Minimum wage in 2025 – everything you need to know

We are facing significant changes to the minimum wage in 2025. The increase in the minimum wage not only means higher costs for employers but also the need to adapt HR documentation and employment contracts. Check out the details of what changes are envisaged by the Council of Ministers’ regulation and how they will affect businesses and employees.

Minimum wage 2025 – how much is it?

As of 1 January 2025, the minimum wage will increase to PLN 4666 gross, which translates into PLN 3510.92 net. In the case of the minimum hourly rate for civil law contracts, its amount will be PLN 30.50 gross.

These changes result from the regulation of the Council of Ministers of 12 September 2024 and are a response to the rising cost of living and inflation. The final amount of the minimum wage is PLN 40 higher than the original government proposal presented in June 2024 during a meeting of the Social Dialogue Council.

Do employment contracts need to be annexed as a result of the new minimum wage?

It is not always necessary to introduce annexes to employment contracts. If a specific amount of remuneration is specified in the employee’s contract (e.g. PLN 4300 gross), the employer is obliged to prepare an annexe increasing this value to the level of the new minimum wage – PLN 4666 gross.

On the other hand, if the contract states that the employee’s salary corresponds to the current legal minimum wage, then the contract does not need to be amended. However, the employer should inform the employee of the change in the rate that will take effect from January 2025.

Minimum hourly rate – who does it apply to?

The minimum hourly rate of PLN 30.50 gross applies to persons performing work under contracts of mandate and contracts for the provision of services. The provisions governing the minimum hourly rate are intended to ensure that those accepting orders receive remuneration adequate to the amount of time worked.

Each hour of work should be properly accounted for and documented.
Entrepreneurs are obliged to keep documentation confirming the number of hours performed for three years.

Consequences for employers – costs and obligations

The higher minimum wage means a greater financial burden for entrepreneurs, especially for those employing full-time employees. In addition, employers must remember to:

• adjusting salary budgets,
• updating payroll and HR systems,
• correctly accounting for wages for part-time employees.

It is also important to remember that failure to pay the minimum wage risks financial penalties. An employer who violates these regulations may be fined from PLN 1,000 to even PLN 30,000.

Net minimum wage – how much will an employee get ‘on hand’?

Although the gross minimum salary in 2025 is PLN 4666, the actual amount an employee will receive in their account will be lower and will amount to PLN 3510.92 net.

The net calculation takes into account mandatory social and health insurance contributions, as well as an advance payment for income tax. The net amount may vary depending on additional allowances, such as the young people’s allowance or the children’s allowance.

What if the employer does not pay the minimum wage?

An employee not paid the minimum wage has the right to complain to the State Labour Inspectorate (PIP). The complaint should contain the employee’s data, the name and address of the employer and a description of the irregularity.

Alternatively, the employee may file a lawsuit with the labour court for payment of the wages due, together with interest for late payment. The legislation exempts from court fees for claims not exceeding PLN 50,000.

Increases in 2025 – how will they affect the labour market?

Raising the minimum wage aims to protect the purchasing power of employees, but at the same time raises concerns among employers. An increase in labour costs could lead to:

• a reduction in the number of full-time jobs,
• an increase in the number of civil law contracts,
• transferring part of the business to the shadow economy.

From the workers’ perspective, higher wages mean better economic security and higher prices for goods and services, which are an indirect effect of inflation.

Summary

The new minimum wage regulations in 2025 mean several changes for both employers and employees. The increase in salary to PLN 4666 gross and the minimum hourly rate to PLN 30.50 will require adjustments to employment contracts, HR and payroll systems and company budgets. Employees, on the other hand, will gain better financial security, but at the same time, they should remember their rights and obligations under the legislation.