
Poland has become an increasingly attractive market for skilled professionals in recent years, especially in IT, engineering, and business services.
If your company is exploring hiring options for Polish talent, you’ll need to navigate two main employment pathways: B2B contracts and Employment Contracts. Understanding the differences between these hiring models will help you make an informed decision that suits your company’s needs and aligns with Polish legal requirements.
1. B2B Contract: Simplified Hiring with Independent Contractors
When you hire a Polish worker on a B2B basis, you are engaging them as an independent contractor rather than a traditional employee. Here’s how it works:
- Polish Contractor’s Responsibility: Under a B2B agreement, the Polish contractor handles all of their own taxes and social contributions. They operate as a sole proprietor in Poland, which means they’re responsible for invoicing your company, declaring their income, and paying taxes to the Polish authorities.
- Invoicing and Compliance: Each month, the contractor will send your Dubai-based company an invoice for services rendered. They’ll then report this income on their Polish tax returns and pay:
- Income Tax: Poland has a progressive income tax rate of 12% and 32%, though many contractors choose a flat tax rate of 19% for simplified reporting.
- Social Security Contributions: The contractor also pays health insurance, retirement, and other contributions to ZUS, Poland’s Social Insurance Institution.
- Dubai Company’s Role: As the hiring company, you only pay the invoiced amount. You don’t need to make any tax or social contributions in Poland, nor do you need a legal entity in Poland to proceed with this contract. This is a cost-effective and straightforward option for companies in Dubai.
Benefits of a B2B Contract:
- Tax Optimization for Contractors: B2B contractors in Poland can benefit from tax-deductible expenses, helping to reduce their tax burden.
- Flexibility for Your Business: You can engage Polish professionals without complex tax or legal obligations in Poland.
Key Consideration: While B2B contracts offer flexibility and cost savings, the contractor won’t receive employee benefits, so it’s often suited for senior-level professionals or freelancers accustomed to managing their own taxes and insurance.

2. Umowa o Pracę (Employment Contract): Comprehensive Employee Benefits
If you’re looking to establish a traditional employment relationship with a Polish worker, an Umowa o Pracę (Employment Contract) is a common approach. However, this comes with additional tax responsibilities and regulatory considerations:
- Tax and Social Contributions: As the employer, your company would typically be responsible for withholding the employee’s income taxes and social contributions, covering areas like health, pension, disability, and accident insurance.
- Employer Registration: Foreign companies would need to register with Polish authorities, including the ZUS system, to meet payroll and tax obligations for Polish employees. Without a legal entity in Poland, this process can be complex, and failure to comply with Polish labor laws can lead to penalties.
- Employer of Record (EOR) Solution: Many foreign companies use an EOR or PEO (Professional Employer Organization) when hiring in Poland. This arrangement allows the EOR to serve as the legal employer in Poland, handling payroll, tax, and compliance while your Dubai company manages the day-to-day work. EORs can significantly reduce administrative hurdles and ensure compliance with Polish labor laws.
Benefits of an Employment Contract:
- Job Security and Benefits for Employees: Polish employees on employment contracts receive full statutory benefits, including paid leave, health insurance, and retirement contributions.
- Better Alignment with Polish Employment Standards: Employment contracts are familiar and often preferred by Polish professionals, especially for long-term positions.
Key Consideration: Although this option offers a more structured employment arrangement, it’s typically more costly due to employer tax and social security contributions, and it requires a legal setup in Poland, often through an EOR.

Which Option Is Right for Your Company?
The B2B contract is generally the more straightforward and cost-effective option if your company is looking for flexibility and the contractor is comfortable handling their own taxes. This route is especially popular with highly skilled professionals who are already experienced with B2B arrangements and independent contracting.
The Employment Contract is ideal if your company is seeking a long-term employee who will receive full benefits and job security. While this approach requires a more significant investment and the support of an EOR to ensure legal compliance, it’s often the preferred choice for attracting top-tier talent in Poland who may prioritize stability and benefits.
Final Thoughts
Hiring in Poland offers your business access to highly qualified professionals. Whether you choose a B2B contract or an employment contract, understanding these differences can streamline your hiring process and help you remain compliant with local laws.
Need assistance in finding the right Polish talent? Simply Talented specializes in sourcing skilled professionals from Poland and managing international hiring needs across multiple industries. Reach out to us to discuss the best approach for your company’s recruitment needs in Poland.
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