Wages in real terms were up by 4.2 percent year-on-year in the period January-October 2015, according to the flash report of the Hungarian Central Statistical Office (KSH):
Thus, wages in real terms have been rising for the 34th straight month in Hungary. In addition, in comparison to October 2014, the number of private sector jobs was up by 55 thousand at enterprises with at least five employees.

In the period January-October 2015, gross and net wages within the national economy averaged HUF 243 600 and HUF 159 500, respectively. This, due to an unchanged tax regime, accounts for year-on-year wage growth of 4.0 percent. Taking into account the effect of family tax allowances, the KSH estimates that net wages averaged HUF 166 400.

In the initial ten months of the year, gross wages – excluding public work schemes – averaged HUF 259 500 at enterprises, HUF 251 000 at budgetary institutions and HUF 235 200 at non-profit organizations. Accordingly, wages in real terms rose by 3.9 percent within the private sector, 5.4 percent within the public sector and by 3 percent within the non-profit sector. Public work employees in the observed period earned 2.4 percent more compared to the level of the previous year. As a consequence, wages in real terms within the national economy were up by 4.3 percent and by 4.2 percent including public work schemes.

Thanks to negative inflation of 0.2 percent, wages in real terms grew faster than net wages.

Government measures such as the reduction of taxes on labour, wage hikes in the public sector, the Job Protection Action Plan, economic stimulus measures as well as low inflation and the economic turnaround in 2013 have been instrumental for real wage growth. As a result of Hungarian reforms and the economic upturn, further wage growth is expected.

For detailed data please visit www.ksh.hu.

(Ministry for National Economy)