Prague – The Czech Statistical Office (ČSÚ) will today publish data on the development of average wages in the Czech Republic for the second quarter. According to economists’ estimates, the average wage in the Czech Republic fell by almost ten percent in real terms, i.e. after including inflation, in the second quarter of this year. At the same time, according to analysts, high inflation will devalue wage growth this year. They estimate that average wages rose by four to five percent in the second quarter.

The average inflation reached 15.8 percent in this period, which is not enough for wage growth, according to Raiffeisenbank analysts. “We estimate that average nominal wages rose four percent year-on-year in the second quarter of this year, following growth of 7.2 percent in the first quarter. The slowdown in year-on-year growth is mainly due to the high comparative base of last year’s second quarter, which was marked by extraordinary rewards in the healthcare sector and social care related to the pandemic,” Komerční banka analysts added.

In general, two-thirds of employees do not reach the average wage. The average salary in the Czech Republic in the first quarter of this year increased by 7.2 percent year-on-year to CZK 37,929. The employees thus improved by an average of 2,533 crowns. However, after accounting for inflation, gross monthly earnings fell by an average of 3.6 percent compared to the same period last year.