If you’re working in Poland or planning to, you’ve likely faced the choice: B2B vs. employment contract. These two forms of cooperation come with different rights, obligations, and financial outcomes.
One isn’t better than the other. They’re just different, and that difference can impact your pay, your time, and your stress levels.
Here’s what you need to know before you sign one contract or the other.
Types of Work Contracts in Poland
Most professionals in Poland work under one of three setups: employment contracts, civil law contracts, or B2B (business-to-business) contracts.
Employment contracts remain the most common, but B2B agreements are growing more popular, especially in tech, consulting, and creative fields. Still, we often meet candidates who aren’t clear on how these contracts work and what exactly the differences are between them. Some mix up terms or believe myths that just aren’t true.
This guide explains the key differences, pros and cons, and when each type might be the better choice. It’s not a legal deep dive but a practical guide to help you make a smarter decision.
Employment contract (UoP) in Poland
A UoP is the most regulated and protective form of employment. You’re formally hired by a company, and your work schedule, responsibilities, and workplace are defined by the employer.
This contract is governed by the Labor Code, which guarantees not just pay but also legal safeguards.
Key Legal and Practical Features:
- Remuneration and wage guarantee: Employees are entitled to wages not lower than the national minimum wage.
- Paid leave: 20 or 26 days of paid leave per year, depending on the length of service. Leave rolls over but expires after three years if unused.
- Social security and health benefits: Contributions to ZUS (social insurance institution) are mandatory and mostly handled by the employer. These fund pensions, sickness benefits, and accident coverage.
- Maternity/parental leave: Fully protected under law, with paid leave and job retention guarantees.
- Notice periods: Governed by law and based on tenure: 2 weeks (under 6 months), 1 month (6 months to 3 years), 3 months (over 3 years).
- Employee liability limits: Damages are generally limited to actual loss and cannot exceed three months’ salary, unless the damage was intentional.
- Retirement contributions: In medium and large companies, employees may benefit from employer-sponsored PPK/PPE pension plans.
What Is a B2B Contract in Poland?
Under a B2B contract, you’re not an employee. You’re a service provider: a registered sole trader (or company) delivering work to a client based on a commercial agreement. It’s governed by civil law, not labor law. That difference matters.
You set your own terms. You decide when and how to work. You can work for one client or many. You invoice for services. But you’re also responsible for everything: taxes, insurance, and compliance.
Key Legal and Practical Features
- Entrepreneurial status: You must register a business (e.g., sole proprietorship) in Poland.
- Freedom of contract: Both parties negotiate the scope of services, timelines, and compensation.
- Invoice-based payments: Contractors issue VAT or non-VAT invoices (depending on registration) for services.
- No traditional benefits: No paid leave, sick leave, or parental protections unless privately arranged.
- Tax optimization: Eligible for flat tax, lump sum, or general taxation, plus expense deductions.
- Social contributions: Entrepreneurs must register with ZUS and are responsible for their own pension and health contributions.
- Liability and risk: Full responsibility for errors, breaches, and non-performance. Professional liability insurance is recommended.
Comparative Table: Employment Contract vs. B2B Contract
| Feature | Employment Contract (UoP) | B2B Contract |
| Legal Framework | Labour Code | Civil Code |
| Taxation | Employer handles tax and social security contributions | Contractor manages own taxes and contributions |
| Social Benefits | Entitled to benefits like paid leave, sick leave, etc. | Not entitled to employee benefits |
| Work Flexibility | Fixed working hours and location | Flexible working hours and location |
| Income Stability | Stable monthly salary | Income varies based on contracts and clients |
| Administrative Duties | Employer handles administrative tasks | Contractor responsible for own administration |
| Job Security | High, with legal protections | Lower, depends on contracts |
| Eligibility for Loans | Easier access due to stable income | May face challenges due to variable income |
Same terms, different names
It’s important to use the right terms when talking about these contracts. Why? Because even if your contract isn’t named an employment contract, if by definition you’re working like an employee, it might legally be treated as one.
| Concepts specific to the employment contract | Terms specific to a B2B contract (corresponding to the meaning of terms from an employment contract) |
| Employer | Customer / Company A / Company Name A |
| Employee | Service provider / Company B / Company name B / Contractor / Entrepreneur |
| Place of work | – |
| Leave of absence | Interruption of services |
| Leave on demand | Interruption of services |
| Superior | Customer / Principal / Employee receiving the service |
| Employment relationship | – |
| Working dimension, full-time | (Minimum) Number of hours of service provision |
| Workstation | Scope of services provided – description |
| Salary regulations | – |
| Work regulations | – |
| Bonus regulations | Conditions for payment of additional remuneration |
| Delegation | Costs associated with the provision of services |
Legal Note
According to Art. 22 § 1¹ of the Labour Code, it’s not the name of the contract that matters; it’s how you work. If you follow a company’s schedule, location, and instructions in exchange for regular pay, it’s legally an employment relationship, regardless of the contract label.
