What is better? Umowa o pracę or Umowa zlecenie?

Umowa o pracę vs. Umowa zlecenie: What is better?

When seeking employment in Poland, workers often face a choice: sign an "Umowa o pracę" (employment contract) or an "Umowa zlecenie" (contract of mandate). Both options have their pros and cons, so it is important to understand their differences.

Umowa o pracę (Employment Contract)

This type of contract is the most beneficial for employees, as it provides the highest level of legal protection and social benefits.

Pros:

• Full social package (pension contributions, health insurance, paid sick leave, and maternity leave);

• Paid vacation (26 days per year with full seniority);

• Clearly defined working hours and guarantees of compliance with labor law;

• Job stability and protection against unjustified dismissal.

Cons:

• High tax deductions and contributions (for both the employee and the employer);

• More complex contract termination procedure;

• Fixed working hours, which may limit flexibility.

Umowa zlecenie (Contract of Mandate)

This type of contract is more flexible and is often used for temporary or part-time employment.

Pros:

• Flexible working schedule;

• Ability to work for multiple employers simultaneously;

• In some cases, lower tax deductions;

• Easier contract termination.

Cons:

• No paid vacation;

• No guarantee of a minimum number of working hours;

• Limited social benefits (health insurance and pension contributions are not always mandatory);

• Possibility of sudden termination of cooperation.

What to choose?

The choice between Umowa o pracę and Umowa zlecenie depends on your priorities. If you value stability, social security, and paid vacation – the employment contract will be the best option. If you need flexibility and the ability to work in multiple places – the contract of mandate may be a better solution.

In any case, before signing a contract, it is important to carefully study its terms and understand what rights and obligations it grants you. If you have doubts, you can consult a lawyer or an accountant.