The complete guide to hiring IT developers in Poland

Having trouble finding the best IT professionals?

 

Ntiative is arguably the best polish recruitment agency for employers looking for the best tech staff in Poland. We follow a 4-step recruitment process.

 

Step 1: Define

Ntiative takes the time to understand what your intentions are. We ask questions to understand the exact kind of IT professionals you are looking for.

 

 

Step 2: Search

Armed with knowledge about your needs, our experience, networks, and tools allow us to find qualified candidates for you.

 

 

Step 3: Select

We proceed and shortlist candidates based on skillset, experience, personality traits, salary range, among other factors considered when finding the perfect hire. We’ll also schedule interviews on your behalf, negotiate contracts, and manage candidate expectations if you want.

 

 

Step 4: Onboarding

We can also manage job offers and other resulting formalities if you decide to hire. We communicate with our clients and job candidates constantly, every step of the way.

 

 

Our advantage: Why should you work with us?

There are many self-proclaimed IT recruitment agencies in Poland that promise “heaven” but fail to deliver. Why should you work with us? Besides having a simple and effective recruitment process, we have other notable advantages. They include, but aren’t limited to:

 

i. Exclusivity

Most of our clientele work exclusively with us. Working with one trusted recruitment agency allows an employer to focus and get the best result. We take time to know our client’s business, which is a crucial step in getting the best IT candidates in the market. There’s absolutely no need of working with anyone else when you choose Ntiative.

 

 

ii. We take our time, travel the journey together

Unlike most recruitment agencies, Ntiative is never in a hurry to fill interview slots. We take time to find the best candidates. Our recruiters will work alongside your team to craft recruitment strategies from scratch. The close collaborations allow Ntiative to be part of your organization. We combine our expertise perfectly with how you work, your expectations, growth plans, and organization culture.

 

 

iii. Better rates/lower cost

Our exclusivity advantage allows us to offer better terms such as extended payment periods, which lower your cost burden. Our clients also enjoy reduced fees. What’s more, organizations that use Ntiative enjoy approximately 50% savings on recruitment costs.

 

 

iv. Marketing benefits

Clients who work with us exclusively also enjoy added market exposure. We can brand recruitment ads. We also use consultants capable of reaching potential candidates in many ways.

 

 

v. Guaranteed recruitment service with a warranty

If you hire a candidate through us and the candidate gets terminated within the first 3 months for whatever reason (besides redundancy), we replace such candidates or refund the placement fee. Our guaranteed service allows you to rest assured that we won’t stop until you recruit the best-of-the-best IT staff.

 

 

vi. Recruitment partnerships

We can form recruitment partnerships that allow you to start a tech team in Poland. You can also grow or scale an existing team. We offer scalable recruitment for some globally renowned companies like Shell Energy, Humtap, NetEnt, Protean Software, and Fandom. In 2019 alone, Ntiative helped 32 companies recruit IT talent and scale IT teams.

 

We can also offer legal and logistical support to clients looking to set up shop in Poland.

 

Read here more about our IT recruitment agency services.

 

Should you open a subsidiary in Poland or outsource?

You may be torn between hiring IT professionals and outsourcing? However, when it comes to IT services, opening a subsidiary tends to be a better option.

 

Outsourcing is common in the IT sector. Many companies hire other companies to offer IT related services such as software development. It may sound easier/more convenient to hire another company to carry out IT-related tasks; however, outsourcing IT has some disadvantages in the IT industry.

Disadvantages of outsourcing IT

 

i. Lack of total control. The professionals working on outsourced projects are managed indirectly.

ii. Hidden costs. Most third-party companies have hidden fees or lengthy contracts with hidden clauses that usually result in additional costs.

iii. Security risks. The risks of security breaches/leaks about products/data are higher since professionals working on your project aren’t your employees.

iv. Quality control problems: There is a risk of third parties being more motivated financially as opposed to delivering outstanding quality.

v. Communication problems: Since outsourcing separates clients and their outsourcing companies on a geographical basis, one-on-one communication isn’t possible. Although there are many communication channels today, nothing beats constant face-to-face communication when building IT products or solutions.

