Marlena Maląg – Minister of Family and Social Policy, Vice-Chairman of the Social Dialogue Council, took part in the plenary meeting of the Council, which was devoted to the draft budget act for 2024 and the draft act on special solutions for the implementation of the budget act for 2024.

The meeting took place on September 8, 2023 at the „Dialog” Social Partnership Center. The meeting, chaired by Łukasz Bernatowicz (ZP BCC), was attended by the government’s Sebastian Skuza – Secretary of State at the Ministry of Finance, Piotr Pyzik – Undersecretary of State at the Ministry of State Assets and Piotr Bromber – Undersecretary of State at the Ministry of Health, and social partners.

Deputy Minister of Finance – Sebastian Skuza informed that according to the forecasts used to prepare the draft budget act for 2024, it is estimated that the economic growth rate will slow down to 0.9% this year. The main reason for the slowdown in the growth rate in 2023 will be a significant weakening of private consumption dynamics, especially in the first half of the year, caused by inflation and its related consequences: a temporary decline in real wages, tightening of monetary policy. In 2024, the economy is expected to recover and GDP will increase by 3.0%. This will be influenced by falling inflation, a return to positive growth in real wages on a year-round basis, improved consumer sentiment, and, in the longer term, also a slight easing of monetary policy expected by the market. The recovery of the economy will be supported by a significant increase in public investments (including increased supplies of military equipment) and an increase in household disposable income resulting from the increase in the „500+” benefit. He informed that at the end of June 2023, the registered unemployment rate was 5% and at the end of 2024 it will be 5.2%. This year, average employment in the national economy will increase by 0.3%. Moreover, inflation is expected to reach 106.6% in 2024. According to the draft budget act, state budget revenues will amount to PLN 683.6 billion and expenditures will amount to PLN 848.3 billion. According to the assumptions, the state budget is to be based on three pillars: military security, ambitious social programs and health protection of Poles. The project assumes expenditure: PLN 190.9 billion on health (including the National Health Fund); 158, PLN 9 billion for defense (together with the Armed Forces Support Fund); PLN 76.6 billion for educational subsidies; indexation of pension and disability benefits from March 1, 2024, with an indexation index of 112.3%. In addition, the budget assumes financing the payment of an additional annual cash benefit for retirees and disability pensioners (the so-called 13th and 14th pensions). The budget also provided funds for key social programs such as the „Family 800+” Program, „Dobry Start” and Family Care Capital.

Then, the deputy minister presented a draft act on special solutions for the implementation of the Budget Act for 2024. He informed that it was proposed to set the maximum remuneration for judges and prosecutors and guarantee their remuneration increase by 12.3%. The project includes, among others: also changes in the scope of local government units that will receive additional income from supplementing the general subsidy and a significant increase in income tax revenues in which local government units have shares.

Minister Marlena Maląg informed that the government strives to make the country modern and each region develop in a sustainable manner. She mentioned that the last 4 years had been a difficult period, starting with the issue of Covid and the current war in Ukraine. She emphasized that the security of Poland and Poles is the most important.

She then referred to the family and emphasized that investing in the family is not a cost but an investment in the future – so that Poland can be a strong, independent and sovereign state. She emphasized that a responsible state should support the family. She pointed out that thanks to the 500+ benefit, the situation of Polish families has changed. From January 1, 2024, this benefit will amount to 800+. She indicated that the aim of the program is to support all families and all children. She also mentioned other programs such as Good Start, Family Care Capital and „Maluch+”.

Then she referred to the support of seniors. She emphasized that senior policy must be based on two pillars – financial support for seniors and activity of older people. To best protect the situation of older people, the amount of benefits is increased and further financial support instruments are launched, such as the 13th and 14th pension.

She also paid attention to supporting disabled people. She informed that the government had adopted an act introducing a new support benefit addressed directly to people with disabilities. It will range from 50 percent. up to 200 percent social pension – depending on the level of support need. Decisions determining the level of support need will be issued by provincial disability assessment teams at the request of disabled people.

Jacek Męcina – Chairman of the RDS Problem Team for budget, remuneration and social benefits, presented information from the discussion at the Team’s forum. He informed that the employers’ side and the trade unions had failed to reach a common position on the matter in question.

The meeting was followed by a discussion with the participation of social partners. The social side drew attention to, among others: on the issue of unlocking funds from the KPO as soon as possible, without which, first of all, the macroeconomic assumptions for 2024 cannot be met. In addition, she postulated a change in the method of determining the minimum wage, as well as the development of a new mechanism for determining wages in the state budget sphere.

The trade union side argued for the need to introduce changes to the draft budget, especially in the field of remuneration, and maintained the demand for at least a 20% increase in remuneration for public sector employees in 2023 and a 24% increase in 2024.

At the Council forum, the social side adopted Resolution No. 125 of the employees’ and employers’ sides of the Social Dialogue Council regarding: a draft act amending the Act on the entitlement to discounted travel in public public transport.

Source:https://www.gov.pl/web/dialog/posiezenie-plenarne-rady-dialogu-spoleczny29

Supported by Norway through Norway Grants 2014-2021, in the frame of the Programme “Social Dialogue – Decent Work”.