Labour Market News Roundup for May

labour-market-news-roundup-for-may

Poland's 20th Anniversary of EU Membership

On 1 May 2024, Poland celebrated the 20th anniversary of its membership in the European Union. Joining the EU had a profound impact on the Polish labour market, opening borders and enabling the free movement of workers. Over two decades of membership, Poland experienced dynamic economic growth that contributed to rising employment and improved working standards. The anniversary celebrations became an occasion to reflect on achievements to date as well as the challenges that still face the Polish labour market. Read more in our article:

https://gremi-personal.com/swobodny-przeplyw-osob-w-unii-europejskiej-zmienil-rynek-pracy-w-polsce-bilans-20-lecia-czlonkostwa-w-ue/

Ukraine's Mobilisation Law and Its Impact on the Polish Labour Market

May also brought significant changes to the labour market in an international context. Due to the armed conflict, Ukraine enacted a mobilisation law that lowered the age for military conscription. In Poland, where Ukrainian citizens make up a significant portion of the workforce, this law has caused considerable disruption. Many employers who hire Ukrainian nationals are concerned about the implications of this legislation. We recommend reading the article in which Yuriy Grygorenko, chief analyst at Gremi Personal, shares his views.

https://i.pl/18-maja-2024-roku-w-zycie-wejdzie-ukrainska-ustawa-o-mobilizacji-przelozeni-zatrudniajacy-obywateli-ukrainy-wyrazaja/ar/c3-18537205

Modern Distribution Congress

May also saw the Modern Distribution Congress — one of the most important events in Poland's logistics sector. The Congress brought together experts, business leaders, and decision-makers to discuss the latest trends and innovations in logistics and distribution. Key topics included digitalisation of processes, warehouse automation, employment trends, and sustainable development. Gremi Personal was represented at the event, including our Vice President Karolina Szleszyńska, who participated as a speaker.

https://wiadomoscispozywcze.pl/artykuly/13639/przyszosc-handlu-i-ekologii-relacja-z-6-kongresu-nowoczesnej-dystrybucji/

Rising Employee Turnover in Poland

Another notable phenomenon we have been observing recently is rising employee turnover in the Polish labour market. A report published by the Polish Economic Institute titled "Employee Turnover in Poland" sparked widespread debate on the subject. More and more companies are reporting difficulties retaining permanent staff, driven in part by growing employee expectations around salaries, working conditions, and career development opportunities. The increase in turnover is particularly pronounced in the food industry. For more details, we invite you to read the article in which our expert Yuriy Grygorenko shares his insights.

https://www.dlahandlu.pl/detal-hurt/trendy-konsumenckie/zmieniaja-prace-co-pol-roku-a-w-niektorych-branzach-nawet-czesciej,146914.html

Amendment to the Law on Assistance to Ukrainian Citizens

On 22 May, the Senate approved without amendments a revision to the regulations on assistance to Ukrainians in Poland. The bill has already been sent to the President for signature. Among the most significant provisions set to take effect are:

  • extension of the legal right of residence until 30 September 2025
  • the deadline to apply for a PESEL UKR changes from 30 days to "immediately upon arrival"
  • PESEL UKR will be issued exclusively on the basis of a valid travel document
  • the deadline for submitting notification of employment of a Ukrainian citizen has been shortened from 14 to 7 days
  • clarification of the requirement to submit a new employment notification for a Ukrainian citizen when the employer is obliged to make a new social insurance registration for that person

For more details on the proposed changes, please see the article: https://www.prawo.pl/samorzad/zmiana-ustawy-pomocowej-dla-obywateli-ukrainy,526281.html

Draft New Regulations on Employing Foreign Nationals

Further changes to the regulations on employing foreign nationals in Poland are on the way. The upcoming changes include:

  • digitalisation of the employment and work permit issuance process via the praca.gov.pl portal
  • amendments to definitions and regulations relating to the EU Blue Card, aimed at making this temporary residence permit more attractive
  • abolition of the so-called labour market test, which prolonged the work permit application process
  • measures to combat exploitation — refusal to grant a work permit if the employer fails to pay social insurance contributions or advance income tax payments

For more information, please refer to the article on the Polish Agency for Enterprise Development website: https://www.parp.gov.pl/component/content/article/86417:nowe-przepisy-o-zatrudnianiu-cudzoziemcow-jakie-zmiany-nastapia-niebawem

In summary, May 2024 was a month full of important events and changes that significantly shaped the Polish labour market. From the anniversary of EU accession, through international challenges posed by Ukraine's mobilisation law, to key industry events and dynamic shifts in employee turnover — all these factors are shaping the current and future employment landscape in Poland.

FAQ - frequently asked questions

The amendment extended the legal right of residence until 30 September 2025 and shortened the deadline for notifying the employment of a Ukrainian citizen from 14 to 7 days. It also clarified when a new employment notification is required: when the employer must make a new social insurance registration for that person.

The deadline to apply for a PESEL UKR changed from 30 days to "immediately upon arrival". Under the amended regulations, PESEL UKR is issued exclusively on the basis of a valid travel document.

The draft changes include digitalising the employment and work permit process via the praca.gov.pl portal and amending EU Blue Card regulations to make it more attractive. They also abolish the labour market test, which prolonged work permit applications, and add measures against exploitation.

Under the draft regulations on employing foreign nationals, a work permit would be refused if the employer fails to pay social insurance contributions or advance income tax payments. These measures are intended to combat the exploitation of foreign workers.

A report by the Polish Economic Institute titled "Employee Turnover in Poland" prompted wide debate on rising turnover. Companies report difficulties retaining permanent staff, driven in part by growing employee expectations around salaries, working conditions and career development, with the increase particularly pronounced in the food industry.

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