This is one of those things that starts off (often) as a good idea but gradually gets more complex and convoluted and sometimes ends in tears.

He is likely to be covered by Polish employment law (are you aware of your obligations?) as the work will be carried out in Poland. Different territories have different tax regimes and whilst you "could" leave him on the UK payroll and hope for the best (leaving him to repatriate his money each month) its probably not to be recommended.

Also consider what happens if/when you want to end this arrangement - do your homework upfront .

Issues also arise like changes in exchange rates (especially now we are euro exiting).

Also do you pay him the going rate in Uk or the going rate in Poland (which might be very different?)

Also consider if / how often you might need him back in Uk (team meetings, training etc) and who will pay for this?

With a fair wind and some good luck it might be worth it but often not....

In reply to Keith:

Thanks for your reply Keith. I agree it's one of those things that seems like it might work initially, but as you said it can get very complex, which is why I want to ensure it's well thought out first.

In reply to Michelle Bainbridge:

I wondered whether you meant Poland, or Holland.

Which country is "Polland" though?

In reply to David Perry:

I've edited references to "Polland".

In reply to Michelle Bainbridge:

Some simple questions
Do you know how to operate Polish PAYE, including social security, compulsory statutoty Polish medical insurance?
Do you know how to make employer and employee monthly payments to local tax and social security offices in Poland?
Are you equiped for annual employer's declarations to the Polish authorities (in zlotys of course)?
Are you equiped to ensure that your employment conditions compliant with Polish labour law?
If the answers are predominantly "no", then are you willing to pay say £10k+ per year for specialist payroll bureau and employment law services in Poland?
Are your current life insurance and pension arrangements applicable to Poland and covered by your policies with current supliers?

Finally, ave you considered findind a Polish body shop to take him on as their employer and their risk?

In reply to Ray:

Apologies for typos in previous post - must of had a bad evening yesterday :-)