HR and Payroll Updates for 2026 – What Employers Need to Know
- dariafulei
- 7 hours ago
- 4 min read
The year 2026 brings some of the most significant changes to labor law in recent years. For HR and payroll departments, this will not be just a matter of updating procedures, but a real shift in how employee entitlements are calculated, leave is settled, and communication with employees is handled. Below is a practical overview of the key areas employers should pay close attention to.
1. Length of Service Calculated Under New Rules
This is by far the most groundbreaking change of 2026. As of 1 January 2026 for the public sector and 1 May 2026 for the private sector, the length of service will no longer be based solely on periods of employment under an employment contract.
The length of service will now include, among others:
running a sole proprietorship,
work performed under mandate contracts and in the B2B model,
paid work performed abroad,
membership in agricultural cooperatives.
Why is this so important?
The change directly affects key employee entitlements:
annual leave – some employees will reach the 26-day leave threshold more quickly,
notice periods – these may be extended,
severance pay – its amount may increase along with a longer length of service.
It is important to note that recalculating the length of service will not happen automatically. Employees are required to provide relevant documentation (e.g. a certificate from the Social Insurance Institution or other proof of professional activity). They have 24 months from the date the regulations enter into force to complete the documentation.
2. Cash Equivalent for Unused Leave – New Payment Deadlines
As of 27 January 2026, the rules for paying the cash equivalent for unused annual leave are changing. The amendment to the Labour Code simplifies HR and payroll processes, but at the same time introduces important deadlines that must be observed.
Key rules:
the cash equivalent is paid together with the regular salary, on the standard payroll date,
if the salary payment date falls before the termination of the employment contract, the employer has 10 days from the date the employment relationship ends to pay the cash equivalent.
Missing this deadline may result in financial consequences, so payroll procedures should be adjusted accordingly.
3. Electronic HR Documentation with a Clear Legal Basis
Although many companies have been using email and HR systems for years, only the regulations effective from 27 January 2026 explicitly allow the electronic form in numerous areas of labor law.
From that point on, depending on arrangements, employers and employees may use either paper or electronic form, among others, for:
leave applications and unpaid leave,
establishing individual and flexible working time schedules,
documents related to overtime,
confirming familiarization with occupational health and safety regulations,
notifications regarding monitoring or night work.
Electronic form includes, for example:
an email that allows the sender to be identified,
an application submitted via an HR system,
a document signed with a qualified electronic signature.
Note: in certain cases (e.g. termination of an employment contract), written form is still required. In electronic form, this requirement is met only by a document bearing a qualified electronic signature.
4. Pay Transparency – Preparing for New Obligations
The year 2026 marks the implementation of EU regulations on pay transparency and equal pay. Although the details of the Polish implementing act are not yet known, the direction of change is already clear.
Employers must be prepared for:
a ban on pay confidentiality clauses,
employees’ right to information about average pay for comparable positions, broken down by gender,
the obligation to report the gender pay gap (applies to companies employing more than 100 people).
This is a good moment to review pay policies and prepare for greater transparency.
5. Sick Leave in 2026 – A More Flexible Approach by ZUS
The changes also affect rules related to incapacity for work:
performing a minor, incidental work-related activity during sick leave (e.g. passing on key information) will no longer automatically result in loss of benefit entitlement,
certificates of incapacity for work may also be issued by qualified nurses and physiotherapists.
For employers, this means the need to update control procedures and communication with employees.
6. Labour Inspectorate Powers – What (Does Not) Change
In 2026, no regulations were introduced that would allow labour inspectors to administratively convert B2B contracts into employment contracts. The existence of an employment relationship continues to be determined exclusively by the court.
However, this does not mean fewer inspections. The National Labour Inspectorate has announced continued intensive actions aimed at identifying bogus self-employment.
Summary
HR and payroll changes in 2026 require employers not only to be familiar with the new regulations, but also to adapt HR systems, internal procedures, and employee communication. The earlier an organization prepares for the new obligations, the easier it will be to avoid errors and the risk of penalties.
If you want to maintain full control over HR and payroll in 2026, automation and well-structured processes will be the key to peace of mind.
