Donald Tusk’s stance on migration hurts Polish financial system, CEOs warn

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This summer season, Polish bakery group Putka began providing English lessons to ease communication amongst its swelling worldwide workforce.

Situated on the western outskirts of Warsaw, the corporate has struggled to draw locals and has turned to employees from nations as numerous as Senegal, India and Colombia, who now account for half its 500-strong manufacturing group.

Chief government Grzegorz Putka, the fourth era of his household to run the enterprise, stated the international employees had built-in nicely however much more had been wanted: “We simply cannot sell as much as we would if we could employ foreigners more easily.”

Enterprise leaders and analysts have warned that Prime Minister Donald Tusk’s current pivot on migration, although a part of a toughening stance at EU stage, dangers hitting companies that want migrant labour to offset Poland’s ageing workforce.

Poland’s labour market is the tightest since 1990, when the nation began its transition from communism. Its 2.9 per cent unemployment price is the second lowest within the EU after the Czech Republic, and Warsaw, in response to Eurostat, is the area with the very best employment price within the bloc.

In response, companies have more and more appeared overseas to fill the hole. The nation now has 1.16mn registered international employees — 10 occasions greater than a decade in the past, in response to Poland’s social safety workplace.

However whereas claiming to maintain Poland open to expert international employees, Tusk adopted a collection of measures aimed toward defending the nation’s safety and exhibiting he’s powerful on unlawful migration forward of presidential elections subsequent Might.

His authorities reduce the variety of all visas issued within the first half of this 12 months by 31 per cent in contrast with the identical interval in 2023. Guidelines for pupil visas had been additionally tightened to stop misuse by incomers planning to work slightly than examine.

The Tusk administration additionally continued its predecessor’s coverage of beefing up safety alongside the border with Belarus to cease what Warsaw calls a “hybrid war” waged by Russia when facilitating the journey of Center Japanese migrants to cross the frontier into Poland. Tusk in October introduced Poland would droop the best to asylum for migrants coming by way of Belarus — a step broadly backed by western leaders.

“We see the EU, along with Britain, experimenting with what might work,” international minister Radosław Sikorski stated in an interview. “[Controlling] migration is important in Britain, it’s important in Germany, it’s important in the US, so why shouldn’t it be important in Poland?” 

Putka chief executive Grzegorz Putka stands for a portrait with his arms crossed
Putka chief government Grzegorz Putka says his firm’s international workers have built-in nicely © Maciek Jazwiecki/FT

Tusk argues that his technique of permitting solely expert employees into the nation can guarantee each financial progress and safety. “To bring in lots of people who are totally unqualified is not the right way,” he instructed a convention within the Polish city of Sopot final month. 

However the clampdown “could kill one of the most important sectors for Poland”, warned Maciej Wroński, president of Transport and Logistics Poland, which represents the nation’s truck operators — the EU’s largest nationwide fleet.

“The Tusk government has made everything harder, to get new foreigners but also to renew visas for those who already work for us,” he stated.

Two-thirds of Poland’s international workforce stems from Ukraine, however Russia’s full-scale invasion in 2022 considerably modified its demographics, as some males returned to their house nation to affix the warfare effort, whereas ladies and youngsters stayed in Poland. This has created labour shortages significantly in male-dominated sectors, akin to transport and building.

The common age of Polish truckers is 55 and greater than half of Poland’s 300,000 long-haul drivers are non-EU nationals, in response to Wroński. “Young Polish people from Generation Z want to be YouTube influencers, not drivers,” he added.

The restrictions come “just when we are seeing our depopulation and bad demographics clearly for the first time”, stated Andrzej Kubisiak, deputy director of the Polish Financial Institute, a state-funded think-tank.

Poland recorded its sixth consecutive 12 months of inhabitants decline in 2023, with numbers falling by 133,000, in response to Eurostat. Based mostly on its present demographics, Poland’s labour market will lose 2.1mn employees by 2035, in response to Kubisiak’s institute.

People line up outside the Warsaw office for residency applications
Folks line up on the division of international affairs workplace in Warsaw for residency functions © Maciek Jazwiecki/FT

On the Putka manufacturing unit, the change to a multinational workforce has additionally elevated workers rotation, as a consequence of their limited-stay visas. Paying specialist employment businesses to rearrange employees’ immigration paperwork and housing implies that international workers are about 10 per cent costlier than Polish staff, the corporate stated. 

However employees say they’re glad to be a part of such a global atmosphere. Oleksii Totkal, who fled Ukraine’s jap Donbas area in 2022, stated of his 4 Indian colleagues that he was “learning about their traditions and all sorts of things that I never heard about in Donbas”.

Ukrainians’ eventual return house will intensify labour shortages and require Poland to confess extra employees from the world over, stated Danuta Hübner, a former professor on the Warsaw College of Economics and Poland’s first EU commissioner.

“Maybe our streets will one day look [as diverse as] the streets of London — which is hard to imagine when you look at our politicians and think how happy they would be about this,” she stated. “But I see no other option.”

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