New powers of the National Labour Inspectorate (PIP) - what changed on 8 July 2025?
On 8 July 2025, one of the most far-reaching reforms in the history of Polish labour law came into force. The National Labour Inspectorate (PIP) gained the power to issue administrative decisions establishing the existence of an employment relationship. This means that a PIP inspector can determine on their own - without having to refer the case to court - that a given civil-law contract or B2B arrangement is in reality an employment relationship within the meaning of Article 22 of the Labour Code.
Until now, the inspectorate could only file a claim seeking a declaration that an employment relationship existed. The decision was made by a court, often after many months or even years of proceedings. An employer who used civil-law contracts instead of employment contracts therefore had time to prepare for the consequences. That mechanism no longer applies.
The criteria for assessing the nature of employment have not changed - the decisive factors remain organisational subordination, a fixed place and hours of work, performing duties under direction, and personal performance of work. The revolution, however, concerns the procedure itself, or more precisely - the speed and effectiveness of the supervisory authorities.
It is worth stressing that the inspector's decision is not final. Both the employer and the employee can appeal to the labour court, and lodging an appeal suspends enforcement of the decision until a final judgment is issued. Even so, the mere prospect of a swift administrative ruling changes the rules of the game on the labour market.
The Pyszne.pl case - the first test of the new rules
Less than a week after the reform came into force, the case of Takeaway Express Poland, the operator of the Pyszne.pl platform, moved to the forefront. The Ministry of Family, Labour and Social Policy announced that the company intends to dismiss all of its employed couriers - around 5,000 people - by the end of August 2025.
The dismissed couriers are to be offered continued cooperation, but this time through so-called fleet partners - external entities that act as intermediaries in employment. According to the OPZZ Confederation of Labour, this means a drastic deterioration in working conditions. Couriers, who until now have been covered by a minimum hourly rate and Social Insurance Institution (ZUS) contributions under civil-law mandate contracts, would be paid solely for completed deliveries.
Minister Agnieszka Dziemianowicz-Bąk asked the Chief Labour Inspector for a particularly thorough review of the basis on which Pyszne.pl couriers are engaged. If the inspection shows that the couriers should have been employed under employment contracts, the act on collective redundancies will apply - with an obligation to consult trade unions and pay statutory severance.
The company firmly denies that the reorganisation is a reaction to the PIP reform. According to Pyszne.pl, the move to a 3PL (Third-Party Logistics) model is part of a long-term operating strategy that has been in preparation for some time. Regardless of the company's motives, the case has become a symbol of the tensions the new rules are creating on the labour market.
Financial and legal consequences for employers
Reclassifying a civil-law contract or B2B cooperation as an employment relationship is not merely a formal change. For a business owner, it brings a cascade of financial and organisational obligations, the scale of which can be very painful.
What does an employer face once a contract is reclassified as employment?
- Back-payment of ZUS contributions - the employer may be required to pay overdue social security and health insurance contributions, together with interest
- Tax arrears - the National Revenue Administration (KAS) may demand corrections to PIT settlements and contributions
- Employee benefits - the worker may be entitled to outstanding annual leave, overtime pay, severance and cash equivalents
- Health and safety obligations - the need to meet occupational health and safety requirements
- Collective redundancy rules - if the reclassification affects a larger group of people, the employer must follow consultation procedures and pay severance
An integrated control system - PIP, ZUS and the tax authorities
A particularly important element of the reform is the creation of an integrated data exchange system between the National Labour Inspectorate, the Social Insurance Institution (ZUS) and the National Revenue Administration (KAS). PIP now has full, direct access to the ZUS and KAS databases. Every decision to reclassify a contract is immediately passed to both institutions, which may trigger parallel inspection proceedings.
Robert Lisicki, director of the labour department at the Lewiatan Confederation, points out that although the government has dropped retroactive effect for PIP decisions, the results of inspections may prompt ZUS and the tax authorities to take an interest in settlements from previous years. For many companies, this means a real risk of liabilities running into millions.
The Platform Work Directive - the next wave of change on the horizon
The PIP reform is not the only change business owners need to prepare for. Work is also under way on implementing the EU Platform Work Directive, adopted by the European Union in 2024. Poland has until December 2026 to implement it, and the Ministry of Family, Labour and Social Policy has announced that the draft act is already ready and will soon go to public consultation.
The directive is intended to protect people who work through digital platforms - not only couriers employed directly by platforms such as Pyszne.pl, Glovo or Uber, but also those who work with fleet partners. This means that the model of outsourcing employment to external entities, which Pyszne.pl is now introducing, may become subject to strict regulation within the next year or so.
For companies operating in the gig economy, it will be essential to monitor the legislative work and adapt the business model to the new requirements in good time. Business owners who already use non-standard forms of employment should carry out a legal audit of their contracts and assess the risk of their being reclassified.
How to prepare? Practical steps for business owners
The new rules do not have to spell disaster, provided a company takes preventive action early enough. The key is to examine carefully whether the forms of cooperation used actually match their legal wording. If a B2B contractor works fixed hours, under the direction of a supervisor and at the company's premises, there is a serious risk that a PIP inspector will treat the relationship as an employment relationship.
In particular, we recommend that business owners carry out a review of all civil-law contracts and B2B contracts against the criteria in Article 22 of the Labour Code, introduce procedures that minimise features of employee subordination in relations with subcontractors, and prepare a strategy in case of a PIP inspection - including appointing people responsible for liaising with the inspectorate and gathering documentation that confirms the real nature of the cooperation.
The PIP reform of 8 July 2025 is a change that will shape the Polish labour market for years to come. The Pyszne.pl case shows that the new rules have a real impact on thousands of workers and hundreds of companies. It is not worth waiting for an inspection - it is better to act in advance.
Do you need a professional audit of your contracts or legal support with the new PIP rules? Contact our firm - we will help you prepare your business for the changes and minimise legal risk.
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