Employer of Record Service in Poland

Absolutely! Employer of Record is your legal gateway to hiring software developers globally without the hassle of setting up a local entity. Your partner of EOR in Poland serves as the legal employer of programmers on your behalf, taking care of all the admin functions, like payroll, HR, legal, and benefits management. They also assume full liability for adhering to local labor laws, employment rules, and tax obligations and bear any potential legal risks.

But make no mistake – you remain the one and only real employer of software engineers. From day one, you manage your team directly and integrate it into your culture and practices. All the bureaucracy? Gone. Legal risks and admin burdens? Off your shoulders. Instead, you focus on what matters the most – developing your software product.

So, an EOR service in Poland is simply a means for tech companies to swiftly expand into a new market and hire a development team legally. Exactly what tech companies like BigCommerce, People.ai, Dotmatics, and Sift did. With the help of Alcor, an EOR provider for tech, they have built fully compliant and backed teams of 30+ developers and fast-tracked their product growth.

There are two prevalent models for hiring Polish developers: employment agreement (Umowa o pracę) and B2B contract (Umowa o dzieło).

An employment agreement forms an employer-employee relationship governed by the Polish Labor Code. For employers, this type of employment comes with tax obligations, including paying payroll taxes and social security contributions (SSC), as well as withholding income tax and SSC on behalf of the employee. Additionally, it is full of rigorous working terms and employee termination procedures. That’s where Alcor’s IT EOR in Polandcan serve as your lifeline in the deep employment waters.

For employees, an employment contract serves as a safety net, securing their salary amount, benefits, working hours, paid time off (PTO), and termination terms. The downside? Their salary is paid in a local currency, which may be affected by inflation.

A B2B contract is signed between a hiring tech company and a software developer, establishing a contractor-client relationship under the Civil Code. The programmer must register as a sole trader to provide IT services.

Unlike an employment agreement, in B2B relations, the employer is free from tax obligations, while the contractors handle taxes and social contributions on their own or via an EOR vendor in Poland. The reward is paid in a foreign currency, so inflation and exchange rate swings are not an issue. However, benefits, PTO, and working terms are typically negotiated individually and are usually more restrictive than those outlined in the employment contract.

An employment agreement typically entails tax obligations for both the employer and the employee.

What does the employer’s share include?

Social Security Contributions are determined at the national level and collected by the Social Insurance Institution (ZUS). They all range from 19.48% to 22.14% of the employee’s gross salary, and include:

• retirement pension: 9.76%
• pension: 6.5%
• disability pension: 0.67-3.33%
• Employment Fund: 2.45%
• Fund of Guaranteed Employment Benefits: 0.1%

Now, the employee’s share:

1. Personal income tax follows a progressive structure. For income up to PLN 120,000 (~$32,420), the applicable tax is 12% minus the tax-decreasing amount of PLN 3,600 (~$970). If the developer’s income exceeds this threshold, the tax is PLN 10,800 (~$2,900) plus 32% of the excess over PLN 120,000 (~$32,420).
2. Social Security contributions on the employee’s side total approximately 22.71%, including:

Poland is a goldmine of skilled software engineers without the Silicon Valley price tag. The average senior developer remuneration here amounts to about $7,025 per month, with the most in-demand tech talents, such as MLOps Engineers, Data Engineers, and DevOps Engineers, earning between $6,900 and $8,500. But here’s the pro tip: if you opt for less competitive tech hubs like Kotowice or Poznań, you can save up to 20% on developer salaries.

Even the highest-paid tech experts don’t break the bank in Poland. For instance, a senior AI Product Engineer gets about $8,650 per month.

See for yourself the economy in 53% vs the US:

So, how much should you really budget to hire a software developer in Poland? To break down the total cost beyond just salary, you need to include:

• annual income of a software engineer,
• taxes, social contributions, and additional payments presupposed by the local labor laws,
• employee benefits package, which typically includes health insurance, professional training, hardware, and corporate merchandise, totaling about $6,350 in Poland and $15,400 in the US per developer/year,
• recruitment fee, which is typically 20% in Poland and 30% in the US of the senior developer’s gross annual salary.
• EOR service fee, which covers payroll processing, tax filings, compliance management, and employment contracts on your behalf. The industry average in 2026 is $400-$700 per employee per month on a flat-fee model, with percentage-based models typically running 10%-25% of gross salary. It all depends on the provider.

