Cost of hiring a foreigner: the employer's full bill

The cost of hiring a foreigner is gross salary plus employer contributions (around 20% on top of gross), the formalities of a work permit, recruitment, housing, onboarding and the cost of turnover. Compare an agency's rate with the sum of these items, not with gross pay alone.

What contributions does the employer pay on top of gross pay?

ZUS (social insurance) contributions for a foreigner on an employment contract are the same as for a Polish employee. The employer funds them on top of the contract amount:

In total this comes to around 19.5-22% of gross pay, depending on the accident rate (most often around 20.5%). The accident rate depends on the type of business activity (PKD code) and the number of insured people, so the total differs between companies. Under a contract of mandate, contributions work differently, and a pupil or student under 26 on a contract of mandate is not subject to ZUS contributions regardless of citizenship, unless the mandate is signed with their own employer. We cover the details in the article on ZUS contributions for a foreign employee.

How long does it take to get a work permit for a foreigner?

For a type A or B work permit, the application is filed only by the employer, electronically via praca.gov.pl, with a qualified signature or a trusted profile (profil zaufany). Waiting for the permit usually takes from 2 to 4 months. This time needs to be added to the staffing plan, because the position stays empty during that period or the rest of the team carries the load.

Beyond the waiting time come document translations and the work of the person handling the case. This is a recurring cost: the permit is issued for a set period, so for longer employment it has to be extended or a new one obtained, with more time for formalities.

Costs employers forget about

Recruitment. Job ads, interviews, checking qualifications and documents. With candidates from abroad, an interview in the candidate's language needs someone who speaks it.

Housing and transport. Recruiting from abroad usually means planning at least for the start, where the employee will live and how they will get to work. The rules of settlement are set by the contract, and the value of accommodation can be the employee's income. Under an employment contract, accommodation paid by the employer is exempt from PIT up to PLN 500 a month, if the employee lives outside the locality of the workplace and does not use increased tax-deductible costs. Any surplus becomes the employee's income.

Onboarding. Job-specific training, health and safety (BHP) training, lower productivity in the first weeks and the supervisor's time. A language barrier extends this period.

Turnover. Every departure in the first months means repeating recruitment, formalities and onboarding, plus the time the position stays unfilled.

Who pays for translations and health and safety training in the employee's language?

This cost falls on the company that trains the employee and is responsible for their safety. Health and safety (BHP) training only makes sense when the employee understands its content. What usually needs translating:

• general and job-specific BHP induction with risk assessment cards,
• machine operating instructions and emergency procedures,
• work regulations,
• signage in the facility: zones, evacuation routes, warnings.

Translation is done once and serves later employees from the same country, but it can surprise the budget at the first recruitment. The same applies to a coordinator the employees can communicate with: it is a cost item that shortens onboarding and limits turnover.

How do you compare the cost of hiring a foreigner with an agency's rate?

Depending on the agreement, a temporary work agency's rate can cover wages, contributions, employee formalities and legalisation. On the direct-employment side, calculate:

1. Gross pay plus employer contributions for the position.
2. Recruitment cost divided by the expected length of employment.
3. Time and handling of formalities, including renewals.
4. Housing, translations and onboarding.
5. Turnover risk and the cost of an unfilled position.

Only this sum is fit for comparison. In-house costs are usually spread across HR, production and administration, so no one adds them up.

Direct employment tends to work out better with stable, multi-year demand and your own legalisation setup, because fixed costs spread across many people. Then the agency can help with permanent recruitment and legalisation of employment. With seasonal demand or a dozen or so people a year, the calculation often comes out the other way. We cover cooperation models in the article on employee leasing, and the scope of services in the offer for employers.

We prepare a breakdown for specific positions after you describe your needs via the contact form.

Frequently asked questions

Are contributions for a foreigner higher than for a Polish employee?

No. Contributions depend on the place of work and the type of contract, not citizenship. Under an employment contract, the employer pays the same rates as for an employee from Poland. Under a contract of mandate, the contribution rules are also the same for a foreigner and a Pole.

Can the employee file the work permit application themselves?

No. Only the employer files the application for a type A or B permit.

Does the host employer have health and safety duties towards a temporary worker?

Yes. It must provide safe and hygienic working conditions and access to social facilities on the same terms as for its own employees. This also applies to people on a contract of mandate who work on the plant's premises.

This text is for information only and describes general regulations. It is not tax or legal advice.

This text describes the general rules. What you are entitled to depends on your type of contract: an employment contract (umowa o pracę) or a contract of mandate (umowa zlecenie). Your own contract and payslip are what count.