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Foreign Direct Investment and its Employment Effects in Polish Manufacturing During Transition

Anna Golejewska ()

No 204, Working Papers of Economics of European Integration Division from The Univeristy of Gdansk, Faculty of Economics, Economics of European Integration Division

Abstract: The paper presents potential effects of FDI on the quantity, quality and location of employment in a host country. Empirical analysis shows direct impact of FDI on employment creation/preservation in Polish manufacturing during transition. In 1993-2000 employment growth in foreign investment enterprises did not compensate for the decline in domestic controlled employment. However, the effects differ between industries. Foreign presence has a positive impact on performance of domestic industry as a whole in terms of both usage of capital-intensive technologies and labour productivity. Further econometrical research and more data are necessary to show indirect and spillover-effects of FDI in this area. These effects can have an impact equal or even higher than the direct creation of jobs in foreign firms.

Keywords: FDI; Transition; Employment; Poland (search for similar items in EconPapers)
JEL-codes: F20 P23 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2002-10
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http://gnu.univ.gda.pl/~keie/ao4.doc First version, 2002

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