Poland Changes Unused Vacation Payout Deadlines

Effective January 27, 2026, Poland has introduced new rules governing the deadlines for paying out unused vacation entitlements to employees. The changes modify the timeframe within which employers must compensate employees for accrued but untaken paid time off upon termination of employment or other triggering events.

Who is affected

All employers operating in Poland are affected by this change, regardless of company size or industry. The new rules apply to all employees who have accrued unused vacation days at the time their employment relationship ends or when other circumstances trigger a vacation payout obligation.

What's changing

The updated regulations establish specific deadlines for employers to settle unused vacation compensation. Previously, the timing requirements for these payouts were less clearly defined, creating potential compliance ambiguity. Under the new framework, employers must now adhere to stricter timelines when calculating and disbursing payments for vacation days that employees have earned but not taken.

The changes affect how employers process final settlements with departing employees and require updated payroll procedures to ensure timely compliance with the new payout deadlines. Employers must now complete unused vacation compensation within the newly prescribed timeframe following employment termination or other qualifying events.

What NEO partners and clients should do

• Review payroll processes immediately to ensure systems can calculate and disburse unused vacation payments within the new deadlines effective January 27, 2026
• Update termination procedures to incorporate the revised timeline requirements for vacation payout settlements
• Train HR and payroll teams on the new deadline requirements to prevent non-compliance penalties
• Audit current vacation accrual tracking to ensure accurate records are maintained for timely payout calculations

Sources

• National Labour Inspectorate Explainer