The amount of 2,450 PLN proposed by the ministry is higher than the statutory minimum amount (2,345.60 PLN) and ensures the increase of this remuneration by 200 PLN in comparison to this year’s rate (2,250 PLN). This means an increase by 8.9%. Importantly, in relation to the average remuneration in national economy forecast in 2020, the minimum remuneration for work would be on the level of 46.9%.

In 2019, the minimum remuneration amounts to 2,250 PLN. In comparison to the year 2015, the minimum pay rose by 500 PLN.

‘The increase of minimum remuneration results in an increase of the hourly rate by 1 PLN 30 groszy. Thus, the hourly rate would increase from 14.70 PLN to 16 PLN in 2020,’ says Elżbieta Rafalska, Minister for Family, Labour and Social Policy.

According to the Act on minimum remuneration for work, the Council of Ministers is obliged to present to the Social Dialogue Council by 15 June each year the proposed amount of minimum remuneration for work for the next year and the proposed minimum hourly rate for the next year.

Upon presentation of the proposal of the Social Dialogue Council, social partners have 30 days for negotiations. If social partners reach agreement, the amount of minimum remuneration is stated in the announcement of the President of the Council of Ministers (Prime Minister). If social partners fail to agree upon a joint proposal, the Council issues an ordinance specifying the amount of minimum remuneration and the minimum hourly rate not later than by 15 September.

The proposed amount of minimum remuneration and the minimum hourly rate for the year 2020 that was submitted by the trade union party is 2,520 PLN (which means a 270 PLN increase and the hourly rate of 16.50 PLN).

We also know the joint proposal of the organisation of employees: the increase of minimum remuneration by 137.25 PLN, which means the amount of 2,387.25 PLN and the hourly rate of 15.60 PLN.