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Average gross earnings over 10% higher year on year

Telco

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Average gross earnings were 10.9% higher in May than a year earlier, amounting to HUF 327,500, the Central Statistical Office (KSH) reported.  

Rises of 8% in the minimum wage and 12% in the guaranteed minimum wage, as well as salary adjustments affecting specific areas of the public sector and the employees of some state-owned public service companies, all had an impact on earnings growth.

In May, full-time employees’ average gross nominal earnings – as defined by KSH – at corporations employing at least five persons, budgetary and designated non-profit institutions amounted to HUF 327,500, or to HUF 340,000 if excluding the so-called fostered workers on public works schemes.

Average net earnings were HUF 217,800 excluding family tax benefits and HUF 226,300 including them. Both gross earnings and net earnings grew by 10.9% compared to the same period of the previous year.

In January–May 2018, full-time employees’ average gross nominal earnings amounted to HUF 323,400 and to HUF 336,000 excluding fostered workers.

Average gross earnings were the highest in financial and insurance activities (HUF 610,800) and the lowest (HUF 208,100) in accommodation and food service activities. Regular gross earnings (gross earnings without premiums and one-month bonuses) amounted to HUF 300,800.

Average net earnings, excluding family tax benefits, were HUF 215,000. In 2018, family tax benefits rose further in the case of families with two children. Taking into account family tax benefits, average net earnings are estimated to be HUF 223,600.

Some employees of budgetary institutions and non-profit organisations – about 80,000 persons – received compensation not belonging to wages and salaries for changes in taxes. The average amount of the compensation was HUF 8,400 at budgetary and HUF 7,400 at non-profit institutions.

Both gross earnings and net earnings without family tax benefits grew to the same extent, by 12.1%, while regular gross earnings increased less than that, by 11.5% compared to the previous year. Along with the 2.2% rise in consumer prices compared to the same period of the previous year, real earnings increased by 9.7%.

Monthly average gross wages and salaries according to the system of national accounts (SNA) concept amounted to HUF 338,800, which was 12.1% higher than a year earlier. Within this indicator, the share of other wages and salaries was 4.5% on average.

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