Average Wage Exceeded CZK 34,000 for the First Time, 2/3 of Population Earns Less
Wage growth has been steadily rising in the Czech Republic. This trend has not come to an end with the cooling of the economy. Between April and June 2019, the average wages in the Czech Republic rose by over 7% year-on-year, thus breaking the bar for 34 thousand crowns for the first time. However, it is true that two-thirds of workers do not reach this wage. Photo: Jobspin Job Fair. Credit: Casadei Graphics / Jobspin.
Brno, Sep 3 (BD) – According to today’s data released by the Czech Statistical Office (CZSO), the average wage increased to CZK 34,105 in Q2 2019. This is 2,290 or 7.2% more compared to the same period last year. In real terms, after deducting inflation, Czech wages increased by 4.3%. Consumer prices increased by 2.8% over the period. The public sector was the main driver of investment and growth, economists agree.
On average, two-thirds of employees do not reach the average salary. Most people’s wages approach the so-called median, which does not include wage extremes, the highest and lowest values.
The median has not yet broken the “psychological threshold amount” of CZK 30,000. It grew at a similar rate as the average wage, by almost 7% to CZK 29,127. Men earned a median of 31,764 crowns, while women earned over CZK 5,000 less, CZK 26,375.
Eighty percent of employees received wages between CZK 14,955 and CZK 55,259, the statistical office said.
The job market demand remained extremely high in the first half of 2019. The results of the Labor Force Sample Survey (LFSS) confirmed a record high overall employment, which reached almost 5.3 million people; the second quarter of 2019 brought employment rate of 75% in the 15–64 age group.
Changes in the age structure of the employed are significant. CZSO reports a decrease in the number of young working persons and a significant increase in the groups of the employed over the age of 45, including an increase in the oldest category of 65 years and more. The entire increase in employment is on the part of employees; the number of the self-employed has decreased.
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