Romania is the leader of the European Union in the hourly costs growth of its workforce, soaring by 14.7 percent in the third quarter of the year compared to the same period of last year. Overall, the hourly labour costs rose by 1.5 percent in the euro area (EA19) and by 1.9 percent, in the EU28, in the third quarter of 2016, compared with the same quarter of the previous year, according to Eurostat.
It’s the third quarter in row when Romania registers the highest annual increase in labour costs from EU, the growth rhythm registering an acceleration after an increase of 11.9 percent in the first quarter and of 13.3 percent in the second quarter.
The hourly labour costs comprise the salaries and the non-salaries costs, as well as the social contributions paid by the employers. In Romania the salaries costs registered an annual growth by 14.7 percent in the third quarter and the non-salary costs registered an annual growth by 14.8 percent.
The increase in the labour costs was produced mainly because of an increase of 25.6 percent in the hourly costs of the labour costs in non-business sector, where an increase of 11.3 percent in the labour costs in the business sector is added, in both cases are increases above the European average. When looking at the sectors of the economy, Romanian hourly labour costs went up by 14.2 percent in constructions, by 12.7 percent in services and by 9.1 percent in the industry.
In the second quarter of 2016, hourly labour costs increased by 1 percent in the euro area(EA19) and by 1.4 percent in the EU28.
In the euro area, wages & salaries per hour worked grew by 1.6 percent and the non-wage component by 1.2 percent in the third quarter of 2016 compared with the same quarter of 2015.
In the EU28, hourly wages & salaries rose by 2 percent and the non-wage component by 1.5 percent in the third quarter of 2016. In the second quarter of 2016, annual changes were +1.4 percent and +1.7 percent respectively.