Hourly labour costs rose by 2.4% in the euro area and by 4.6% in Cyprus during Q4 2019

Hourly labour costs rose by 2.4% in the euro area (EA19) and by 2.7% in the EU27 in the fourth quarter of 2019, compared with the same quarter of the previous year. In the third quarter of 2019, hourly labour costs increased by 2.6% and 2.9% respectively, according to figures published by Eurostat, the statistical office of the European Union.

In Cyprus labour costs rose by 4.6% in the fourth quarter of 2019, compared with same quarter of the previous year (2.5% on wages and 15.6% on other costs). In the third quarter labour cost increased by 5.3%. In Greece labour costs increased by 4.1% in the 4th quarter of 2019 (4.0% on wages and 4.4% on other costs), while in the 3rd quarter the icrease was also 4.1%.

More specifically, in the euro area, the cost of wages & salaries per hour worked grew by 2.3% and the non-wage component grew by 2.4% in the fourth quarter of 2019 compared with the same quarter of the previous year. In the third quarter of 2019, the annual changes were +2.6% for both components. In the EU27, the costs of hourly wages and salaries rose by 2.7% and the nonwage component rose by 2.6% in the fourth quarter of 2019. In the third quarter of 2019, annual changes were +3.0% and +2.6% respectively.

In the fourth quarter of 2019 compared with the same quarter of the previous year, hourly labour costs in the euro area rose by 2.2% in industry, by 2.3% in construction, by 2.3% in services and by 2.6% in the (mainly) nonbusiness economy. In the EU27, labour costs per hour grew by 2.7% in industry, by 2.7% in construction, by 2.6% in services and by 2.9% in the (mainly) non-business economy.

In the fourth quarter of 2019, the highest annual increases in hourly labour costs for the whole economy were registered in Romania (+12.0%) and Bulgaria (+11.9%) while the lowest increase was recorded in Luxembourg (+0.4%).

Source: Cyprus News Agency