Advantages of establishing a subsidiary in Poland

 

You should overlook outsourcing in favor of opening a subsidiary in Poland because you’ll:

 

i. Safeguard your core competencies & knowledge in-house: Companies should be very careful about outsourcing research and development as well as knowledge transfer. IT tasks can be very sensitive. A subsidiary will allow you to avoid passing sensitive information to third parties (people who don’t have your company’s best interests at heart).

 

ii. Enjoy better communication & understanding of business: Outsourcing makes it difficult to establish organization culture. External teams hardly identify with core values of the company they are working with because they rarely have time to understand the business. They don’t communicate one-on-one with internal teams to understand and value the operational models and values of an organization.

 

iii. Lower costs: Contrary to popular opinion, outsourcing isn’t always cheaper. For instance, a senior IT professional in Warsaw i.e., a software developer, earns approximately 15,000PLN or 200,000PLN a year. Outsourcing a similar specialist costs 150PLN an hour, which translates to approximately 275,000PLN a year. The 75,000PLN cost saving with a subsidiary is significant.

 

iv. Have control over organization culture: When building an in-house team, you can hand-pick the best people that match your organization. This gives you unmatched control over the company’s culture. In fact, you can strengthen the organization’s culture further through regular training. It’s not possible to do this with outsourced employees.

 

v. Be guaranteed of better and more loyal staff: In Poland, employees choose stability. This makes it more advantageous to have in-house staff than outsourced staff. The factors that contribute the most to having better and more loyal staff i.e. job stability, career growth/promotions, etc., are more prevalent in an in-house team. This explains why it’s easier to recruit highly experienced staff in-house vs. outsourcing. What’s more, the best staff are usually expensive and scarce.

 

Why should you spend more money and train staff that will leave you eventually?

 

If you need help starting a subsidiary in Poland, don’t hesitate to contact Ntiative NOW! We specialize in find and recruiting the best IT staff in Poland on behalf of our clients.

Want to know more? Check out this blog post about Insourcing versus outsourcing.

 

How can an international IT company set up a Polish subsidiary?

If you have “warmed up” to the idea of setting up a subsidiary as opposed to outsourcing, it’s time to look at the entire process.

Poland is among the top business destination in Europe. It is particularly popular among foreign IT companies.

Before discussing what it takes to set up a subsidiary, let’s highlight three reasons why you should set up a tech subsidiary in Poland.

 

3 reasons to start a tech subsidiary in Poland

 

Unmatched growth and scale: It’s incredibly hard to find talent in major cities in Europe and the US. What’s more, outsourced IT teams abroad rarely offer the level of dedication and control most projects need. In-house development teams are still the better option, and Poland is among the few countries left in Europe that still attracts and retains IT talent at the “perfect” price point.

 

 

It’s incredibly easy: Europe has a terrible reputation for startups with complicated legislation as one of the main hindrances to setting up subsidiaries. This is far from truth. Setting up a business in Poland is easier than most people think. In fact, you can setup and start transacting business within four weeks. You don’t need a legal entity to start hiring talent. What’s more, there’s no shortage of offices and co-working spaces, and language barriers are non-existent. There’s an abundance of English speaking professionals.

 

 

Cost efficiency: Poland offers 25 to 50% cost savings compared to countries like the US. The overall cost of operations (office space, suppliers, and back-office) is significantly lower compared to US and Western European cities.

 

 

 

A more detailed article on reasons to start a tech subsidiary in Poland can be found here.

 

Ntiative has helped countless companies set up tech subsidiaries in Poland. We’ve helped small startups looking for a few developers to medium and large companies looking for large IT teams.

 

How to set up an international IT company in Poland

Since you already know why you should set up shop in Poland, let’s shift our focus to establishing a subsidiary. If you care to know how to establish a company in Poland, here are the steps to follow:

 

Step 1: Determine a legal form

 

Limited liability companies have fewer complex structures compared to joint-stock companies. For this reason, they come highly recommended for individuals interested in establishing IT subsidiaries in Poland.

 

Step 2: Power of attorney

 

If you establish a subsidiary in Poland but don’t wish to travel back and forth to sign documents personally as required in any business, you can give such powers to someone else (a representative of your company) via power of attorney.