Why do companies prefer to hire on a B2B basis?
More and more employers, especially in tech and consulting, lean toward B2B contracts, and the reasons are straightforward:
- Cost savings: Employers are not required to pay social security contributions or provide employee benefits.
- Flexibility: Easier to scale workforce up or down based on project needs.
- Reduced administrative burden: Less paperwork and compliance with labor laws.
- Tax deductions: Payments to contractors can be deducted as business expenses.
Important: Some companies are abusing the B2B model, offering “freelance” contracts for full-time roles with fixed hours, supervisors, and workplace obligations. This is often a way to avoid paying social contributions or granting employee rights. In these cases, the contractor has the risks of running a business without the freedom or earnings that usually justify it.
Why do individuals choose B2B employment?
From the contractor’s side, the appeal of B2B is equally strong, especially for experienced specialists who value independence and control over their income:
- Higher net salary: Especially when using lump-sum or flat-tax systems.
- Expense deductions: Equipment, office space, travel, and software costs all can reduce taxable income.
- Work freedom: Choose your clients, control your schedule, work from wherever.
- Entrepreneurial benefits: You can apply for grants, tenders, and subsidies.
- Multi-client flexibility: You’re not tied to one employer.
Important: Not everyone qualifies for ZUS discounts or low tax thresholds. If you’re not eligible for the small business lump sum or just starting and making little, your net income under B2B might not be much higher than under UoP. Sometimes it’s even lower once you account for accounting costs, insurance, and no paid time off.
What to choose: B2B or UoP?
There’s no universal answer. The choice depends on your financial goals, career stage, and how much independence (or protection) you want. But there are clear patterns.
Choose UoP if:
- You’re under 26 and qualify for PIT exemptions. The net pay difference compared to B2B is minimal, and you still get full employee benefits.
- You want job security, paid sick leave, and other legal protections.
- You’re applying for a mortgage or loan. Banks still prefer UoP over any form of self-employment.
- You don’t want to deal with accounting, tax filings, ZUS contributions, or chasing clients for payments.
- You prefer routine and structure over chasing contracts or managing admin work, and you plan to work for only one employer long-term.
Choose B2B if:
- You want to earn more and have control over how you’re taxed (flat rate, lump sum, general taxation).
- You value flexibility (working with multiple clients, setting your own hours, or working remotely).
- You’re comfortable with doing your own (or outsourcing) invoicing, taxes, and legal compliance.
- You have a niche skillset (especially in tech or consulting) where companies often prefer contractors and offer extra perks.
- You’re building a freelance portfolio or growing your own business long-term.
Conclusions
Choosing between a B2B and an employment contract in Poland isn’t just about taxes. It’s about how you want to work, what risks you’re willing to manage, and what protections matter to you.
If you’re job hunting in Poland, make sure to research each offer closely. Don’t just look at the rate. Look at what’s really included, and what might be missing.
Need help deciding? Talk to someone who’s done both. Or reach out to us. We work with candidates and clients under both setups every day.
FAQ
Q1: Can I switch from a B2B contract to an employment contract?
Yes, but it requires agreement from both parties and may involve changes in tax and social security contributions.
Q2: Is it legal for a company to force an employee to switch to a B2B contract?
No, forcing an employee to switch to a B2B contract without mutual agreement may be considered illegal and could lead to legal consequences.
Q3: Can I work for multiple clients under a B2B contract?
Yes, B2B contractors can work for multiple clients simultaneously.
Q4: Are there any risks associated with B2B contracts?
Yes, risks include lack of job security, no access to employee benefits, and full responsibility for taxes and social security contributions.
Q5: How do I register as a sole proprietor for a B2B contract in Poland?
You can register your business online through the Biznes.gov.pl website.
