Minimum wage to rise in Poland

The Polish government is proposing that the national minimum wage should be increased by at least 5% next year. This is the figure being presented to the Tripartite Commission, which brings together the unions, the employers and the government.

Under the legislative framework for establishing the minimum wage in Poland, the commission now has until 15 July to agree on the increase. However, if agreement cannot be reached, the government sets the figure. It cannot, however, be lower than the amount it has presented to the commission.

Agreement in the commission looks unlikely as the unions are looking for a 7.5% increase, while some of the employers’ associations have argued that even the government’s figure will lead to an increase in unemployment in some regions.

A 5.0% increase would be 10 times the current rate of inflation in Poland, which was just 0.5% in May 2013. However, it would only bring the minimum wage to 1,680 zł (£335) a month. The Polish finance ministry estimates that, at this level, the minimum wage will be worth 44.8% of average monthly earnings in Poland in 2014.