8% growth in Czech wages in 2017
The average monthly salary in the Czech Republic has for the first time surpassed 30 thousand crowns, or approximately 1,183 euros. Despite this growth, some 65 percent of Czech employees make less than the average 30 thousand crowns. Photo: Pixabay
Brno, Apr 9 (BD) – According to the latest data released by the Czech Statistical Office on 9/3/2018, the growth in nominal average wages in 2017 was 8% compared to the previous year’s average salary.
“This was the first time it went above 30,000 crowns (€ 1,183). The overall wage growth was caused by the shrinking labor market and growing salaries in the public sector,” explained Jana Steckerová of Komerční banka according to the Czech News Agency this March.
Despite the growth, “65 percent of employees make less than the average 30,000 crowns,” wrote Ruth Fraňková in her article published on Radio Praha, 29/3/2018.
The median monthly wage, that divides the income distribution into two equal groups (i.e. half of all employees earn less than this amount), showed an 8.9% year-on-year increase in the fourth quarter of 2017, reaching CZK 27,320 (€ 1,078).
Average gross wages and salaries, 4th quarter of 2017, Czech Statistical Office. Release Date: March 9, 2018.
|Gross average wage||CZK 31 646||€ 1,248|
|Median wage||CZK 27 320||€ 1,078|
Average gross wages and salaries, year-on-year increase, Czech Statistical Office. Release Date: March 9, 2018.
|The year-on-year increase in %, 4th quarter of 2017|
* Real wage is nominal wage adjusted for inflation.
Women’s salaries rose more compared to men’s salaries in 2017, while people with lower education saw bigger increases than employees with university education, according to Radio Praha.
The salaries of low earnings jobs increased by 13%, while the median wage of university-educated people reached CZK 40,000 (1,579.40 €) for the first time.
The last five years have marked a significant improvement in terms of monthly wages in the Czech Republic.
According to data from Trading Economics, the growth over the past three years (Jan 2015-Jan 2018) has amounted to 6,311 crowns or 248.9 € per month.
In 2017 alone, the monthly wage increased by almost one hundred euros – the average salary in January 2018 was CZK 31,646 (€ 1,248) compared to CZK 29,346 (€ 1,158) in January 2017.
Conversion: Currency converted at XE Currency Converter on April 6, 2018.
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