 

Step 3: Draft the articles of association (AoA)

 

The AoA forms the basic foundation of a Polish subsidiary. You can use standard AoA templates available online or customize the AoA accordingly. For a subsidiary in Poland, the parent company may wish to limit board actions. Such limitations, among other related changes are done in the AoA. However, internet registration can have some limitations for foreign shareholders wishing to set up a subsidiary in Poland. For instance, the registration offers a standard AoA template with limited provisions. It’s advisable to seek some help when drafting the AoA of a subsidiary with unique needs.

 

Step 4: Capitalization

 

Shareholders must contribute share capital before registering a company in Poland. There’s an exception to this rule when the registration is done online. The standard share capital contribution for subsidiaries is cash, which is ideally sent to a bank a/c. However, other forms of contribution can be used. For LLC’s in Poland, the minimum share capital is 5,000PLN. Joint-stock companies have a minimum share capital of 100,000PLN.

 

Step 5: Appoint managers

 

Before a company is registered, shareholders must appoint a management board composed of one or more members whose job is representing the company and conducting business. In Poland, the management board must comprise of 100% natural persons. For joint-stock companies or rare LLC’s, a supervisory board must be appointed.

 

Step 6: National court registration

 

All companies in Poland must be registered in the NCR (National Court Register). If the registration process is online, NCR can also be done online. Otherwise, the registration can be done offline (using paper forms). Paper applications must be delivered to the registry court with jurisdiction over the city of operation. Registration should be within 6 months of signing the AoA. Otherwise, the company will be dissolved. Internet registration allows 7 days only.

 

Step 7: Handle accounting and tax obligations

 

All companies in Poland must meet specific accounting and tax obligations. The importance of having a reliable accounting office can’t, therefore, be overemphasized immediately after incorporating your company. Poland has a 21-day deadline for newly registered companies to file information with tax authorities.

 

An accounting office will also come in handy during VAT registration. Poland is very strict about VAT fraud, making VAT registration urgent.

 

Step 8: Get a PESEL number

 

Poland uses PESEL numbers as national identification numbers. One or more members of a company’s management board should have a PESEL number to be able to submit financials online. Polish citizens have PESEL numbers issued after birth. However, foreigners must apply to get these numbers. PESEL numbers are free of charge. However, you must apply from a municipal office.

Once you have completed the 8 steps, you tech subsidiary is ready to go.

 

Let’s proceed to the next stage or read this more detailed blog post on how to set up a company in Poland.

 

 

How to recruit IT staff in 2020

Getting the right IT staff is critical given that tech companies can only be as good as their talent. However, there’s a shortage of great tech talent. Besides remuneration, the best talent also has an insatiable demand for a great working environment. This has forced companies to reinvent recruitment programs for tech talent.

 

Traditional methods of recruiting no longer work when finding the best tech talent. What’s more, typical modern methods of recruiting talent i.e., via job portals, don’t work well for tech talent. Job descriptions that lack detail don’t get far.

 

What are the best Tech professionals looking for?

 

IT professionals are looking for concrete and specific offers. They know they are highly demanded and won’t settle for less. However, finances aren’t their sole motivation when changing jobs or staying with their current employer. In fact, majority of the top tech talent is attracted initially by what it’s like to work in a company. They are interested in knowing how serious a company invests in learning, growth, and quality. This information must be offered in recruitment efforts to increase your chances of attracting the best talent.

 

While there several ways of doing this, Ntiative has a unique recruitment strategy that nobody is using, yet, it’s guaranteed to offer you an unmatched competitive advantage when attracting tech talent in Poland. Ntiative uses employee-focused content i.e., day to day job experiences, culture perception stories, and success stories, among other strategies to find and recruit the best IT talent for you.

Interested in how to recruit IT staff in 2020? Don’t miss our blog post on hiring software developers in 2020.

