In the fourth quarter of 2024 the hourly labour costs rose by 3.7% in the euro area and by 4.3% in the EU, compared with the same quarter of the previous year. These figures are published by Eurostat, the statistical office of the European Union.

The two main components of labour costs are wages & salaries and non-wage costs.

In the euro area, in the fourth quarter of 2024 compared with the same quarter of the previous year

  • the costs of hourly wages & salaries increased by 4.1%, while

  • the non-wage component increased by 2.6%.

In the EU, in the fourth quarter of 2024 compared with the same quarter of the previous year

  • the costs of hourly wages & salaries increased by 4.7% and

  • the non-wage component increased by 3.0%.

Breakdown by economic activity

In the fourth quarter of 2024 compared with the same quarter of the previous year, hourly labour costs in the euro area rose by 3.3% in the (mainly) non-business economy and by 3.9% in the business economy:

  • +4.3% in industry,

  • +4.0% in construction and

  • +3.7% in services.

In the EU, hourly labour costs grew by 4.1% in the (mainly) non-business economy and by 4.4% in the business economy:

  • +4.9% in industry,

  • +4.5 % in construction and

  • +4.2% in services.

In the EU, in the fourth quarter of 2024 compared with the same quarter of the previous year, the economic activity (NACE Rev. 2 sections) that recorded the highest increases in hourly wage costs were:

  • B – ‘Mining and quarrying’ (+6.8%) and

  • R – ‘Arts, entertainment and recreation’ (+5.6%).

The lowest annual increase was recorded in NACE Rev. 2 section L – ‘Real estate activities’ (+2.9%).

In the EU, in the fourth quarter of 2024 compared with the same quarter of the previous year, the economic activity (NACE Rev. 2 sections) that recorded the highest increases in the non-wage component were:

  • B – ‘Mining and quarrying’ (+7.1%) and

  • N – ‘Administrative and support service activities’ (+4.4%).

The lowest annual increase was recorded in NACE Rev. 2 section L – ‘Real estate activities’ (+1.3%).

Hourly wage costs across countries

In the fourth quarter of 2024 compared with the same quarter of the previous year, the highest increases in hourly wage costs for the whole economy were recorded in Croatia (+13.9%), Poland (+13.8%), Romania (+13.1%) and Bulgaria (+13.0%). Three more EU Member States recorded an increase of 10% or more, namely: Hungary (+11.9%), Latvia (+11.4%) and Lithuania (+10.7%).

Source: Eurostat
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