In January-May 2015, wages in real terms increased outstandingly, by 4.1 percent, within the national economy, the Hungarian Central Statistical Office (KSH) reported earlier today. Thus, a positive wage growth trend has been in place for the 29th consecutive month in Hungary. Compared to May 2014, the number of employees at private sector enterprises with at least five employees grew significantly, by 48 thousand.
Gross and net wages within the national economy averaged HUF 242 700 and HUF 159 000, respectively, in the period January-May that signals year-on-year wage growth of 3.5 percent thanks to an unchanged taxation system. In case family tax allowances are also taken into account, the KSH estimates that net wages averaged HUF 165 800.
Excluding the effect of public work schemes, gross wages averaged HUF 261 000 in the private sector, HUF 240 500 in the public sector and HUF 230 900 in the non-profit sector.
Due to the 0.6 percent fall in consumer prices, wage growth in real terms was higher than that of net wages in the initial five months of the year. Accordingly, in the observed period wages in real terms grew by 4.1 percent, while they were by up 3.7 percent excluding public work schemes. Real wages – excluding the effect of public work schemes – increased by 4 percent in the private sector, 3.1 percent in the public sector and 2.7 percent in the non-profit sector. Concurrently, wages of those at public work projects were also higher by 4.1 percent over the past one year.
The increase of wages in real terms has been the result of Government measures such as reduced taxes on labour, public sector wage hikes, the Job Protection Action Plan and measures stimulating economic activity as well as by low inflation and the economic growth trend reversal of 2013.
For detailed data please visit www.ksh.hu
(Ministry for National Economy)
