that in the case of a contract for specific work, a person taking the order does not have any employee rights as in the employment contract. There is also no specified minimum hourly rate, therefore this type of a contract is less favourable to those performing the order. As no social security contributions need to be paid on a contract for specific work, a person taking the order is not entitled to a sick leave.

B2B contract

When signing a B2B contract, you must register a business activity. Under such a contract, you become an independent entrepreneur, which means that you have to pay social security contributions and due taxes yourself. B2B cooperation ends with the execution of the contract or on the date indicated in the contract. The parties have the option of early termination of the contract, such as by intercompany agreement. 

What to pay attention to when signing a contract:

You have to read, read and – once again – read. If you are unsure of a certain provision, ask your employer for clarification. 

A contract should be prepared in writing, in a language you understand, and be signed by both parties before the work begins.

The contract should include the following information:

  • Contract type;
  • Execution date;
  • Date of starting work;
  • Contract expiration date in the case of fixed term contracts;
  • Conditions related to remuneration;
  • Working time.

Pay attention to whether the contract restricts your right to freedom of movement or social interaction.