Unemployment in Poland

Last updated

Unemployment in Poland is one of the lowest in European Union ( Poland's seasonally adjusted unemployment stayed flat month on month at 2.9 percent in July) . Poland's unemployment rate remains impressively low, reflecting a robust labor market and steady economic growth. This trend is driven by a combination of strong industrial output, foreign investment, and a dynamic services sector. The country's focus on education and skill development has also helped align the workforce with market demands, reducing joblessness. Additionally, Poland's integration into the European Union has facilitated labor mobility and economic opportunities, further supporting low unemployment rates. As a result, Poland continues to enjoy one of the lowest unemployment rates in Europe, contributing to its economic stability and social well-being.

Contents

Unemployment rates in the European Union (July 2018) EU Unemployment.svg
Unemployment rates in the European Union (July 2018)

Unemployment in Poland appeared in the 19th century during industrialization, and was particularly severe during the Great Depression. Under communist rule Poland officially had close to full employment, although hidden unemployment existed. After Poland's transition to a market economy the unemployment rate sharply increased, peaking at above 16% in 1993, then dropped afterwards, but remained well above pre-1993 levels. [1] Another period of high unemployment occurred in the early 2000s when the rate reached 20%. [2] As Poland entered the European Union (EU) and its job market in 2004, the high unemployment set off a wave of emigration, and as a result domestic unemployment started a downward trend [3] that continued until the onset of the 2008 Great Recession. Recent years have seen an increase in the unemployment rate from below 8% to above 10% (Eurostat) or from below 10% to 13% (GUS). The rate began dropping again in late 2013. [4] Polish government (GUS) reported 9.6% registered unemployment in November 2015, [1] while European Union's Eurostat gave 7.2%. [5] According to Eurostat data, since 2008, unemployment in Poland has been constantly below the EU average. [5] Significant regional differences in the unemployment rate exist across Poland.

Definition and measurement

Unemployment rates in Poland and EU28 and EU18 (Eurostat) Unemployment in Poland and Europe.png
Unemployment rates in Poland and EU28 and EU18 (Eurostat)

Unemployment rates are reported by the Polish Central Statistical Office, and the European Union's Eurostat office. [6] The difference in the reported statistics is due to adjustments that Eurostat makes to make the unemployment rate comparable across countries in Europe. [7]

The unemployment rate as reported by GUS is defined as percent of those without work out of the economically active population. [8] To be counted as unemployed a person has to fulfill four criteria: 1) be between 17 and 74 years of age, 2) be out of work, 3) have actively sought unemployment in the past four weeks, and 4) were ready to take employment within a short period if offered. Additionally, the rate counts as unemployed those who have been hired for a job but have not yet started active work. [9]

Eurostat uses the same harmonized definition of unemployment for all countries in the EU, based on the definition of the International Labour Organization. [10] This definition is similar to the one used by GUS but considers people between 15 and 74, rather than 17 and 74, years of age, and counts the unemployed as a percentage of the labor force. [11]

History

Unemployment rate in Poland from January 2003 to January 2019 (GUS) Unemployment rate in Poland.png
Unemployment rate in Poland from January 2003 to January 2019 (GUS)

Unemployment originated in Poland in the late 19th century, and appeared as a result of industrialization. [12] In Russian-ruled Congress Poland, the 1904 onset of war with Japan caused a depression that deepened with the following year's revolution. Meanwhile, efforts by the government to shift industry to Russia proper led to long-term industrial recession. Massive unemployment of factory workers ensued, in turn prompting both urban and rural Poles to emigrate. [13] In the Second Polish Republic (1918–1939), unemployment was among the worst problems of the economy, particularly during the Great Depression (1929–1934). [12] The number of registered unemployed jumped from 185,000 in 1928 to 466,000 in 1936; in 1932, there were 240,000 unemployed industrial workers, or one-third of the total in that field. [14] Not only industrial workers but also members of the intelligentsia were affected. [15] Official statistics for the period only account for non-farm wage and salary earners who registered as unemployed with a labor exchange. Thus, government data account for just part of the actual number of jobless. One scholar calculated a non-farm wage-earner unemployment rate of 13% for 1929 and 25% for 1931, estimating a "substantially higher" figure for 1938, given natural increase in the urban population and migration from rural areas. [16]

