Anti-crisis shield to help entrepreneurs and employees
The Polish Prime Minister Mateusz Morawiecki has presented the assumptions of the government's anti-crisis package for entrepreneurs and employees, worth approx. PLN 212 billion, i.e. nearly 10% of GDP.
The plan is to prevent job losses, bankruptcies, plant closures and a reduction in entrepreneurs' income, explained the Prime Minister. The anti-crisis measures will be taken over the next few months.
“These are two, three, four critical months, during which – we hope – the epidemic will begin to subside and everything will be getting back to normal”, noted Mateusz Morawiecki.
The anti-crisis shield will cover 5 pillars:
- Employees’ safety – value of PLN 30 billion.
- Enterprise financing – value of PLN 74 billion.
- Health care – value of PLN 7.5 billion.
- Strengthening of the financial system – value of PLN 70.3 billion.
- Public investment programme – value of PLN 30 billion.
Major activities of the anti-crisis package:
1. Support in the payment of remunerations to employees in companies with problems.
- The country will cover half of the employee’s remuneration.
- The subsidy limit will be 40% of the average remuneration in 2019
2. Deferral of payment of social security contributions by 3 months.
- Later payment of contributions can made in instalments.
- Deferral and payment of social security contributions in instalments – free of charge.
3. Payment by the Social Insurance Institution (ZUS) of a one-time monthly benefit in the amount of approx. PLN 2 thousand gross: for persons employed under civil law contracts (order contracts, contracts of commission) and for self-employed persons.
4. Micro-loans for entrepreneurs of up to PLN 5 thousand.
5. Extended BGK de minimis guarantee scheme for small and medium-sized companies.
- The collateralisation level of the loan will be increased from 60% to 80%.
6. Support in leasing for companies with problems.
- The Industrial Development Agency will allocate PLN 1.7 billion for the refinancing of lease agreements of transport companies.
Adam Glapiński, President of the National Bank of Poland, assessed that the crisis related to the coronavirus epidemic is very strong, but the state is well prepared for it. He emphasised that the banking system is stable and well supplied with capital. We have cash in reserve, he assured.
Minister of Development Jadwiga Emilewicz explained that the payment of the guaranteed benefit from the Social Insurance Institution (ZUS) in the amount of approx. PLN 2 thousand will be available to approx. 2.2 million people, and the cost for the Labour Fund will amount to approx. PLN 9 billion.
The head of the development department also emphasised that the loan of PLN 5 thousand will be intended for small entrepreneurs who employ up to 9 employees. As she added, the loan will be non-refundable if the company does not decide to dismiss these employees in the next 6 months.
Minister of Family, Labour and Social Policy, Marlena Maląg, assured that the benefits introduced by the government, such as 500+, will be fully implemented. She also notified that approx. PLN 600 million will be allocated to help employers who employ disabled people. The support will also cover people with disabilities who remain at home and require special care.
The Minister of Finance Tadeusz Kościński announced that the deadlines for submitting tax returns would be postponed by one or two months. Their later submission will not entail any costs, he explained. As he added, the collection of retail sales tax will be postponed until the end of the year.
The Minister of Finance also emphasised that 80% of the borrowing needs of the state budget for this year are already financed and the situation of public finances is stable.