Poland’s July 2026 Labour Law Reform Puts B2B Contracts Under the Spotlight
July 2026 brought one of the most significant changes to Polish labour law in recent years — and it has sparked a wave of questions about the future of B2B cooperation. The new rules give the National Labour Inspectorate (PIP) broader powers to examine whether a B2B contract or civil-law agreement is, in practice, simply replacing a traditional employment contract. As a result, many self-employed professionals are reconsidering whether B2B cooperation is still the right model for them, while companies are facing increasing pressure to review and, where necessary, reorganise their employment arrangements.
Key takeaways
- Since 8 July 2026, PIP can reclassify a B2B contract as disguised employment based on how it actually works, not what it’s called.
- Highest-risk relationships: fixed hours, close supervision, mandatory personal performance, little business autonomy.
- A 12-month transitional period lets companies self-correct before facing the full consequences.
- Non-compliant arrangements risk fines, back social security contributions, tax settlements and employee benefit claims.
- Tax thresholds are also under review, adding a second layer of change for employers and the self-employed alike.
Why Is Interest in Employment Contracts Growing?
The growing interest in employment contracts is largely driven by the new inspection powers, which have been in force since 8 July 2026. Under the new approach, an inspector may determine that a person is effectively working under an employment relationship if they perform work under the company’s direction, at a specific place and during specified hours — even if the formal contract says otherwise.
In other words, the name of the contract is no longer decisive. What matters is how the relationship actually works in everyday practice.
This has prompted many self-employed professionals to consider switching from B2B to an employment contract. For employees, an employment relationship generally offers greater predictability and legal protection, including annual leave, protection in certain termination situations, overtime rights and a broader range of employee benefits. For some workers, switching to an employment contract may also simply formalise a relationship that has already operated like a traditional employer-employee arrangement for years.
What Are the Risks for Employers?
For employers, one of the biggest risks is having a B2B relationship challenged as a disguised employment relationship. If an inspection determines that the cooperation was effectively an employment relationship, the company may face an obligation to regularise the arrangement, as well as potential fines and additional costs related to social security contributions and tax settlements. There may also be claims concerning employee benefits that would have applied had the person been employed under an employment contract — including holiday-related payments or overtime compensation.
The highest-risk situations are those in which a contractor:
- works fixed hours;
- is subject to the company’s day-to-day supervision;
- is required to perform the work personally;
- has little or no genuine business autonomy; and
- operates much like an ordinary employee.
In such cases, it may be difficult for the company to argue that the relationship represents genuine business-to-business cooperation. The reform therefore makes internal audits, accurate contracts and consistency between contractual terms and everyday working practices more important than ever.
What About the Transitional Period?
The new rules include a 12-month transitional period. Companies that voluntarily correct problematic arrangements within this period may be able to avoid some of the sanctions associated with an incorrect form of employment. This gives businesses an important opportunity to review their contracts before inspections and potential penalties become a more serious concern. In practice, the most sensible approach for many companies is to identify which B2B relationships are genuinely entrepreneurial and which only appear to be B2B arrangements on paper. The closer a cooperation model resembles a traditional employment relationship, the stronger the argument for addressing the issue proactively rather than waiting for an inspection.
Taxes and Tax Thresholds
At the same time, the government has announced plans to increase tax thresholds that have remained unchanged for years. The proposed changes are intended, among other things, to address the so-called bracket creep effect — a situation in which inflation and rising salaries push more people into higher tax brackets even though their real purchasing power has not increased proportionally. For both employees and entrepreneurs, this could be another important change affecting the financial attractiveness of different forms of cooperation. Taken together with the reform of PIP’s powers, the developments point towards a broader attempt to reorganise the Polish labour market. On one side, the state is tightening oversight of potentially artificial B2B arrangements; on the other, it is considering adjustments to tax thresholds that have not kept pace with economic changes.
What Does the Reform Mean for Companies?
For employers, the priority is now clear: reduce legal and financial risk by ensuring that the actual working relationship matches the chosen contract.
Companies should review not only the wording of their agreements, but also:
- how work is organised on a daily basis;
- how much independence contractors really have;
- whether they can decide how and when to perform their services;
- whether they bear genuine business risk; and
- whether the practical relationship is consistent with the B2B contract.
Where a relationship looks and operates like employment but is formally structured as B2B, the reform may make a change of employment model necessary. The safest strategy is therefore not simply to make cosmetic changes to contracts. The business model itself needs to reflect the reality of the cooperation. If a contractor is genuinely intended to operate as an independent entrepreneur, they should have meaningful autonomy to do so. If that autonomy does not exist, an employment contract may ultimately be the more secure and sustainable solution.
A New Reality for B2B Cooperation
The July 2026 reform does not necessarily mean the end of B2B cooperation in Poland. Genuine business relationships remain a legitimate and important part of the labour market. What is changing is the level of scrutiny.
For companies, the key question is no longer simply “What does the contract say?” but rather “What does the relationship actually look like in practice?”
For B2B professionals, meanwhile, the reform may be a good moment to reassess whether their current arrangement genuinely reflects independent business activity — or whether an employment contract would provide greater security and better reflect the reality of their work. The companies that address these questions early are likely to be in a much stronger position than those that wait until an inspection forces the issue.
This article is for general informational purposes and does not constitute legal advice. For a review of your specific B2B contracts, see our Audit of the B2B contract service or get in touch with our team directly.
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