Cost of Temporary Labor - What Makes Up the Agency's Rate?

Many companies ask the same question before starting cooperation with a staffing agency: how much does it cost, and what exactly am I paying for? The cost of temporary labor is not just the employee's wage. The agency's rate is made up of several components, and understanding them lets you compare offers, negotiate terms, and plan your budget without surprises.

What makes up a staffing agency's rate?

A temporary staffing agency's price list covers three layers. The first is the cost of the temporary worker: gross wages plus the employer's ZUS (social security) contributions (about 20.5%), the accident insurance contribution, FGSP and FP. The second layer is additional costs: paid annual leave (2 days for each month worked), sick pay (the first 33 days), medical examinations, occupational health and safety (BHP) training, work clothing, and often accommodation and transport for foreign workers as well. The third layer is the staffing agency's margin, which covers recruitment, HR and payroll administration, legalization of foreign workers, on-site coordination, and the agency's operating costs.

Margin vs. markup - an important distinction

These terms are often used interchangeably, but they mean different things. Markup is the amount or percentage added to the total cost of wages. Margin is the difference between the rate invoiced to the client and the full cost of the employee, expressed as a percentage of the final rate. Example: if the cost of an employee is PLN 5,000 and the client pays PLN 5,500, the markup is 10%, but the margin is already about 9%. With 100 employees, this difference in understanding becomes significant. When negotiating with an agency, it's always worth making sure you're talking about the same metric.

What is the staffing agency margin in 2026?

The standard agency margin in Poland ranges between 15% and 30% of total employment costs. For production and warehouse positions, the percentage margin is most often 6-10% per hour worked, which translates to about PLN 250-600 per month per employee. The agency's real net profit, after deducting operating, office, and marketing costs, is usually 3-7% of the contract value. The agency does not deduct its margin from the employee's wages. A temporary worker must receive a rate no lower than that of a permanent employee in the same position at the host employer.

Settlement models

The most common settlement models are: a rate per hour worked (good cost predictability, but absence-related risks need to be clearly separated in the contract), a rate that includes leave and sick pay (L4) (a higher hourly rate, but zero additional charges for absences), and a monthly flat-rate (ryczałt) settlement. The margin is also affected by whether the agency takes on the legalization of foreign workers (fees for declarations rose in 2025 from PLN 100 to PLN 400), transport, accommodation, and an on-site coordinator. The broader the scope of services, the higher the rate - but also the lower the burden on internal HR.

FAQ - frequently asked questions

1. Does the agency take a cut of the employee's salary?

No. The margin is added to the cost on the client's side. The employee receives the full gross wage stipulated in the contract.

2. What is included in the agency's margin?

Recruitment, HR and payroll administration, contributions, legalization of foreign workers, an on-site coordinator, medical examinations, BHP (occupational health and safety), and the agency's administrative costs.

3. How should you compare agency offers?

Compare the full hourly rate (not just the margin), the scope of services included in the price, and whether leave and sick pay are included in the rate or billed separately.

4. Is it worth including sick pay (L4) and leave in the rate?

Yes, if you want full predictability. The rate is higher, but you won't receive extra invoices for absences. This is a safer model for large teams.

Want to know the exact cost calculation for your positions? Gremi Personal will prepare a detailed quote tailored to your company's volume and specifics.