New powers of the National Labor Inspectorate from 2026

In 2026, a significant extension of the powers of the National Labour Inspectorate (PIP) were planned. According to the drafts prepared by the Ministry of Family, Labour and Social Policy, PIP inspectors were to be granted the power to issue administrative decisions concerning the conversion of civil law contracts into employment contracts without the need to initiate court proceedings, as is currently the case.

PIP reform – legislative situation and new ideas for changes

Despite advanced work on the draft bill concerning the conversion of civil law contracts into employment contracts by the PIP, the shape of the reform has undergone significant changes:

Prime Minister’s decision. At the beginning of January 2026, the Prime Minister informed the public about the suspension of work on the draft PIP reform prepared by the Ministry of Family, Labour and Social Policy.

A new beginning. On 14 January 2026, Deputy Minister of Labour Sebastian Gajewski announced that the Ministry of Labour was not completely abandoning the changes and was working with the Ministry of Justice and the Ministry of Funds and Regional Policy on a new version of the reform bill. Among other things, it provides for granting entrepreneurs the right to appeal against a decision by a PIP inspector to convert a civil law contract into an employment contract, with the final decision on such conversion to be made by a court.

The aim of the changes. The new version of the regulations is to be acceptable to the coalition partners and adoptable by the Council of Ministers. The key argument for continuing work on the reform is the need to ensure that funds from the National Reconstruction Plan (KPO) are allocated to Poland. The adaptation of the Polish labour market to EU requirements is one of the milestones on which the allocation of these funds depends.

What does this mean for employers and how to prepare?

Although the reform project is currently in the process of being redesigned, the direction of the changes seems to be a foregone conclusion: the National Labour Inspectorate will gain greater supervisory powers and tools to enforce labour law more quickly.

The new regulations are intended to allow labour inspectors to determine the existence of an employment relationship if, in fact, the cooperation in question meets the requirements of Article 22 §1 of the Labour Code – i.e. when an individual performs work of a specific type under supervision, at a specific place and time, for remuneration.

What risks does the employer face?

In practice, the new PIP rights may mean for employers:

costly tax and ZUS corrections – payment of overdue contributions, PIT, as well as interest,

employee claims – including holidays, overtime, severance pay,

financial sanctions for violation of labour law,

difficulties in a flexible employment model, e.g. in B2B cooperation,

litigation in situations where inspectors’ decisions are challenged.

For many organizations, this may mean serious budgetary and image consequences, especially if the scale of cooperation based on civil law contracts is large.

B2B contracts – what is worth doing today?

Regardless of the ongoing work on the new version of the Act, it is worth using the additional time to organise cooperation models and reduce the risk of civil law contracts being challenged by the National Labour Inspectorate.

Key essential activities include:

Review of applicable civil law contracts (contracts of mandate, contracts for specific work, B2B) in terms of the characteristics of the employment relationship;

Assessment of the practice of executing contracts – whether the manner of cooperation does not actually indicate subordination of the service provider (contractor);

Modification of contract provisions and cooperation principles so as to emphasise their civil law nature and distinctiveness from an employment relationship;

Preparation of internal procedures and training for people managing teams or contractors.

New PIP entitlements – how can we help?

The TGC Corporate Lawyers and Crowe team supports employers in preparing for change by:

audit of civil law contracts – identification and assessment of the risk of recognizing them as an employment relationship,

legal and tax advice – preparation of recommendations regarding the content of contracts and cooperation practices,

preparing the organization for PIP inspections – including review of procedures, documentation and internal communication,

advice on various employment models – tailored to business needs and industry.

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What is the difference between an employment contract and a B2B contract?

The fundamental difference concerns the nature of the dependence and responsibility of the parties.

An employment contract assumes subordination – the employee performs tasks under the employer’s direction, at a designated time and place, using tools provided by the company. The employer is responsible for organizing the work and pays remuneration regardless of results.

A B2B contract is a business cooperation – a person running a business operates independently, bears the economic risk of this activity, decides on the time and place of work, may provide services to many clients and is responsible for the results of his or her work.

If a B2B contract in practice resembles an employment relationship, e.g. fixed hours, supervision by a supervisor, work at the company’s headquarters, no risk on the part of the contractor, the National Labor Inspectorate may recognize such a relationship as employee employment and convert it into a contract of employment.

Checklist for employers – are your B2B contracts secure?

Does every civil law contract have a clearly defined scope of services, result and method of settlement?

Does the employee independently decide about the place, time and manner of performing work ?

Is he/she not subject to ongoing management, evaluations or instructions from superiors typical of an employment relationship?

Is the remuneration dependent on the effect or number of services provided, and not on attendance at work?

Does the associate have the ability to provide services to other clients and does he or she actually use this opportunity?

Does the company have documentation confirming the nature of the cooperation (reports, invoices, correspondence, contract)?

Does the collaborator have his/her own work tools (computer, telephone, software, licenses)?

Does the contract clearly state that the contractor bears the economic risk (e.g. liability for errors, bearing material costs)?

Does the contract include provisions on independent organization of work and responsibility for the result?

Do managers in the organization understand the difference between B2B and an employment relationship and are able to enforce it in practice?

Does the company periodically audit civil law contracts and update their content in accordance with applicable regulations?

If the answer to any of these questions is “no”, it is worth considering an audit and correction of the rules of cooperation.

Ask about a contract audit

B2B contract and employment contract – employers’ most frequently asked questions

1. When can a B2B contract be considered an employment relationship?

2. What are the risks to the company after the contract is converted?

3. How can I check if my B2B contracts are secure?

4. Can the B2B model be maintained after 2026?

Do you need support with employee contracts?

We support employers in preparing for upcoming changes.

We provide:

audit of civil law contracts and risk identification,

recommendations for changes in contracts and cooperation models.