Further restrictions for Polish businesses in international transport?

In April of this year, the Council of the European Union, under the Polish Presidency, adopted a controversial common position on the amendment of Regulations (EC) No. 883/2004 and 987/2009 concerning the harmonisation and coordination of social security systems. The proposal, seemingly unnoticed by the public, has raised serious concerns among representatives of Polish international transport companies. According to the industry, the proposed changes are aimed at undermining the competitiveness of the Polish international transport sector. If implemented, however, the changes would affect not only drivers operating throughout Europe, but also all employees posted to work in various EU countries.

The controversial amendments include, among others:

• A new definition of the “place of business” for determining the applicable legislation in matters of social security;
• An obligation to notify the sending Member State in advance of the intention to work or post an employee abroad (the so-called “pre-notification procedure”).

According to experts, the most significant consequence for Polish businesses lies in the new definition of the “place of business”, which determines the applicable law for paying social security contributions. Under the proposed change, one of the key factors in determining the applicable law will be the volume of turnover generated in the country where the entrepreneur provides services. It is easy to see that such a rule would most heavily impact Polish transport companies. For instance, a Polish entrepreneur performing transport services in France and Italy under contract with an Estonian company could potentially be subject to as many as four different legal systems. The responsibility for navigating this complexity would rest entirely on the employer, leading to increased business costs and reduced competitiveness of Polish carriers on the European transport market.

An additional burden would be the requirement to notify the sending country in advance of any posting. Until now, this obligation applied only to the host countries. If the proposed changes are adopted, employers will face a doubling of administrative obligations. This will be especially challenging for transport and logistics companies that often decide on international assignments on very short notice. The new notification requirement could significantly limit the flexibility of many industries that rely on cross-border mobility.

At this stage, detailed information on the legislative process remains limited, but Polish employers should already begin preparing for potential additional administrative burdens. If you need assistance with posting workers abroad or filing applications for A1 certificates, our team is ready to support you.