The furniture industry, long regarded as a flagship sector of the Polish economy, is sinking into crisis. According to the portal money.pl, as many as 20,000 jobs have disappeared in the sector over the past two years. In the near future, another plant, Steinpol in Wołów, is set to close.
Just a few years ago, the furniture industry accounted for approximately 2% of Poland’s GDP and was one of the country’s largest industries in terms of employment. It is now, however, struggling with a downturn.
Michał Strzelecki, Director of the National Chamber of Commerce of Furniture Manufacturers, told money.pl that “over the past two years, as many as 20,000 jobs have been cut in the sector.”
Currently, the industry employs around 140,000 people, and including micro-enterprises and sole proprietors, about 180,000. At its peak, around the time of COVID-19, employment reached approximately 210,000, Strzelecki noted.
Is There No Appetite for Furniture?
He emphasized that the situation has been difficult for some time and that in Europe, there is currently little demand for goods such as furniture.
According to a PKO BP report, Germany was the main recipient of Polish furniture exports, accounting for about one-third of the sector’s export value, estimated at €16.3 billion in 2024. Other major markets include European countries such as the Czech Republic, France, the United Kingdom, and Sweden.
“In 2024, Poland was the world’s third-largest furniture exporter, with a 5.7% share, and the ninth-largest importer, with a 2% share,”
the PKO BP report states.
Further Layoffs
A few days ago, BIG Info Monitor released a report on the financial condition of Poland’s woodworking and furniture sector.
Over the past year, overdue liabilities of furniture manufacturers increased by PLN 45 million, reaching a total of PLN 381 million.
“Interestingly, at the same time, the number of unreliable payers fell by 224 companies, to 2,674 entities. This may indicate restructuring processes within the sector; some companies have ceased operations, been acquired, or improved their financial standing and thus disappeared from debtor registers,”
the report notes.
However, money.pl reports another furniture plant closure in Poland. This time it concerns Steinpol in Wołów (Lower Silesian Voivodeship). By the end of April, the upholstered furniture manufacturer is expected to lay off more than 100 employees “for economic reasons.”