BIEC: labor market in Poland under influence of demographics
Poland’s labor market is under growing demographic pressure, according to the BIEC. In June, the Labour Market Index (WRP), which anticipates unemployment trends, rose by 0.6 points—part of a modest upward trend this year. Despite this, registered unemployment remains stable due to a shrinking labor force, driven by aging, lower retirement age, and structural changes. Employers respond with automation, wage hikes, and aggressive hiring.
Meanwhile, employment in industry and retail is declining, while sectors like IT, healthcare, and hospitality are growing. Nearly 40% of unemployed have been jobless for over a year, often lacking relevant skills. Rising labor costs and slower economic activity are hurting job creation and Poland’s appeal to foreign investors, leading some firms to relocate.
