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The unemployment is decreasing and remunerations are increasing. The labour market after three years of the Law and Justice government

06.12.2018

The accelerated economy results in the record low level of unemployment. It translates into a better situation of Polish families; not only more persons have jobs, but also remunerations are growing. Predominantly, the situation of persons earning the least is improving.

Pracownicy

- The condition of the labour market has never been so good. The unemployment rate has maintained at a record low level, the best it has been for 28 years. With this respect we are one of the European Union leaders – says the Minister of Family, Labour and Social Policy, Elżbieta Rafalska, summarising the situation in the labour market after three years of the Law and Justice government.

Unemployment down

The Statistics Poland data implies that at the end of October 2018 the registered unemployment rate amounted to 5.7 percent and was by 0.9 percentage points lower than a year before. In comparison, at the end of October 2015 the unemployment rate amounted to 9.6 percent, that is, it was by 3.9 percentage points higher. A lower registered unemployment rate was last time noted in 1990. It was 5.5 percent.

We have been observing a decreasing trend in the unemployment level for several years. However, even at the end of 2015 over 1.5 million persons were registered in employment offices. Today (at the end of October 2018) 937.4 thousand of the unemployed are registered in employment offices.

In the third quarter of 2018 the number of the employed reached a record high level, i.e. over 16.6 million persons (16,617 thousand persons). It is an increase in comparison with the analogous period in 2015 by 383 thousand persons, i.e. 2.4 percent.

Remunerations up

Not only more persons have jobs, but also remunerations are growing. According to the Statistics Poland data an average monthly remuneration in October 2018 amounted to 4,921.39 zloty and was higher by 7.6 percent than a year ago. In comparison, in October 2015 an average remuneration amounted to 4,110.77 zloty.

Predominantly, the situation of persons earning the least is improving. In compliance with the announcement made in the expose given by the Prime Minister, Mateusz Morawiecki, the minimum wage is growing and in the next year it will amount to 2,250 zloty. This is 150 zloty more than the minimum wage in this year and by 500 zloty more than it was in 2015, when the minimum wage was stipulated at the level of 1,750 zloty gross.

Along with the minimum wage the minimum hourly rate is growing, and in the next year it will amount to 14.7 zloty. Currently, it is 13.7 zloty. The minimum hourly rate binding as of 2017 for work on the grounds of specified civil law agreements is one of the reforms conducted by the Law and Justice government, which is aimed at improving the situation of persons earning the least.

- This regulation was introduced in order to limit the phenomenon of abusing civil law agreements and protect persons earning the least – reminds the Vice Minister of Family, Labour and Social Policy, Stanisław Szwed.

Furthermore, the Ministry abolished provisions discriminating employees due to the seniority. As of 2017 all employees, irrespectively of seniority, receive minimum wage at the same amount. Moreover, the Ministry also stipulated provisions which eliminate the problem of the so-called first working day syndrome.

As of 1 September 2016 the Employer has been obliged to confirm in writing the terms and conditions of an employment agreement previously concluded with the employee in a form other than in writing, before allowing the employee to work. The regulation more effectively counteracts employing employees illegally, that is, without a written confirmation of the terms and conditions of work performed by them.

 “A social agreement, which has been executed”

Whereas, returning the retirement pension age binding before the reform conducted by the PO and PSL government constituted fulfilment of election promises.

The act stipulates the minimal age when one can exercise the right to retirement pension: 60 years of age for women and 65 years of age for men. The aim of the reform is to, above all, enable each insured person to take the decision on the time of ending their professional activity independently.

- The minimal, flexible retirement pension age does not force to cease the professional activity, as some are trying to say. Furthermore, the worst case scenarios of the reform’s adversaries on its detrimental impact on the labour market did not happen - says the Minister of Family, Labour and Social Policy, Elżbieta Rafalska and she underlines that returning the retirement pension age was “a social agreement, which was executed”.

Information on the publication of the document
Last updated on:
23.05.2019 10:58 Biuro Promocji
First published on:
23.05.2019 10:58 Biuro Promocji
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