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17/11/2018  
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EMPLOYMENT
Eurostat

Annual growth in labour costs at 2.2% in euro area

Nominal hourly labour costs, whole economy (Eurostat)

Hourly labour costs rose by 2.2% in the euro area (EA19) and by 2.6% in the EU28 in the second quarter of 2018, compared with the same quarter of the previous year. In the first quarter of 2018, hourly labour costs increased by 2.1% and 2.8% respectively. These figures are published by Eurostat, the statistical office of the European Union.
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The two main components of labour costs are wages & salaries and non-wage costs. In the euro area, the cost of wages & salaries per hour worked grew by 1.9% and the non-wage component by 2.9% in the second quarter of 2018 compared with the same quarter of the previous year. In the first quarter of 2018, the annual changes were +1.8% and +2.8% respectively. In the EU28, both the costs of hourly wages & salaries and the non-wage component rose by 2.6% in the second quarter of 2018. In the first quarter of 2018, annual changes were +2.7% and +3.1% respectively.

Breakdown by economic activity In the second quarter of 2018 compared with the same quarter of the previous year, hourly labour costs in the euro area rose by 2.2% in industry, by 2.7% in construction, by 2.5% in the services and by 1.5% in the (mainly) nonbusiness economy. In the EU28, labour costs per hour grew by 2.8% in industry, by 4.1% in construction, by 2.7% in services and by 2.2% in the (mainly) non-business economy. 

In the second quarter of 2018, the highest annual increases in hourly labour costs for the whole economy were registered in Romania (+15.6%), Latvia (+11.7%) and Hungary (+10.2%), while the lowest annual increases in hourly labour costs were recorded in Luxembourg (+0.6%), Spain (+0.7%) and the Netherlands (+0.9%).

Other issues Employment
Euro area job vacancy rate at 2.1%
Employment up by 0.4% in both the euro area and the EU28
European Parliament vote in favour the legal framework for the European Solidarity Corp
Employment Social review confirms positive trends but highlights needs for skills and and inclusion
New EU rules ensure better protection for 120 million holidaymakers this summer
Euro area unemployment at 8.4%
Commission welcomes agreement between EU Member States on key files for a more social Europe
Euro area job vacancy rate at 2.1% -EU28 rate at 2.2%
New project to tackle youth unemployment in the south Mediterranean region
Euro area unemployment at 8.5% - EU28 at 7.1%

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