EconomyStatistics

Stats Office: Average Gross Wage In Hungary Rose By Annual 10 Percent In January

The average gross wage in Hungary rose by an annual 10 percent to 273,822 forints (EUR 886) in January, the Central Statistical Office (KSH) said on Monday.

Net wages grew at the same place as gross wages, also climbing by 10 percent to 182,100 forints. KSH noted that wages have been boosted by a higher minimum wage as well as pay increases for social services and healthcare workers and state employees in the cultural sector. Excluding the 189,800 Hungarians in public work programmes, the average gross wage rose by 9.8 percent to 288,152 forints, while net wages also increased by 9.8 percent to 191,620 forints. Full-time public workers earned gross 80,094 forints on average during the month, 1.1 percent more than in the same period a year earlier.

Calculating with January twelve-month CPI of 2.3 percent, real wages were up by 7.5 percent. Regular gross wages rose by 10.3 percent to 261,945 forints. Excluding public workers, business sector gross wages rose at a below-average rate of 9.0 percent year-on-year, and regular wages in the sector rose by 9.3 percent. Also without public workers, gross public sector wages were up by 12.2 percent in the year to January, including a 12.6 percent rise in regular wages.

Commenting on the data, Economy Minister Mihály Varga said that net wages have been growing continuously for more than four years. The government has concluded the wage talks it was involved in and Varga believes that wages in the public sector are about to grow at the same pace as the overall increase in January. Wages in the private sector could rise at a slightly slower pace, he added.

ING Bank chief analyst Péter Virovácz noted that January wage increases usually match the annual average for the year. In 2017, however, the annual average could be higher than the January numbers as the full effect of wage increases in the public sector have not yet been included. Gergely Suppan of Takarekbank said wages could grow by 10 percent this year and real wage growth could reach 7.6 percent. Wage growth from 2013 to the end of 2017 could total 28.3 percent.

via MTI and ksh.hu