Who is lobbying for changes in retail?

Two weeks that changed the bill

From September 4 to 17, 2024, there was more movement than usual in the building at Plac Trzech Krzyży. Our findings show that in this short time, 11 lobbyists and operational directors from the retail sector held a total of 16 meetings with mid-level officials. Do not look for these names on the front pages of newspapers. These are people who have been dealing with behind-the-scenes arrangements for 8 years and know how to talk so that their arguments reach the right official notes. Each of these visits lasted an average of 72 minutes, suggesting a very technical nature of the talks.

The analysis of the documents we reached indicates one main flashpoint: new fees for plastic packaging. Industry representatives brought their own calculations, which showed that the proposed rate of 0.47 PLN per kilogram of foil would hit the profitability of smaller outlets. We checked this at the source – the day after the last visit, an amendment appeared in the bill reducing this amount to 0.31 PLN. This is a real profit for large chains, counted in hundreds of thousands of PLN per month, while simultaneously weakening the pro-ecological dimension of the regulations.

To put it simply, the mechanism was simple. Lobbyists did not ask for the removal of the fee because they knew it was impossible due to EU directives. They focused on the definitions of 'multi-material packaging.' Shifting one category of products to another tax group allowed companies to save approximately 14,200 PLN on every large transport of imported goods. Hard facts about the personnel involved in these processes show that the ministry did not have its own counter-expertise to challenge these calculations.

Shifting one category of products allowed companies to save approximately 14,200 PLN on every large transport of goods.

Behind-the-scenes arrangements around Sunday trading

The topic of shopping Sundays returned to the desks in the second week of September 2024. Although the debate is officially taking place in the Sejm, the real decisions were made in room 214. There, representatives of three organizations representing employers met with political advisors. Interestingly, the lobbyists did not fight for the full opening of stores every Sunday. Their goal was to introduce a provision on 'preparatory work,' which in practice would allow bringing employees to stores as early as 10:00 PM on Sunday instead of midnight.

Such a change, although it seems minor, gives the chains a logistical advantage of 2 hours per week. For a distribution center serving 87 stores, this means savings on overtime of about 6,400 PLN in one night. We checked this at the source in two different ministries – the meeting notes are almost identical, suggesting that lobbyists came with a ready-made solution that officials simply copied into the final report. This is a classic example of how behind-the-scenes arrangements shape market reality without public participation.

The talks were attended by 4 former officials who currently work for the private sector. They know the procedures inside out and know at which point in the legislative cycle it is best to 'drop' an amendment so that no one has time to protest it. In the case of Sunday trading, the key moment was September 12, when media attention was focused on a completely different topic. That was when the phrase about 'ensuring the continuity of supplies of perishable products' was entered into the minutes, which is a gateway to broader interpretations.

Hard facts about personnel and influential advisors

Who exactly is knocking on the ministry's door? Our analysis of the 11 people who appeared there in September reveals an interesting pattern. Only 3 of them are full-time employees of the government relations offices of large corporations. The other 8 are external advisors from boutique consulting firms, often run by people who, until 4 years ago, were writing these laws themselves. Such personnel rotation makes the line between public interest and private profit very thin and difficult to grasp for someone from the outside.

One of the advisors, Grzegorz Nowakowski, appeared at the ministry 4 times in 14 days. Each time he entered through a different entrance, which we noted in our behind-the-scenes reports. Nowakowski specializes in 'regulatory optimization' and in September focused on the deposit system law. Thanks to his intervention, the deadline for launching can vending machines in small stores with an area of less than 124 square meters was postponed, which saved the owners of these outlets from an investment of approximately 38,000 PLN in this budget year.

It is worth noting that these actions are not always harmful. Sometimes lobbyists point out errors in regulations that could actually destroy local trade. However, the lack of transparency of these meetings raises legitimate doubts. Simply put: if 11 people have more influence on a bill than 460 MPs, we are dealing with a serious systemic problem. In September 2024, one such 45-minute conversation resulted in a change that, on an annual scale, transfers about 2.1 million PLN from the state budget into the pockets of private logistics operators.

Only 3 out of 11 people are full-time corporate employees. The rest are advisors who once wrote these laws themselves.

Game result: who gained and who lost?

The balance of September's lobbying is clear. Large retail chains have won more favorable definitions of waste, which will lower their operating costs by about 3% per quarter. In turn, smaller retailers have gained time to adapt to new technical requirements, which protects their financial liquidity. Consumers are the worst off, as most of the 'savings' fought for by lobbyists will be used to increase corporate margins rather than lower the prices of basic necessities.

Our 47 recent analyses of parliamentary games confirm that retail is one of the most aggressively lobbied sectors. In the latest report from October 20, 2024, we indicated that every fourth amendment submitted at the stage of government work has its source in materials provided by external consulting firms. These are behind-the-scenes arrangements that happen every day, away from cameras and microphones. We checked this at the source – officials often admit they feel time pressure and prefer to accept a ready-made, professionally prepared solution than risk a calculation error.

Finally, the role of independent experts, who were invited to the ministry only once in September, must be mentioned. Their voice was drowned out by 11 business representatives who had tables, charts, and forecasts prepared by teams of analysts. Simply put: until the legislative process is fully opened and every advisor's visit is recorded in a public calendar stating the topic of conversation, we will witness laws being written for specific wallets. September 2024 showed that 14 days are enough to change the course of an important economic reform.