Poland's Central Statistical Office (GUS) revealed that the average monthly gross wage in Poland's private sector in November 2011 grew by 4.4 percent year-on-year.

The result is lower than economists had estimated and below the level of inflation.

Meanwhile, employment in the private sector improved slightly. GUS reported that Polish companies in November increased employment by 2.5 percent y/y and by 0.1 percent m/m.

Most economists did not expect growth higher than 2.3 percent.

Despite rising only modestly, employment made its first monthly gain since June.

“This is really a positive surprise given that in November seasonal factors usually are not supportive for job creation. Apparently, Polish companies are still not so much afraid of the worsening outlook for the Polish economy to cut jobs more decidedly,” Bank Zachodni WBK analysts wrote in a market report.

However, the outlook for the medium term is for a slow down of both employment and wages, due mainly to weakening economic activity in the euro zone.

“In general, the data did not change our assessment of the labor market outlook considerably – in 2012 we expect a stagnation of employment and a slowdown of wages’ momentum,” BZ WBK wrote.

Poland A.M.