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Revolutionary Reform of the PiP

12 March 2026 The Senate accepted without amendment the amendment of the Act on State Labour Inspection.

12 March 2026 The Senate accepted without amendment the amendment of the Act on State Labour Inspection.

At the moment, changes to the PIP Act only await the President's signature and the changes announced for months will enter into force....

12 March 2026 The Senate accepted without amendment the amendment of the Act on State Labour Inspection. At the moment, changes to the PIP Act only await the signature of the President and the changes announced for months will enter into force.

In accordance with this amendment, the Labour Inspector will, after having heard the parties in advance, receive the power to issue an order requiring a change to the way in which a civil contract is executed or to conclude a contract of employment, at the time when he considers that the contract contains the dominant part of the characteristics of the employment relationship.

If the order is not carried out, the case may lead to administrative proceedings which may be concluded by a decision to transform the civil law contract as well as B2B into a contract of employment or, in that case, the inspector may also alternatively apply to the competent labour court with a claim to establish the existence of an employment relationship.

The amendment assumes that, in the course of administrative proceedings, consideration will be given to the will of the parties, unless it is contrary to the law, including labour law, the principles of social coexistence or the aim of circumvention.

The decision will be appealed to the court within the time limit 30 days. The appeal shall result in the suspension of the enforcement of the decision pending the examination of the appeal.

This amendment does not in principle introduce immediate feasibility in standard cases. The rigor of immediate enforceability in administrative proceedings will concern persons with special protection against termination or termination of employment, including pregnant women

The amendment also introduces 12- a monthly transitional period during which entrepreneurs will be able to organise the employment model on a voluntary basis, in which case the entrepreneur will not be liable under the Labour Code.

In addition, the project also provides for a procedure allowing the Chief Labour Inspector to issue binding individual interpretations on whether the legal relationship bears the characteristics of a contract of employment. Where, in the course of the audit, the established facts will be different from the one described in the request for interpretation in the PIP case, the PIP authority will have the right to assess the actual nature of the legal relationship.

The project envisages allowing remote PIP controls and electronic document circulation, i.e. conducting online auditions and remote transmissions.

The amendment also provides for an immediate circulation of information exchange between PIP, ZUS and KAS, which means that PIP's findings on the conversion of a civil law contract into a contract of employment will automatically reach ZUS, which may ultimately result in the need to pay late social security contributions with interest

In addition, the fines laid down in the Labour Code will be increased (i.e. Article 281(282)(283))

As a rule, a major amendment is expected to enter into force after 3 months from the date of publication in the Official Journal.

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