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    Immigrants Won’t Solve Poland’s Labor Market Issues

    In an insightful discussion with Maciej Pawlak for filarybiznesu.pl, Piotr Soroczyński, Chief Economist at the National Chamber of Commerce, shared his perspectives on the complex challenges facing Poland’s labor market. Amidst a backdrop of declining domestic production and a fluctuating economy, Soroczyński delved into the nuances of integrating immigrants into the workforce and addressing Poland’s declining birth rates.

    Recent statistics from the Central Statistical Office (GUS) reveal a significant 5.6% drop in the value of sold industrial products compared to the previous year, with notable decreases in sectors such as Chemicals and Chemical Products. Conversely, there has been a rebound in the Mining sector, particularly in Coal. Soroczyński pointed out the importance of nominal versus real value assessments, especially in a year marked by pricing normalization post-Ukraine conflict escalation and a strengthening Polish złoty.

    On immigration, the role of foreign workers in Poland has become more prominent, with their participation increasing to 6.5% of the workforce as of January this year. Despite a migration of some workers to Western countries, a substantial number of Ukrainian and Belarusian immigrants continue to contribute to various sectors. Soroczyński emphasized the need for a balanced and wise immigration policy that encourages assimilation and community integration rather than merely serving as a temporary labor solution.

    Furthermore, addressing the demographic decline, Soroczyński argues that the government should focus on improving natural growth rates and encouraging the economically inactive population to engage in the workforce. He advocates for the removal of policy barriers that prevent people receiving care benefits from entering the job market, suggesting that these reforms are overdue and could benefit the economy by expanding the labor force.

    The discussion also touched on the increasing trends in travel and leisure expenditures among Poles, indicating a shift towards higher living standards and a post-pandemic return to normalcy. This trend underscores the evolving priorities of the population, increasingly inclined towards travel and cultural engagement.

    As Poland navigates these multifaceted economic and demographic challenges, the insights provided by Soroczyński highlight the critical need for strategic policies that address both immediate labor market needs and longer-term demographic sustainability.

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