Response to Demographic Challenges and Labor Shortages
The demographics of Central and Eastern Europe leave little room for doubt — societies are aging, birth rates remain low, and economic emigration continues to weaken local labor markets.
In response to these challenges, the vast majority of CEE countries — including Poland, Czech Republic, Slovakia, Hungary, Romania, and Bulgaria — are already undertaking a variety of actions aimed at attracting and retaining talent.
We invite you to explore the latest Vialto Partners Poland report, which discusses not only recent legislative and market developments but, more importantly, outlines the strategic directions that CEE countries should take to not only respond to the demographic crisis — but to turn it into an opportunity.
The Vialto Partners Poland report focuses on selected key areas including immigration, tax, and social security policies being implemented across CEE to effectively compete for global talent, such as:
🔹 Immigration incentive mechanisms – including digital nomad visas, simplified procedures for skilled workers, preferences for strategic sectors (e.g. IT, healthcare), facilitated access for Blue Card holders, as well as integration programs and selective recruitment models.
🔹 Tax and compensation solutions – comparing PIT rates, tax-free amounts, and minimum wages across the region, including attractive incentives for newcomers (e.g. Poland’s “return relief” scheme).
🔹 Net salary competitiveness – data showing how CEE countries rank in terms of tax attractiveness for both employees and employers, taking into account labor costs and fiscal burdens.
🔹 Pension systems under pressure – analysis of how demographic trends impact the long-term sustainability of pension systems, and examples of reforms such as raising the retirement age, expanding private pension funds, and introducing incentives for working retirees.
🔹 Czech Republic case study – highlighting one of the most progressive approaches in the region to activating older workers: flexible employment models, lifelong learning, and development of age-friendly infrastructure.
Authors:
Jadwiga Chorazka, Emilia Piechota, Joanna Narkiewicz-Tarlowska, Grzegorz Ogorek – Vialto Partners Poland
