Nothing makes a dental clinic look worse than personnel with visible dental defects. Such is the situation of our state which plans to introduce a 12 PLN minimum wage and impose social insurance contributions on contracts of order, while at the same time thinking how to avoid having to comply with those regulations in practice – President of Employers of Poland Andrzej Malinowski writes in “Rzeczpospolita”.
In his opinion, contrary to populist rhetoric, the problem does not concern chiefly private entrepreneurs, but the contact between entrepreneurs and public administration.
– Now, a company wins a tender to provide security in a publically-owned building. Why does it win? Simply through demanding the lowest price. Because tenders favour cheap offers as 10 percent of the assessment comprises eg. experience and 90 percent – draconian cost-cutting. In security, the main cost is the security guard. What gets cut, then? There are also cases the aforementioned rate is 5 to 95 percent? – remarks Malinowski.
– An hour of a security guards work at the Regional Prosecutor’s Office in Wrocław costs 6.19 PLN. At the Municipal Office in Łódź, it costs ca. 5.5. PLN. The marge of the security agency should be substracted from these sums, as should the social security contributions, of which the legislator is surely well aware! We are left with ca. 4-5 PLN per hour. What now? Will the situation be changed by imposing a minimum wage of 12 PLN per hour? No – he assesses.
The President of Employers of Poland also asks about companies who signed contracts on current conditions if these are altered. – Even if they signed them after the end of the unfortunate price criterion, let us not deceive ourselves: it is still in place, although informally. What then? What should a company do upon learning that it has to pay twice as much as it expected when it won a tender? There is no answer – Malinowski points out.
He argues that as a result, civil contracts will be signed instead of contracts of employment and the grey market will grow too. He also expresses doubt whether the budgets of public administration institutions include the costs of increasing the minimum wage to 12 PLN.
– When changing the world, one should start with himself, or rather – in this case – the contracts one offers, preferably before one starts forcing others to adopt imposed solutions – Malinowski concludes.