national employment program for law and justice

Our program includes:

- 1 million 200,000 new jobs for young people;

- A chance for jobs for residents of communes and small towns particularly affected by the scourge of unemployment;

- Tax breaks for businesses that create jobs.

Main assumptions:

- Reduction of social security contributions in the area of municipalities particularly affected by unemployment

A reduction of 50% is proposed in the amount of the pension contribution for the portion financed by the employer who is the payer for the full-time employment of young workers for the first twelve months of their employment, for a period of at least three years.

– Loans from the Employment Support Fund and the Youth Enterprise Support Fund

Priority in receiving a loan or credit will be given to unemployed graduates who wish to start a business. The applicant commits to creating a minimum of three full-time youth jobs for a minimum of 3 years.

Loans and credits may be forgiven and repayment of the loan with interest suspended if the entrepreneur's economic situation deteriorates.

– Deduction from the tax base of the amount equivalent to one job

An entrepreneur, being a taxpayer, may deduct from the income tax base the amount representing the lump-sum value of the cost of creating a newly-created job, or defer the date of payment of income tax - both the taxpayer of personal income tax and the taxpayer of corporate income tax.      

- Tax preferences for those who hire school graduates

It is envisaged to introduce the possibility of reducing the tax base in personal income tax or corporate income tax for employers who hire graduates.

– Tax refunds for entrepreneurs who hire graduates

The preference applies to specific groups of graduates (those in well-defined occupations).

- Financial support for workers employed in a small town or rural area

If the income in the family does not exceed a certain level and the employee has a minor child or children dependent on him/her, he/she may receive financial support the amount of which depends on the number of children in the family. The financial support in this case cannot be less than PLN 200 per child.

- Direct assistance to job seekers who are underemployed (mini jobs)

A mini-job is the performance of work under an employment contract for a period of not less than 2 years and not more than 5 years, on a part-time basis by an employee who, at the time of concluding the contract, is a graduate or a student, who will then conclude a mini-job subsidy contract with the relevant employment office. The wage paid by the employer may not be less than the minimum wage, calculated in proportion to the working hours. The amount of assistance received by the employee benefiting from the mini-job is up to PLN 800.

–  Training practices

Financing of internships for graduates from the state budget through the municipal body. The beneficiaries can be entrepreneurs from economically degraded municipalities. They receive financial assistance to cover the costs of the internship. In case the apprenticeship will be unpaid the monthly amount of aid will be up to 50% of the minimum wage, in case of paid apprenticeship up to 25%. The maximum duration of the training internship contract will be 3 months.

As part of the National Employment Program package, we also propose changes to other laws, including:

- Reduce to 50% the maximum tax rate on business-related property for businesses that employ a certain number of people under the age of 35;

- reducing to 50% the maximum rate in the transportation tax;

- Introducing a new category of taxpayer - the young entrepreneur, who would have reduced advance payments of income tax up to 50%;

- For those starting a business, an extension for an additional 12 months of the possibility of applying the 50% reduced social security contribution assessment basis;

- In the Law on Lump Sum Income Tax, the introduction of a new category - young entrepreneur, which will be covered by a preference in the form of a separate tax rate of 3.5%. The tax card rate for small entrepreneurs is proposed to be reduced by 30%.

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The Law and Justice Party (Prawo i Sprawiedliwość) submitted a draft National Employment Program to the Sejm on October 9, 2012 (print number 1292). The program was presented at the "More Work" debate held in 2012 in abandoned production halls in Ursus, near Warsaw. Since then, PiS has organized several debates and meetings devoted to combating unemployment and comprehensive employment support. The first reading of the draft is scheduled for May 22, 2013.

The National Employment Program is a comprehensive bill with ready-made regulations that is designed to significantly stimulate employment in those areas where the unemployment problem is greatest.