The Polish People's Republic (1945-1989) was officially characterized by nearly full employment, not accounting for unofficial hidden unemployment. Following Poland's transformation from a communist to capitalist economy after the Revolutions of 1989, unemployment sharply increased from the officially reported 0% [17] [18] to 6.5% in 1990, peaking at 16.4% at 1993, and then decreasing to about 10.3% in 1997. [19] The unemployment rate then begun rising again [19] until 2002, reaching a zenith of almost 20% around that time. [2] As Poland entered European Union in 2004 and its job market, mass emigration due to unemployment took place lowering the figure. [3] It has dropped to 8.9% in September 2008, but then started rising again, reaching about 13% in the years 2012–2014. [2] The unemployment raise in the late 2000s and early 2010s has been attributed to the global recession in that period. [20] [21]

As of February 2019, Poland's unemployment rate has been reported as 6,1% (GUS) [22] and 3,4% (European Central Bank, Eurostat), [23] and has been steadily decreasing over the years from the previous high of c. 20% in the early 2000s. Mainly from 2015 onwards, the improved economy and drastic drop in joblessness statewide, causes a serious problem of a labour shortage. The labor force shortage has become a permanent problem in Poland, and it's increasingly weighing on the future performance of the Polish economy. [24] Due to significant worker shortages, in cooperation with a private companies, the Polish government allows for convicted prisoners to be employed. [25] Since 2015, around two million Ukrainians were granted Polish work permits. [26] [27]

Regional distribution

Unemployment rate in major Polish cities and metropolitan areas for 2016 Stopa bezrobocia w polskich miastach na prawach powiatu - 2016.svg
Unemployment rate in major Polish cities and metropolitan areas for 2016

One of the characteristics of Poland's unemployment is difference between regions, with the eastern regions being seen as usually worse affected. [2] [28] However, data do not show a clear correlation with the Poland A and B ("rich west" vs "poor east") division. [29] [30] In May 2019, the highest unemployment rates were reported by the northeast Warmian-Masurian Voivodeship (9.2%), northcentral Kuyavian-Pomeranian Voivodeship (8.1%) and southeast Podkarpackie Voivodeship (8.1%). Lowest unemployment rate was reported by the central-west Greater Poland Voivodeship (2.9%), the southern Silesian Voivodeship (4.0%) and Lesser Poland Voivodeship (4.4%). The 2019 statistics show the lowest recorded statewide, regional unemployment since 1990. [31]

Reasons and consequences

Unemployment benefits

To get unemployment benefits in Poland, one has to register with the appropriate government office and demonstrate "the lack of the possibility to be employed or to be professionally activated within the field of activities proposed by the said office, have worked for a total of at least 365 days in the period of 18 months before registering with the said government office." [2] In March 2014 it was reported that 13.6% of the registered unemployed were eligible for the unemployment benefits.

Related Research Articles

<span class="mw-page-title-main">Economy of Estonia</span>

The economy of Estonia is rated advanced by the World Bank, i.e. with high quality of life and advanced infrastructure relative to less industrialized nations. Estonia is a member of the European Union, eurozone and OECD The economy is heavily influenced by developments in the Finnish and Swedish economies.

<span class="mw-page-title-main">Economy of Malta</span>

The economy of Malta is a highly industrialised service-based economy. It is classified as an advanced economy by the International Monetary Fund and is considered a high-income country by the World Bank and an innovation-driven economy by the World Economic Forum. It is a member of the European Union and of the eurozone, having formally adopted the euro on 1 January 2008.

