The future of cross-border hiring: Lessons from Poland’s crackdown on outsourced employment

The law is presented as a response to abuses in the employment of lower-skilled workers. In recent years, some outsourcing models were used to circumvent the strict regulatory framework governing the operation of temporary employment agencies. Under the new regime, any outsourcing of non-EU personnel is permitted only if carried out by a registered employment agency providing temporary employment services. Attempts to channel foreign employees through other structures – without careful legal due diligence – now expose both the intermediary and the end client to the risk of administrative penalties.

A further complication is the introduction of the so-called “two-year rule”. Newly registered employment agencies must now wait 24 months before they are allowed to place or lease non-EU nationals requiring either: (i) a work permit or (ii) statement of work entrustment. The only exception applies to Ukrainian citizens, reflecting Poland’s continued efforts to support their access to the labour market. This requirement significantly limits the ability of employers and agencies to adjust current operations or launch new entities in Poland as a means to replicate earlier business models.

Although the new rules were designed to target malpractice in the labour market, they also affect EOR providers focused on talent acquisition, and highly skilled cross-border professionals. With proper planning, however, some obstacles can be overcome. While classic body-leasing structures are directly affected, outsourcing of services remains outside the scope of the new restrictions. EOR providers must therefore carefully reassess whether their cooperation models amount to genuine service delivery or to prohibited labour supply. A thorough verification of existing contracts with Polish end clients has already become essential, and in many cases adjustments to employment contract templates used for hiring international talent will also be required.

At the European level, Poland’s approach signals a regulatory tightening that could inspire similar moves in other member states concerned with labour market integrity and the prevention of disguised outsourcing. Consequently, the broader future of cross-border hiring may not be as “borderless” and compliance-light as it once seemed. For employers, mobility specialists, and EOR providers alike, the challenge ahead will be to combine operational agility with vigilant regulatory monitoring and careful structuring of contracts.

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Jeremiasz heads the Penteris compliance department. He spreads his work across compliance, corporate, M&A, employment, and risk management.