27/3/14

Hourly labour costs ranged from €3.7 to €40.1 across the EU28 Member States in 2013

Labour costs in the EU28
Hourly labour costs ranged from €3.7 to €40.1 across the EU28 Member States in 2013



In 2013, average hourly labour costs1 in the whole economy2 (excluding agriculture and public administration) were estimated to be €23.7 in the EU283 and €28.4 in the euro area3 (EA17). However, this average masks significant differences between EU Member States, with the lowest hourly labour costs recorded in Bulgaria (€3.7), Romania (€4.6), Lithuania (€6.2) and Latvia (€6.3), and the highest in Sweden (€40.1), Denmark (€38.4), Belgium (€38.0), Luxembourg (€35.7) and France (€34.3).
Within the business economy, labour costs per hour were highest in industry (€24.6 in the EU28 and €31.0 in the euro area), followed by services (€23.9 and €28.0 respectively) and construction (€21.0 and €24.5). In the mainly non-business economy (excluding public administration), labour costs per hour were €23.2 in the EU28 and €27.7 in the euro area.
Labour costs are made up of wages & salaries and non-wage costs such as employers' social contributions. The share of non-wage costs in the whole economy was 23.7% in the EU28 and 25.9% in the euro area, varying between 8.0% in Malta and 33.3% in Sweden.


These preliminary estimates for 2013, published by Eurostat, the statistical office of the European Union, cover enterprises with 10 or more employees and are based on the 2008 Labour Cost Survey and the Labour Cost Index4.


* Based on Eurostat’s estimate for the 3rd and 4th quarter of 2013. Only the total level is estimated.
Growth in labour costs
Between 2008 and 2013, hourly labour costs in the whole economy expressed in euro have risen by 10.2% in the EU28 and by 10.4% in the euro area.
Within the euro area, the largest increases were recorded in Austria (+18.9%), Slovakia (+17.0%) and Finland (+15.9%). Decreases were observed in Greece (-18.6%) and Portugal (-5.1%).
For Member States outside the euro area, and expressed in national currency, the largest increases in hourly labour costs in the whole economy between 2008 and 2013 were registered in Bulgaria (+44.1%) and Romania (+32.8%), and the smallest in Croatia (+0.7%), Lithuania (+5.0%), the United Kingdom (+6.3%) and Latvia (+6.9%). When comparing labour cost estimates over time, it should be noted that data for those Member States outside the euro area are influenced by exchange rate movements4 if analysed in euro.

  1. Total Labour Costs cover wage and non-wage costs less subsidies. They do not include vocational training costs or other expenditures such as recruitment costs, spending on working clothes, etc.
Wage and salary costs include direct remunerations, bonuses, and allowances paid by an employer in cash or in kind to an employee in return for work done, payments to employees saving schemes, payments for days not worked and remunerations in kind such as food, drink, fuel, company cars, etc.
Non-wage costs include the employers’ social contributions plus employment taxes regarded as labour costs less subsidies intended to refund part or all of the employer’s cost of direct remuneration.
  1. The whole economy (except agriculture and public administration) includes NACE Rev. 2 sections B to N and P to S, and can be subdivided into the following economic activities:
    • The business economy includes NACE Rev. 2 sections B to N; for the EU28 and euro area this accounts for about 76% of the labour costs of the whole economy. It can further be broken down into:
    • Industry includes: Mining and quarrying; Manufacturing; Electricity, gas, steam & air conditioning supply; and Water supply, sewerage, waste management & remediation activities. Industry accounts for around 24% of the whole economy.
    • Construction accounts for around 6% of the whole economy.
    • Services include: Wholesale and retail trade, repair of motor vehicles & motorcycles; Transportation & storage; Accommodation & food service activities; Information & communication; Financial & insurance activities; Real estate activities; Professional, scientific & technical activities; Administrative & support service activities. Services account for around 48% of the whole economy.
    • The mainly non-business economy (except public administration) includes NACE Rev. 2 sections P to S; for the EU28 and euro area this accounts for about 24% of the labour costs of the whole economy. It includes Education; Human health & social work activities; Arts, entertainment & recreation; and Other service activities.
  1. The EU28 includes Belgium (BE), Bulgaria (BG), the Czech Republic (CZ), Denmark (DK), Germany (DE), Estonia (EE), Ireland (IE), Greece (EL), Spain (ES), France (FR), Croatia (HR), Italy (IT), Cyprus (CY), Latvia (LV), Lithuania (LT), Luxembourg (LU), Hungary (HU), Malta (MT), the Netherlands (NL), Austria (AT), Poland (PL), Portugal (PT), Romania (RO), Slovenia (SI), Slovakia (SK), Finland (FI), Sweden (SE) and the United Kingdom (UK).
Up to 31 December 2013 the euro area (EA17) included Belgium, Germany, Estonia, Ireland, Greece, Spain, France, Italy, Cyprus, Luxembourg, Malta, the Netherlands, Austria, Portugal, Slovenia, Slovakia and Finland. From 1 January 2014 the euro area (EA18) also includes Latvia. Data in this News Release refer to EA17, since Latvia was not a part of the euro area at the time to which this data refer (2013).
  1. Estimates for years after 2008 are obtained by extrapolating the 2008 Labour Cost Survey hourly labour cost data expressed in national currencies using the Labour Cost Index (LCI) transmitted by the Member States. In order to calculate monetary estimates in euros and to derive European aggregates, exchange rate movements have to be incorporated. For this purpose, an exchange-rate adjusted LCI index is calculated for non-euro area countries.
The LCI not adjusted for calendar effects is used except for Denmark, France and Sweden where only calendar-adjusted data are available. Discrepancies between the growth rates derived from the 2008 and 2013 values and the growth rates reported in the table are due to rounding.
Additional information is available at:
  1. For France, the aggregate shown for the whole economy also excludes NACE Rev. 2 section P (Education). For Greece, values for 2013 are estimated based on the LCI for 2013 Q1-Q2 and Eurostat estimates based on national accounts data for Q3 and Q4. Share of non-wage cost is based on 2012 data. For Romania the values for the years 2009 – 2012 and for Spain the years 2009-2011 are taken from national sources.