 

Types of employment contracts in Poland

 

Before you start recruiting staff in your IT subsidiary in Poland, it’s important to familiarize yourself with the types of contracts you will sign with your new staff. Poland has 4 main employment contracts. They include;

 

1. Umowa o prace

 

Umowa o prace happens to be the most common employment contract in Poland. It is also the most costly employment contract for employers. The contract regulates the obligations and rights of parties in the contract as per the Polish Labor Code. The contract offers guarantees like minimum wage, right to sick pay, paid holidays, regulated working time as well as regulated hiring and firing.

 

Employers are obligated to bear the cost of social security and employer contributions on top of paying employees a salary. There are four contract subtypes under Umowa o prace, namely; a contract for a trial period (normally 3 months with the possibility of an extension), contract for replacement, contract for a limited time, and a contract for an indefinite time.

 

2. B2B contracts (self-employed contracts)

 

B2B contracts differ from regular employment contracts. They are more flexible and allow other benefits like working remotely, making them increasingly popular among tech professionals today. However, they come with a significant amount of cons.

 

For instance, IT staff who take B2B contracts have to carry additional costs like social security and employer contributions, which are handled by employers in typical cases. B2B contracts also come with tax obligations that are considered employer obligations under typical employment contracts.

 

B2B contractors aren’t covered under Polish Labor Code provisions. Their liability isn’t limited to a certain amount of pay; however, they are liable for their obligations with their assets. As a result, B2B contracts can attract higher contractual penalties such as immediate termination. They can also contain incomplete clauses with separate remuneration.

 

To companies, B2B contracts have lower overall costs. Other benefits include easy staffing (employer can increase and decrease staff with ease). The most notable disadvantage is a higher salary expectation. Since employees who sign B2B contracts expect to incur more costs, they tend to expect higher salaries. However, such cons can be managed when dealing with a good recruitment agency.

 

B2B contracts should be created carefully with risks being distributed fairly between both parties. However, contracts which offer too much safety tend to attract other cons. For instance, the status of a self-employed person can be questioned by tax authorities in B2B contracts with too much safety.

 

3. Umowa o dzielo

 

This type of contract applies to specific tasks. The contract doesn’t have a finite minimum payment. Under Umowa o dzielo, employees aren’t subject to health or social insurance. The task in question must also be documented accordingly (with invoices) and subjected to tax.

 

4. Umowa zlecenie

 

This type of contract (diligent performance or assignment contract) is based on the performance of a specific task. The final result determines the final pay, which is issued the task in question is completed. Diligent performance contracts can be terminated anytime by employers as per the guidelines stated.

 

The above contracts are the main employment contracts you should expect to enter with prospective employees should you start a subsidiary in Poland. The ideal type of contract solely depends on your type of business. It’s advisable to seek professional help to be able to pick a contract type that works perfectly for your business.

 

Want to learn more about employment contracts? Yes, we wrote a blog post about the four major employment contracts in Poland.

 

How do you build the best tech team in Poland?

 

Great IT talent is rare, yet the need for tech professionals is insatiable. As businesses try to cope with the times, we are witnessing a shift in focus on talent development. Companies are choosing to improve the skills of existing development teams.

 

When focusing on talent development, your focus is on identifying the areas in your workforce that need improvement. Talent development involves giving your existing workforce career-advancing learning opportunities and tools. The main benefits of talent development for IT talent include:

 

Increased productivity: Employees who are enabled to progress in doing what they love are bound to be more productive. Talent development programs make employees feel valued and empowered, which in turn, boosts productivity and engagement.

 

 

Increased talent retention: Employees who feel valued will rarely quit and go to work for your competition. When you invest in your staff, they have fewer to no reason to think off, let alone apply for other jobs. This translates to lower costs of retaining talent.

 

 

Attracting talent: As mentioned above, the best IT talent isn’t just interested in salary. Most are actually more interested in jobs with promising growth and will quickly overlook high-paying jobs with poor growth prospects. Having talent development programs as part of your company’s recruitment strategy is bound to attract the best talent.

 

Check out this blog post on how to build the best tech team in Poland.

 

Ntiative can guide you through the process of finding and recruiting the best IT professionals in Poland. As you navigate the landscape of establishing an IT subsidiary in Poland, we can help you recruit the best team. We are solely focused on recruiting IT staff only, which is partly why we are among the best, if not the best Polish recruitment agency for IT.