<span class="mw-page-title-main">Economy of Poland</span>

The economy of Poland is a high-income, industrialized, mixed economy that serves as the sixth-largest in the European Union by nominal GDP and fifth-largest by GDP (PPP). Poland boasts the extensive public services characteristic of most developed economies and is one of few countries in Europe to provide no tuition fees for undergraduate and postgraduate education and with universal public healthcare that is free at a point of use. Since 1988, Poland has pursued a policy of economic liberalisation but retained an advanced public welfare system. It ranks 20th worldwide in terms of GDP (PPP), 21st in terms of GDP (nominal), and 21st in the 2023 Economic Complexity Index. Among OECD nations, Poland has a highly efficient and strong social security system; social expenditure stood at roughly 22.7% of GDP.

<span class="mw-page-title-main">Economy of Slovakia</span>

The economy of Slovakia is based upon Slovakia becoming an EU member state in 2004, and adopting the euro at the beginning of 2009. Its capital, Bratislava, is the largest financial centre in Slovakia. As of Q1 2018, the unemployment rate was 5.72%.

<span class="mw-page-title-main">Economy of Spain</span>

The economy of Spain is a highly developed social market economy. It is the world's 15th largest by nominal GDP and the sixth-largest in Europe. Spain is a member of the European Union and the eurozone, as well as the Organization for Economic Co-operation and Development and the World Trade Organization. In 2023, Spain was the 18th-largest exporter in the world. Meanwhile, in 2022, Spain was the 15th-largest importer in the world. Spain is listed 27th in the United Nations Human Development Index and 36th in GDP per capita by the World Bank. Some main areas of economic activity are the automotive industry, medical technology, chemicals, shipbuilding, tourism and the textile industry. Among OECD members, Spain has a highly efficient and strong social security system, which comprises roughly 23% of GDP.

<span class="mw-page-title-main">Unemployment</span> People without work and actively seeking work

Unemployment, according to the OECD, is people above a specified age not being in paid employment or self-employment but currently available for work during the reference period.

<span class="mw-page-title-main">Discouraged worker</span> Person of legal employment age who is not actively seeking employment

In economics, a discouraged worker is a person of legal employment age who is not actively seeking employment or who has not found employment after long-term unemployment, but who would prefer to be working. This is usually because an individual has given up looking, hence the term "discouraged".

<span class="mw-page-title-main">Economy of the European Union</span>

The economy of the European Union is the joint economy of the member states of the European Union (EU). It is the second largest economy in the world in nominal terms, after the United States, and the third largest at purchasing power parity (PPP), after China and the US. The European Union's GDP is estimated to be $19.35 trillion (nominal) in 2024 or $26.64 trillion (PPP), representing around one-sixth of the global economy. Germany has the biggest national GDP of all EU countries, followed by France and Italy. In 2022, the social welfare expenditure of the European Union (EU) as a whole was 19.5% of its GDP.

The Balcerowicz Plan, also termed "Shock Therapy", was a method for rapidly transitioning from an economy based on state ownership and central planning, to a capitalist market economy. A group of experts, which they formed together with Balcerowicz, including Stanisław Gomułka, Stefan Kawalec and Wojciech Misiąg, in September 1989 created a reform plan based on an earlier idea of Jeffrey Sachs, and on October 6, an outline of this plan was presented to the public by Balcerowicz at a press conference broadcast by TVP.

<span class="mw-page-title-main">Economy of Sweden</span>

The economy of Sweden is a highly developed export-oriented economy, aided by timber, hydropower, and iron ore. These constitute the resource base of an economy oriented toward foreign trade. The main industries include motor vehicles, telecommunications, pharmaceuticals, industrial machines, precision equipment, chemical goods, home goods and appliances, forestry, iron, and steel. Traditionally, Sweden relied on a modern agricultural economy that employed over half the domestic workforce. Today Sweden further develops engineering, mine, steel, and pulp industries, which are competitive internationally, as evidenced by companies such as Ericsson, ASEA/ABB, SKF, Alfa Laval, AGA, and Dyno Nobel.