Issued by: Eurostat Press Office

Louise CORSELLI-NORDBLAD
Tel: +352-4301-33 444

For further information on data:

Sammy LAURITSEN

Tel: +352-4301-35 742



Eurostat news releases on the internet: http://ec.europa.eu/eurostat
Labour costs per hour in euro, whole economy (excluding agriculture and public administration)

2008
2010
2011
2012
2013
Non-wage costs
(% of total), 2013
*
Change 2013/2008, %
EA17
25.7
26.9
27.5
28.0
28.4
25.9%
10.4%
EA18
25.5
26.7
27.3
27.8
28.2
25.9%
10.4%
EU28
21.5
22.4
22.9
23.4
23.7
23.7%
10.2%
Belgium
32.9
35.3
36.3
37.2
38.0
27.4%
15.4%
Bulgaria
2.6
3.1
3.3
3.6
3.7
15.8%
44.1%
Czech Republic
9.2
9.8
10.5
10.5
10.3
26.8%
12.4%
Denmark
34.4
36.7
37.3
38.0
38.4
12.4%
11.7%
Germany
27.9
28.8
29.6
30.5
31.3
21.8%
12.2%
Estonia
7.8
7.6
7.9
8.4
9.0
26.7%
15.2%
Ireland
28.9
28.9
28.7
29.0
29.0
13.8%
0.5%
Greece5
16.7
17.0
16.2
15.0
13.6
19.1%
-18.6%
Spain5
19.4
20.7
21.2
21.0
21.1
26.6%
8.7%
France5
31.2
32.6
33.6
34.3
34.3
32.4%
9.9%
Croatia
9.2
8.6
8.7
8.7
8.8
15.4%
-4.0%
Italy
25.2
26.8
27.2
27.6
28.1
28.1%
11.4%
Cyprus
16.7
17.7
18.0
18.0
17.2
16.6%
2.6%
Latvia
5.9
5.5
5.7
6.0
6.3
20.6%
7.1%
Lithuania
5.9
5.4
5.5
5.8
6.2
28.5%
5.0%
Luxembourg
31.0
32.9
33.9
34.7
35.7
13.4%
15.4%
Hungary
7.8
7.0
7.3
7.5
7.4
24.6%
-5.2%
Malta
11.3
11.9
12.2
12.5
12.8
8.0%
13.9%
Netherlands
29.8
31.1
31.6
32.3
33.2
24.7%
11.7%
Austria
26.4
28.0
29.0
30.5
31.4
26.7%
18.9%
Poland
7.6
7.2
7.3
7.4
7.6
16.7%
0.1%
Portugal
12.2
12.6
12.6
11.6
11.6
19.3%
-5.1%
Romania5
4.2
4.1
4.2
4.1
4.6
23.2%
10.6%
Slovenia
13.9
14.6
14.9
14.9
14.6
14.7%
4.9%
Slovakia
7.3
7.7
8.0
8.3
8.5
27.4%
17.0%
Finland
27.1
28.8
29.5
30.8
31.4
22.1%
15.9%
Sweden
31.6
33.6
36.4
39.2
40.1
33.3%
26.9%
United Kingdom
20.9
20.0
20.1
21.6
20.9
15.3%
-0.3%
Norway
37.8
41.6
44.5
48.5
48.5
18.9%
28.2%
* 2012 data for Greece
Labour costs per hour in national currency for non-euro area countries
whole economy (excluding agriculture and public administration)

