Average Hungarian gross earnings were close to HUF 700,000 in November

The average gross earnings of full-time employees were HUF 695,100 in November last year, 11.9% higher than a year earlier. Average net earnings were HUF 462,200 excluding discounts and HUF 478,000 including discounts. As the graph below shows, November saw a big jump in wages compared to the previous months.

This is due to the fact that premiums and end-of-year bonuses are paid in the last month or two of the year.

On the flip side, and more importantly, we see a slowdown in wage dynamics on an annual basis. The last time the wage growth rate was similarly low, below 12%, was in 2022, if we exclude the one-off distorting effect of firearms money.

Since premiums and bonuses have a significant impact on earnings in November, it is also worth taking a look at the development of regular wages. The average gross regular wage (excluding premiums, bonuses, one-month special allowances) is estimated at HUF 613,700, 11.9% higher than in the same period last year. In other words, the difference between total average gross earnings and regular wages is more than HUF 80,000.

• The average regular gross salary was HUF 609,500 in the business sector,
• HUF 613,000 in the budget sector and
• HUF 657,100 in the non-profit sector.

The slowdown in the pace of wage growth is also reflected in the evolution of regular earnings. The last time the rate of wage growth was this low was in January 2022.

Real earnings rose by 7.9%, with consumer prices up 3.7% on the same period a year earlier. This is also lower than the level seen in recent months.

Median gross earnings were HUF 550,800 in November, 12.5% higher than a year earlier (this is the salary at which half of workers take home less and half more). Median net earnings including premiums and bonuses reached HUF 383,400, 13.3% higher than in the same period last year.

Cover photo (for illustration purposes only): Getty Images