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Minimum wage 2024. Prime Minister boasts, companies will pay. Comments

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A minimum wage that increases by 20 percent a year becomes a nightmare. For this small entrepreneur or micro-entrepreneur, there is a way out: either close your small business or cheat – said Zbigniew Canowiecki, president of the board of “Pracodawce Pomorza” on TVN24. In turn, Cezary Kaźmierczak, president of the Union of Entrepreneurs and Employers, commented that “legal work will be a luxury”.

Marlena Maląg, head of the Ministry of Family and Social Policy, said during yesterday’s press conference that the Social Dialogue Council will be presented with a proposal to increase the minimum wage from January 1, 2024 to PLN 4,242 gross, and from July 1, 2024 – to PLN 4,300.

As for hourly rates, the government’s proposal assumes an increase from January 1, 2024 to PLN 27.70 and from July 1, 2024 – to PLN 28.10.

In accordance with the provisions of the Act on the minimum wage for work due to inflation minimum wages will double next year. – When inflation is above 5 percent, then the indexation of the minimum wage takes place twice a year, as it is this year, i.e. on January 1 and July 1 – explained Minister Maląg.

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A significant increase minimum wage Prime Minister boasted during Tuesday’s conference Mateusz Morawiecki. – For the sake of working people, for the sake of the middle class, we will do everything to ensure that Polish wages grow as quickly as possible – he said. However, as Łukasz Kozłowski from the Federation of Polish Entrepreneurs noted in Wednesday’s Rzeczpospolita, the minimum wage proposed by the government was calculated on the basis of statutory criteria. – It was impossible to propose a lower one – said the economist.

Unionists demanded a much greater increase in the national minimum wage. – We proposed a rate of PLN 4,420 on average per year – informed the director of the economic policy department of OPZZ, Norbert Kusiak, at the end of May. However, a significant increase in the minimum wage raises employers’ concerns, and it is the companies that will bear the costs of government decisions in this matter.

Read more: The minimum wage goes up sharply. Here is the government’s proposal

“The minimum wage that increases by 20 percent a year is becoming a nightmare”

Zbigniew Canowiecki, the head of Employers of Pomerania on TVN24, commented that “what is acceptable in large urban centers, for example in Warsaw, is very controversial when it comes to regions that are in a worse economic and development situation.”

– Over there, the minimum wage, which increases by 20 percent per year, becomes a nightmare. For this small entrepreneur or micro-entrepreneur, there is a way out: either close your small business or cheat – he said.

The economist Sławomir Kalinowski stated in social media that “PLN 0 – the government costs will increase due to the increase in the minimum wage, and PLN 773.48 – the employer’s monthly costs per employee (employed for the minimum wage) will increase”

Cezary Kaźmierczak, president of the Union of Entrepreneurs and Employers, commented on Twitter that “the weakest, least educated, least well-rounded employees in 25 percent of the economically weakest districts will pay for it. Legal work will be a luxury there.”

He added that a different situation applies to larger cities, because “everyone earns more there a long time ago.”

The position of Kamil Sobolewski, chief economist of the organization, was published on the profile of the Employer of Poland on Twitter.

According to him, “the minimum wage, if it is too high, can create a ‘golden cage’ for working people and a barrier for people wanting to enter the labor market, especially after a long break.”

Minimum wage in 2023

From January 1, 2023, the minimum remuneration for work is PLN 3,490 gross. However, the next increase will be in July – the lowest national rate will then increase to PLN 3,600. On the other hand minimum hourly rate from January 1 to PLN 22.80 per hour, and from July 1 it will amount to PLN 23.50 per hour.

Currently, about 3 million employees receive the national minimum wage.

Read also: Unemployment in Poland. The number of registered in employment offices is higher than a year ago

Main photo source: PAP/Radek Pietruszka



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