Wages and Unemployment in Poland

Download or read book Wages and Unemployment in Poland written by Fabrizio Coricelli and published by World Bank Publications. This book was released on 1992 with total page 50 pages. Available in PDF, EPUB and Kindle. Book excerpt: Unemployment has increased dramatically with stabilization, mainly because of a generalized contraction in output, rather than a sectoral restructuring or a massive shedding of labor. Real wages fell sharply, and the wage policy has become a delicate political issue. One prescription for reducing the drawbacks in current wage policy is to replace that policy with a generalized agreement on the wage path, with synchronized six-month contracts. Such an agreement might be seen as a consensual agreement - a "social pact" - rather than as a punitive tax.