2008
2010
2011
2012
2013
Change 2013/2008, %
Bulgaria
BGN
5.0
6.0
6.5
7.0
7.2
44.1%
Czech Republic
CZK
228.3
247.1
257.0
265.2
267.2
17.0%
Denmark
DKK
256.3
273.1
278.1
283.1
286.4
11.7%
Croatia
HRK
66.1
62.7
64.4
65.7
66.6
0.7%
Latvia
LVL
4.1
3.9
4.0
4.2
4.4
6.9%
Lithuania
LTL
20.3
18.5
19.1
20.0
21.3
5.0%
Hungary
HUF
1 971.0
1 938.9
2 029.8
2 162.1
2 205.8
11.9%
Poland
PLN
26.8
28.8
30.2
31.1
32.1
19.6%
Romania5
RON
15.5
17.4
17.7
18.5
20.5
32.8%
Sweden
SEK
304.2
320.2
328.7
341.0
347.2
14.2%
United Kingdom
GBP
16.7
17.1
17.4
17.5
17.7
6.3%
Norway
NOK
311.0
333.1
346.7
362.9
378.6
21.7%
Labour costs per hour in euro, breakdown by economic activity in 2013

Business economy
Industry
Construction
Services
Mainly non-business (excl. public admin.)
EA17
28.6
31.0
24.5
28.0
27.7
EA18
28.4
30.8
24.3
27.7
27.4
EU28
23.8
24.6
21.0
23.9
23.2
Belgium
41.2
43.4
33.6
41.2
31.1
Bulgaria
3.7
3.4
2.8
4.1
3.7
Czech Republic
10.4
10.2
9.5
10.9
9.5
Denmark
39.6
38.7
34.6
40.8
35.9
Germany
31.7
36.5
24.6
29.0
29.5
Estonia
9.3
9.1
9.9
9.4
8.0
Ireland
27.6
30.7
25.5
26.7
34.3
Greece5
:
:
:
:
:
Spain5
20.9
23.3
20.3
20.1
22.0
France5
35.0
36.8
30.6
34.8
:
Croatia
8.5
8.8
7.9
8.4
10.1
Italy
28.0
28.0
26.5
28.2
28.9
Cyprus
15.9
14.4
14.4
16.6
25.3
Latvia
6.5
6.2
5.9
6.8
5.5
Lithuania
6.2
6.1
5.8
6.3
6.1
Luxembourg
35.6
31.5
23.6
39.2
36.8
Hungary
7.8
8.0
6.2
7.9
6.1
Malta
12.6
12.8
9.5
13.0
13.5
Netherlands
32.6
c
c
c
c
Austria
31.3
33.8
30.0
30.2
32.2
Poland
7.4
7.6
6.4
7.5
8.5
Portugal
11.5
10.1
10.3
12.6
12.4
Romania5
4.7
4.7
3.8
5.1
4.3
Slovenia
14.3
14.7
11.4
15.0
16.0
Slovakia
8.8
9.2
8.3
8.6
7.6
Finland
31.8
34.0
33.2
30.2
30.4
Sweden
43.1
45.1
38.5
42.8
34.6
United Kingdom
21.1
22.5
23.1
20.6
20.1
Norway
47.7
53.3
38.7
46.9
50.6
: Data not available c confidential
Labour costs per hour in national currency for non-euro area countries,
breakdown by economic activity in 2013

Business economy
Industry
Construction
Services
Mainly non-business (excl. public admin.)
Bulgaria
BGN
7.2
6.7
5.6
8.0
7.2
Czech Republic
CZK
271.5
265.1
247.5
283.5
247.6
Denmark
DKK
295.2
288.3
258.1
304.5
267.7
Croatia
HRK
64.3
66.3
60.2
63.9
76.6
Latvia
LVL
4.6
4.4
4.2
4.8
3.9
Lithuania
LTL
21.4
20.9
20.1
21.9
21.1
Hungary
HUF
2 321.6
2 363.5
1 835.1
2 351.2
1 814.1
Poland
PLN
31.2
31.9
27.0
31.4
35.8
Romania5
RON
21.0
20.6
16.6
22.7
19.1
Sweden
SEK
372.8
389.8
333.3
370.5
299.2
United Kingdom
GBP
18.0
19.1
19.6
17.5
17.1
Norway
NOK
372.1
416.3
301.8
366.1
395.4