Key Points
- Poland has announced minimum wage updates for local hires and civil contract workers in 2021
- Changes take effect January 1, 2021
- Minimum wages will increase to PLN 2,800 per month for local hires
- Minimum wages will rise to PLN 18.3 gross per hour for civil contract workers
- Current, pending, and new applications must adhere to the new minimum wage mandates
Overview
Poland has updated its minimum salary levels for 2021. The new wage requirements take effect on January 1, 2021. Minimum wage levels will increase for local hires and civil contract workers.
What are the Changes?
The changes only apply to locally hired employees. EU Blue Cards and Intracompany Transfer (ICT) permits have separate minimum wage thresholds.
For local hires, the minimum wage will rise to PLN 2,800 gross per month, which is an increase of 7.7% from the minimum wage of PLN 2,600 gross per month in 2020. For civil contract workers, the minimum wage will increase to PLN 18.3 gross per hour from PLN 17 gross per hour. This is a 7.6% increase from 2020.
Regardless of category, foreign workers must have sufficient funds to support themselves and any dependents during their stay in Poland.
What Should Employers and Applicants Know?
The new minimum wage requirements affect all permit holders. Current permit holders must have their minimum wage adjusted to meet the forthcoming requirements on January 1, 2021. Pending and new applications must also conform to the new minimum wage standards on January 1, 2021.
Employers should note that allowances and benefits are not included in minimum salary calculations for local hires. Employees must be paid in PLN, and they must be on the local payroll.
Originally published 23 December 2020
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.