Alcor’s pricing model works differently: rather than a fixed per-head fee, Alcor offers volume-based discounts as your team grows – meaning the more engineers you hire, the lower your per-employee cost becomes. This makes Alcor particularly cost-effective for companies scaling to teams of 10, 20, or 30+ developers, where standard EOR providers charge the same flat rate regardless of headcount.

Contact Alcor, your EOR service provider in Poland, to get precise payroll calculations for your tech positions and discover your true savings.

When hiring software engineers in Poland, as an employer, you must comply with the statutory employee benefits outlined in the Polish Labor Code. They are mandatory for tech specialists working on the employment contract. Failure to provide these benefits may lead to legal troubles, penalties, and fines.

So, what are these statutory employee benefits?

• Social security contributions, including retirement, pension, disability, healthcare, sickness, unemployment, and others;
• Annual vacation consists of paid days off, calculated based on the number of years an employee has been employed.
• Leaves, including sick, maternal, paternal, parental, and childcare.
• National holidays, including Christmas Day, New Year’s Day, and Independence Day, are all set out in the Polish Labor Code.
• Termination protection includes a notice period based on employees’ seniority and severance pay, which applies to layoffs in companies with 20 or more employees.

There are also supplementary employee benefits, which are optional but good to have if you want to attract top software engineers in Poland, like:

• Private medical insurance is a common addition to basic medical coverage, typically covering diagnostics, vision and dental care, emergencies, mental health services, etc.
• Tech courses & English classes to promote professional development;

According to Poland’s Labor Code, the standard workweek in the country is 40 hours, with the possibility of overtime, which should not exceed 8 hours per week. The overtime compensation amounts to 150% of the regular rate for regular hours and 200% for night shifts, Sundays, or national holidays, or can be compensated with time off.

When you hire a software developer in Poland, their probation period depends on the duration of the contract:

• 1 month – for fixed-term contracts under 6 months;
• 2 months – for fixed-term contracts between 6 and 12 months;
• 3 months – in all other cases.

Usually, this time is enough to test the skills and assess the performance of the new employee. We at Alcor guarantee only high-quality tech talent, with 98.6% of our candidates passing probation with flying colors. In the rare case that someone doesn’t meet your expectations, we provide a replacement free of charge.

Software developers, working on an employment contract in Poland, are entitled to the following paid time off (PTO):

Annual leave consists of 20 working days if the employee’s work experience is less than 10 years, and increases to 26 working days if the employee’s work experience is 10 years or more. Can only be compensated with money upon contract termination.

Sick leave of the first 33 days (or 14 days if an employee is 50+ y.o.) is paid at 80% of the employee’s salary by the employer. If it extends up to 182 days, then it’s covered by Social Insurance (ZUS).

Maternity leave lasts for 140 calendar days, of which at least 98 days must be taken after childbirth.

Extraordinary paid leave includes

• Paternity leave: 14 days,
• Parental leave, available for both parents, lasts for 287 calendar days (if 1 child is born) and 301 (if 2+ children are born),

paid by the Social Insurance Institution (ZUS);

• Special leave: up to 2 working days (for special life events);
• Force-majeure leave: up to 2 working days (for urgent family matters).

paid by the employer.

Public holidays in Poland include 14 paid days, as per the annual leave entitlements for the year 2025.

When a US-based tech company hires software developers in Poland, it should consider visa requirements. For business trips of up to 90 days, Polish citizens do not need a B1/B2 visa – they travel under the Visa Waiver Program (VWP) with an ESTA approval instead.

