Government seems to bend over backwards for the big guys while tying up small business in red tape and fleecing them through taxes. How do you see it?
It's a difficult one.
For instance - taxes. For businesses, income taxes aren't really crippling - I can make all sorts of deductions, and my tax burden came out (after all the deductions, but including ZUS payments) at about 14% last year - that's really not bad. ZUS is a problem, what with the high rate kicking in after 2 years - but at the same time, if the Government lowered this - we'd have a generation of people who wouldn't put any money at all aside for their retirement. So - I wouldn't say I'm being fleeced at all.
Red tape? It's not as bad as it's made out to be. The biggest problem in Poland isn't the rules, but rather the inconsistent application of them - however - if you know the rules and the law, it's often not a problem.
as well as the high cost of employing staff on an umowa o pracy.
This is the real killer. When you look at the taxation involved - it's just absolutely prohibitive for any small business that needs flexibility to hire people under umowa o pracy. I'm looking at hiring three or four people at the minute - and it's scary how much is swallowed up in taxation if they have a proper contract.
At the same time - Poland allows the use of umowa o dzieło contracts - which are fantastic for the small employer.
All in all, it could be much worse, could be better - but on the whole, it's not bad.
The biggest problem, I think, is the labour law.