Poland’s unemployment grows 0.5pp y/y to 6.3% in April

Poland’s unemployment grows 0.5pp y/y to 6.3% in April
By Wojciech Kosc in Moscow May 11, 2021

Poland’s unemployment rate eased growth to 0.5pp y/y, coming in at 6.3% in April, the Ministry of Development, Labour and Technology said in a preliminary estimate on May 7. 

Despite growth in joblessness, Poland’s labour market has so far remained resilient to the overall slowdown in economic activity inflicted by the COVID-19 (coronavirus) pandemic. The April unemployment rate is only 1.3pp higher than the most recent low, recorded in October 2019.

Demand for labour is currently expected to shoot up, as the economy is reopening in quick stages throughout May, including the worst-hit businesses like hotels and restaurants. Poland's GDP contracted 2.7% in 2020 in the wake of the pandemic but is expected to bounce back at around 4% this year.

The number of coronavirus cases keeps dropping in Poland, with under 17,000 cases throughout May 7-10, less than half the peak of over 35,000 cases on April 1.

The number of unemployed amounted to just over 1.05mn at the end of April, the ministry said. That is a drop of 2.3% – or by 25,100 people – compared to the end of the preceding month. In y/y terms, the figure still represents an increase of 9.1% or by 88,200. 

Month-to-month, the unemployment rate added 0.1pp, the ministry also said. An official reading of the unemployment rate is due later this month from the statistical office GUS.