Small and medium enterprises (SMEs) form the basis of all modern economies, is mainly for
companies in the sector, individual states owe their growth and development. Effect of small and
medium-sized enterprises on the economy is particularly evident in the areas of employment.
Especially at a time when many European countries are struggling with high unemployment, the
main advantage of the SME sector is that they constitute the largest source of new jobs. Given the
above article was adopted for the purpose of examination of employment trends in small and
medium-sized enterprises in Poland in 1998–2007 and to determine the statistical relationship
between unemployment and the dynamics of employment in small and medium-sized enterprises
