Poland sees strong wage growth

19 Jun 2019

moneyPoland has registered strong wage growth in the month of May, with the business sector wages increasing from 7.1% to 7.7% YoY.

This figure surpassed the market consensus and the forecast of 7.2%.

As ING Group reports, the only sector that suffered was the construction sector, as a result of negative statistical effects.

The June reading is forecast to register less optimistic results due to a high statistical base, but July is expected to pick up again with a similar reading to the current one.

Additionally, the Polish central bank has indicated that more record-high business wage hikes are bound to be reported in the near future.

On a less positive note, corporate employment numbers did not exceed what was forecast, with dynamics dropping from 2.9% to 2.7% and market forecasts recording stable results – but labour shortage is mainly to blame, rather than sentiment deterioration.

Meanwhile, 50% of Polish companies report that they are not fully satisfied with recruitment, although this percentage remains stable when compared with neighbouring countries.