This is what is termed a policy side effect. On 01 April Poland’s non-means tested ‘500 Plus’ program was inaugurated, which pays 500 Zlotys (approx. €115) in child benefit per child per month to families with at least two children. Means tested child benefit is also available for low income families with just one child. As a result of the new program mothers on low pay may have more incentive to stay at home and exit the workforce. An indirect consequence of this is that higher salaries are now being demanded, especially by employees at the bottom end of the pay scale.
Following the October 2015 legislative elections and the change in majority in the Polish parliament a significant economic policy shift has occurred. The Conservative Law and Justice party (PiS), returned to power after eight barren years, is looking to strengthen the role of the State in the country’s economy and also give social policy, especially family oriented policy, more importance, whilst the previous governments from the Civic Platform (PO) had been more liberal leaning. As much...
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