<span class="mw-page-title-main">Unemployment in the United Kingdom</span> Overview of unemployment in the United Kingdom

Unemployment in the United Kingdom is measured by the Office for National Statistics. As of February 2024, the U.K. unemployment rate is 3.8%, down from 3.9% in January.

<span class="mw-page-title-main">Demographics of Poland</span>

The demographics of Poland constitute all demographic features of the population of Poland including population density, ethnicity, education level, the health of the populace, economic status, religious affiliations, and other aspects of the population.

<span class="mw-page-title-main">Youth unemployment</span> Situation of young people who are willing to work but unable to find a job

Youth unemployment is a special case of unemployment; youth, here, meaning those between the ages of 15 and 24.

<span class="mw-page-title-main">Poverty in Poland</span>

Poverty in Poland has been relatively stable in the past decades, affecting about 6.5% of the society. In the last decade there has been a lowering trend, as in general Polish society is becoming wealthier and the economy is enjoying one of the highest growth rates in Europe. There have been noticeable increases in poverty around the turns of the decades, offset by decreases in poverty in the years following those periods.

Statistics on unemployment in India had traditionally been collected, compiled and disseminated once every ten years by the Ministry of Labour and Employment (MLE), primarily from sample studies conducted by the National Sample Survey Office. Other than these 5-year sample studies, India had historically not collected monthly, quarterly or yearly nationwide employment and unemployment statistics on a routine basis. In 2016, the Centre for Monitoring Indian Economy, a non-governmental entity based in Mumbai, started sampling and publishing monthly unemployment in India statistics.

<span class="mw-page-title-main">Migrations from Poland since EU accession</span>

Since the fall of communism in 1989, the nature of migration to and from Poland has been in flux. After Poland's accession to the European Union and accession to the Schengen Area in particular, a significant number of Poles, estimated at over two million, have emigrated, primarily to the United Kingdom, Germany, France and Ireland. The majority of them, according to the Central Statistical Office of Poland, left in search of better work opportunities abroad while retaining permanent resident status in Poland itself.

Youth unemployment in Italy discusses the statistics, trends, causes and consequences of unemployment among young Italians. Italy displays one of the highest rates of youth unemployment among the 35 member countries of the Organization of Economic Co-Operation and Development (OECD). The Italian youth unemployment rate started raising dramatically since the 2008 financial crisis reaching its peak of 42.67% in 2014. In 2017, among the EU member states, the youth unemployment rate of Italy (35.1%) was exceeded by only Spain and Greece. The Italian youth unemployment rate was more than the double of the total EU average rate of 16.7% in 2017. While youth unemployment is extremely high compared to EU standards, the Italian total unemployment rate (11.1%) is closer to EU average (7.4%).

Unemployment in Hungary measured by the Hungarian Central Statistical Office shows the rate of unemployed individuals out of the labor force. The European Union's own statistical office, Eurostat also makes reports and predictions about the Hungarian job market and the unemployment rate in the country. The KSH's most recent unemployment data shows the unemployment rate for men 15–74 to be 3.3% and 4.1% for women.

Unemployment in Croatia relates to the causes and measures of Croatian unemployment. Job creation and unemployment are affected by factors such as economic conditions, high level of corruption in government, global competition, education, automation, and demographics. As of November 2020, there are 156,550 unemployed persons in Croatia. Of these, 24,905 have no work experience. 24.8% of population is at risk of poverty or social exclusion.