To obtain ESTA approval, Polish developers must:

• Hold a valid biometric (e-passport)
• Have no prior US visa denials or immigration violations
• Submit an ESTA application
• Pay the non-refundable application fee of $40.27

ESTA covers business-related activities such as attending team meetings, participating in sprint planning or training sessions, exploring partnerships, and team-building – but does not permit permanent employment in the US.

If a business trip extends to 90 days or longer, Polish developers will need a B1/B2 (Business/Tourism) visa instead. This involves completing Form DS-160, paying a $185 application fee, and scheduling an interview at the nearest US Embassy or Consulate.

There are also other visa types that you can explore with your Employer of Record service provider in Poland. For instance, Alcor supported ThredUP with business travel and US visas for their developers in Eastern Europe. We can do the same for you!

The termination of an employee in Poland is governed by the labor code, which establishes strict guidelines for the termination process, thereby protecting workers’ rights and posing risks for employers. Luckily, there are EOR companies in Polandlike Alcor that serve as your compliance buffer, ensuring a smooth employee offboarding.

General termination rules:

Notice Period:

• 2 weeks: for employment under 6 months;
• 1 month: for employment of 6 months to under 3 years;
• 3 months: for employment of 3 years or more;
• No prior notice is required for serious misconduct or long-term absence due to health or other reasons.

Local requirements: In all cases, the dismissal must be justified.

Termination payments:

1. Compensation for all unused paid vacation days accrued and any outstanding payments.
2. Severance payments are applicable only if an employer has more than 20 employees and dismisses an employee solely for non-employee-related reasons:

• 1 month’s salary: for employees with less than 2 years’ service;
• 2 months’ salary: for employees with 2-8 years’ service;
• 3 months’ salary: for employees with more than 8 years’ service;
• Capped at 15× the minimum wage.

Employees on leave or with a justified absence, pregnant women, union members, and those within four years of retirement are protected from termination in Poland.

Expanding your development team abroad often means establishing a local legal entity, which varies from country to country based on the local laws of business incorporation. Generally, you would need to navigate complex legal requirements, including selecting the type of entity, registering with relevant authorities, opening bank accounts, and ensuring compliance with local tax and social security laws.

The business incorporation process can drag on for months, draining tens of thousands of dollars in legal fees, registration, and insurance. What is even worse, failing to comply with local laws and practices can expose your tech company to hefty fines or even legal actions, putting your expansion plans at risk.

The EOR solution in Polandallows you to bypass the lengthy and expensive route of setting up your own entity. For instance, with Alcor’s EOR in Poland, you can employ developers right away through our established legal entity, saving an average of 3.5 months on business incorporation. Plus, you’ll also steer clear of misclassified worker cases and manage admin and legal complexities hassle-free. It’s a faster, safer way to expand your business compliantly without the financial burden.

Alcor’s Employer of Record for Tech is a 360-degree solution devised for the compliant and seamless hiring of software engineers in Latin American and Eastern European regions. This means you can skip the red tape and build your own team of 30+ developers in just 90 days, accelerating your software development and unlocking faster growth.

With our Employer of Record solution in geo, you get more than just HR & payroll:

• Tech-focused services: from FTE or B2B employment options and tax incentives to R&D deductions and tailored benefits for developers.
• 100% compliance: get shielded with guidance from our lawyers, who have expertise in IT law.
• Customized pricing: volume discounts, no hidden costs or pre-payment.
• Ongoing in-country support: our Dedicated Customer Success Managers go above and beyond to simplify your business expansion.
• All-in-one place: manage everything in one place, no need for multiple vendors.

But EOR is just the beginning…

You can upgrade it to our software R&D center solution, which includes:

• In-house tech recruiting is handled by our 40 talent acquisition experts, who hire the top 10% of the market developers across LATAM and EE. With our 80% CV pass rate and 2-6 weeks to fill a vacancy, you can build your team from 0 to 100 engineers in a year.
• Operational support encompasses additional services, including leasing office or co-working space, procuring equipment, setting up IT infrastructure, employer branding, and more.

The result? A fully backed tech R&D center with a software development team that’s 100% yours from day one.