The Prosperity Index – reflecting the economic condition of Polish society – in October this year dropped by 0.1 points from the previous month’s value, the Biuro Inwestycji i Cykli Ekonomicznych (BIEC) reported. Since the beginning of the year, the index has lost more than 6 points, and has lost 7.5 points to its last local peak in June 2021.
The factor that contributes to the greatest extent to the deterioration of the economic situation of Poles is high and growing inflation, it was pointed out.
The situation on the labor market is relatively stable so far. This means that entrepreneurs are not reducing employment yet, but also not increasing it. Over the last month, the economy has lost nearly 9,000. It is true that the Central Statistical Office explains the reduction in the number of employees per month not renewing employment contracts with people who work part-time, but regardless of the translation, the decline in employment means a reduction in the demand for work on the part of employers, according to the report.
BIEC points out that the annual growth rate of average wages in the enterprise sector in real terms was negative for the fifth month in a row, which means a deepening decline in the purchasing power of employees and their families.
Taking into account small companies and the entire budgetary sphere, which the Central Statistical Office does not take into account in this research, the actual drops in real incomes are even deeper and concern the majority of society.
Source: BIEC and ISBnews
