President Karol Nawrocki signed an amendment to the State Labor Inspectorate (PIP) Act, simultaneously referring it to the Constitutional Tribunal for review.
Increased PIP Powers
The amendment, dated March 11, 2026, aims to strengthen the State Labor Inspectorate and increase the effectiveness of enforcing labor law. A key objective is to combat abuses in the labor market, particularly the replacement of employment contracts with civil law contracts.
The most significant change grants labor inspectors the authority to determine the existence of an employment relationship through an administrative decision. This means that if an employee is formally employed under a civil law agreement but performs duties consistent with a standard employment relationship, the inspector can order the relationship to be recognized as employment.
Additional Provisions
The law also:
Grants the Chief Labor Inspector the right to issue individual interpretations regarding the application of labor law provisions to determine whether a proposed legal relationship constitutes an employment contract as defined in Article 22 § 1 of the Labor Code.
Harsher Penalties for Employers
The amendment significantly increases sanctions for violations of employee rights. Maximum fines in some cases will increase to 90,000 złoty, double the previous amount.
Changes also include procedural adjustments to the Code of Civil Procedure to allow appeals against PIP decisions, including those concerning the determination of an employment relationship.
Presidential Reservations and Concerns
While signing the law, the President expressed reservations, particularly regarding the broad powers granted to the State Labor Inspectorate. He emphasized that the state must be strong but not overly intrusive.
The President also noted the lack of sufficient social dialogue during the legislative process, stating that the state cannot ignore social partners, as they are the foundation of a healthy democracy.
Benefits and Implementation
Despite his reservations, the President highlighted the important benefits of the amendment, stating it will enable the launch of funds from the National Reconstruction Plan and more effectively counter labor market pathologies such as forced “junk contracts” and fictitious self-employment. He emphasized that “work is not only money, it is also dignity, stability, and the foundation for starting a family.”
The law will generally come into effect three months after its publication.
