Real wages have not increased at such a low pace in Hungary as in April 2019 for two years. This is relating to a slight slowdown in wage growth, while inflation rose to a six-year high.
Gross earnings grew by 9.0% year on year in April, the Central Statistical Office (KSH) reported on Friday. This is the first time in many months that the figure is not in double digits.
Earnings in the business sector rose over 10%, which has to do with the marked hike to the minimum wage and the wage minimum for skilled workers, as well as with labour shortage. Earnings in the public sector, however, are completely frozen; the KSH reported only a 3.6% increase here. This does not reach even the level of inflation which was 3.9% in April.
Real wage growth in the national economy dropped to under 5%, i.e. slowing wage growth dynamics and accelerating inflation pushed the increase of the purchasing power of earnings to a two-year low.
Full-time employees’ average gross nominal earnings at corporations employing at least five persons, budgetary institutions and non-profit organisations, which are significant in respect of employment, amounted to HUF 371,100 and to HUF 381,700 excluding those employed in public works. Average net earnings were HUF 246,800 excluding tax benefits and HUF 254,300 including them.
Charting is displayed using TradingView's technology, a platform, where you can build advanced charts,
spot upcoming trends in the stock screener, and find inspiration in multiple trading ideas
