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03 March 2025

Poland's Minimum Wage Set For Major Reforms By 2025

New legislation aims to raise minimum wages significantly and improve worker compensation standards.

Poland is poised to undergo significant changes to its minimum wage structure beginning January 1, 2025, with the aim of improving the financial conditions of its lowest-paid workers. The government recently announced adjustments which will see the minimum wage increase to 4,666 PLN gross from the previous 4,300 PLN, highlighting the seriousness of addressing the rising living costs driven by inflation.

According to the government's projections, the minimum wage is set to rise steadily over the next few years, with estimates predicting it will reach 5,070 PLN by 2026 and 5,361 PLN by 2027, continuing to rise to 5,648 PLN by 2028. These changes aim to align Poland's wage policy with the European Union's directive on adequate minimum wages, mandatorily setting these wages at 55% of the projected average salary across the economy.

Currently, Poland's minimum wage stands at approximately 50.3% of the average salary, which is expected to grow to around 53.8% by 2025. The adjustments signify not only higher wages but also a strategic shift to improve workplace transparency by ensuring the base salary does not incorporate bonuses or extra allowances. Starting from 2026, the compulsory minimum wage will only reflect basic pay, marking the end of the practice where bonuses could be counted toward fulfilling minimum wage requirements.

The proposed reform arose from the need for Poland to comply with EU directives aimed at ensuring fair minimum wages across member states. The Ministry of Family, Labour, and Social Policy is actively promoting these changes as part of broader objectives aimed at increasing worker living standards and addressing wage inequality.

Healthcare professionals, particularly, are set to benefit significantly from these reformative measures. For example, from July 1, 2025, the minimum wage for specialists like doctors and dentists is forecasted to increase substantially. Under the revised regulations, this group's minimum pay will rise to 11,863.49 PLN gross, up from 10,375.45 PLN.

Other healthcare workers, including pharmacists, physiotherapists, and clinical psychologists, will see their minimum wages reach 10,554.42 PLN by the same date. The increases reflect both recognition of their contributions, particularly highlighted during the pandemic, and aim to retain talent within the country’s health sector.

Notably, the proposed minimum hourly wage will also see adjustments. From January 1, 2025, the minimum hourly rate for those on contracts will rise to 30.50 PLN gross, responding to the national heightened demand for fair compensation amid increasing inflation.

Concerns persist, particularly among small and medium enterprises, which might struggle to accommodate the increased wage pressures. Employers are urged to brace for the structural changes required, as the transition may incur additional operational costs. Many advocates for workers’ rights suggest these changes are necessary to improve overall job satisfaction and motivation within various sectors, particularly where workers face challenging labor conditions.

Despite the optimistic outlook for many workers, employer organizations have voiced their concerns about how the increased workforce costs may affect competitiveness and sustainability of their businesses. The head of one prominent employer federation remarked, "These changes, though principled, present real challenges to our bottom line and could necessitate difficult decisions around workforce management."
On the flip side, trade unions argue for ensuring fair wages are foundational to reducing worker poverty and social inequality, echoing sentiments from reports like the 'Poverty Watch 2024' by EAPN Poland, highlighting nearly half of Poland's citizens live below the social minimum threshold.

With inflation trends illustrating over 100% growth compared to five years prior and rising consumer prices on staple goods, these wage increases are viewed as a necessary countermeasure to improve workers' purchasing power.

Looking forward, the anticipated changes post-2025 signify more than just numerical adjustments but demonstrate Poland's commitment to aligning its labor standards with European norms. Such reforms could pave the way for improved economic resilience and enhanced quality of life among Polish workers. Industry leaders and workers alike recognize the need for preparation and strategic planning as Poland navigates this transformative phase of labor reform.

Consequently, as the legislative proposals work their way through parliamentary approval, both employers and employees are encouraged to stay informed and actively engaged with upcoming changes to wage policies, including their rights and obligations under the new system.