References

  1. 1 2 Unemployment rate 1990–2016 (en) Central Statistical Office of Poland (GUS) Retrieved 27 February 2016.
  2. 1 2 3 4 5 "Unemployment". Eures.praca.gov.pl. 1 May 2004. Retrieved 3 June 2014.
  3. 1 2 http://rynekpracy.pl/artykul.php/wpis.782 Dekada członkostwa Polski w UE – korzyści czy straty dla polskiego rynku pracy? Maria Jodłowska Sedlak & Sedlak
  4. ↑ OECD. "OECD".
  5. 1 2 "Eurostat – Tables, Graphs and Maps Interface (TGM) table". Epp.eurostat.ec.europa.eu. 28 May 2014. Retrieved 19 January 2016.
  6. ↑ For methodology of Eurostat, see "Une_esms". Archived from the original on 26 November 2009. Retrieved 5 November 2009.. For GUS, see .
  7. ↑ "Unemployment – LFS adjusted series (une)". Eurostat metadata. Eurostat. Archived from the original on 26 November 2009. Retrieved 5 June 2014.
  8. ↑ "GUS – Główny Urząd Statystyczny – Definicje pojęć" (in Polish). Old.stat.gov.pl. Retrieved 9 June 2014.
  9. ↑ "GUS – Główny Urząd Statystyczny – Definicje pojęć" (in Polish). Old.stat.gov.pl. Retrieved 9 June 2014.
  10. ↑ Europe in figures — Eurostat yearbook 2010, PDF file.
  11. ↑ "Taux De Chomage Desaisonnalises" (PDF). Retrieved 9 June 2014.
  12. 1 2 Piotr Wróbel (27 January 2014). Historical Dictionary of Poland, 1945–1996. Routledge. p. 2014. ISBN   978-1-13592-701-1.
  13. ↑ John J. Bukowczyk (1987). A History of the Polish Americans. Transaction Publishers. pp. 10–11. ISBN   978-1-41282-544-3.
  14. ↑ Gavin Rae (28 November 2007). Poland's Return to Capitalism. I.B.Tauris. p. 38. ISBN   978-0-85771-573-9.
  15. ↑ R. F. Leslie (19 May 1983). The History of Poland Since 1863. Cambridge University Press. pp. 171–72. ISBN   978-0-52127-501-9.
  16. ↑ Joseph Marcus (18 October 2011). Social and Political History of the Jews in Poland 1919–1939. Walter de Gruyter. p. 23. ISBN   978-3-11083-868-8.
  17. ↑ Frank H. Columbus (1998). Central and Eastern Europe in Transition. Nova Publishers. p. 76. ISBN   978-1-56072-597-8.
  18. ↑ Edward Lazear (1995). Economic Transition in Eastern Europe and Russia: Realities of Reform. Hoover Press. p. 401. ISBN   978-0-8179-9333-7.
  19. 1 2 Miroslawa Czerny (1 January 2006). Poland in the Geographical Centre of Europe: Political, Social and Economic Consequences. Nova Publishers. p. 18. ISBN   978-1-59454-603-7.
  20. ↑ Gavin Rae. "The Debt Crisis in Poland and its impact on society. Study". Rosa Luxemburg Foundation. Retrieved 6 February 2014.
  21. ↑ "Young, Under-employed, and Poor in Poland". Worldbank.org. 10 February 2014. Retrieved 3 June 2014.
  22. ↑ "Archived copy". Archived from the original on 16 April 2019. Retrieved 16 April 2019.{{cite web}}: CS1 maint: archived copy as title (link)
  23. ↑ "ECB Statistical Data Warehouse - Error".
  24. ↑ "Incredible Shrinking Workforce Adds to Poland's Labor Pinch". Bloomberg.com. 26 August 2018.
  25. ↑ Shotter, James (27 June 2019). "Polish convicts are signed up as worker shortages start to bite". Financial Times.
  26. ↑ "Labour market shortages take their toll on Central Eastern European economies". 28 June 2019.
  27. ↑ "Poland's two-faced immigration strategy – POLITICO". 6 June 2019.
  28. ↑ "Warsaw Business Journal – Online Portal". wbj.pl. 13 February 2012. Retrieved 3 June 2014.
  29. ↑ "Zasypanie przepaści między Polską A i B zajmie dekady". Money.pl. Retrieved 3 June 2014.
  30. ↑ "Polska A i B nie przekłada się na polski rynek pracy". Rynekpracy.org. Retrieved 3 June 2014.
  31. ↑ "Ostatnio tak niskie bezrobocie było w Polsce we wrześniu 1990 r. Najnowsze dane".
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.