– Employment growth of 0.8 percent year to year is good news and proves that the situation on the labour market – despite slower GDP growth dynamics in the second quarter – is still improving – Łukasz Kozłowski, expert of Employers of Poland comments the newest GUS figures.
In July, average employment in the entrepreneurship sector was at a level of 5 531 000 employees and was 0.8 percent higher than in an analogous period the year before. This index confirms the prognoses of most analysts and is slightly higher than last month (+0.7 percent year to year)
We should remember that this data only presents a section of Polish economy – it only applied to less than 1/3 of Polish employers. Preliminary estimations of the Ministry of Labour and Social Policy show that the registered unemployment rate in July was 11.9 percent. This means, that the annual dynamics of the unemployment rate decrease is not as fast as it was in the first months of this year.
The pace of wage growth, which was recorded at 3.5 percent year to year, was slightly disappointing as the average prognosis indicated 3.7-3.9. However, considering that we have been faced with low inflation for quite some time (last month, we even have experienced deflation) – real wages grow relatively quickly. As recently, as 2012 such a dynamic would mean an actual decrease in spending power for employees. Now, even though the nominal wage growth dynamics are not particularly impressive, actual spending power improves the quickest in the last few years.
Łukasz Kozłowski, expert of Employers of Poland