Euro Area Labour Costs

Last Release

Sep 30, 2022

Actual

112.4

Units In

Points

119.2

Frequency

Quarterly

Next Release

Jun 17, 2024

Time to Release

2 Months 28 Days 1 Hours

Highest	Lowest	Average	Date Range	Source
119.2 Jun 2022	83.4 Mar 2009	100.39 Points	2009-2022	Eurostat

The Labour Cost Index in the Euro Area is a short-term indicator showing the development of hourly labour costs incurred by employers, in nominal terms, that is without adjusting for price developments. It is calculated dividing the labour cost in national currency by the number of hours worked. The quarterly changes in hourly employers’ costs are measured for total labour costs and its main components: wages and salaries; and non-wage costs (labour costs other than wages and salaries). Total labour costs (TOT) 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.

Latest Updates

Hourly labor costs in the Euro Area increased by 3.4% year-on-year in the fourth quarter of 2023, the least since the third quarter of 2022, following a downwardly revised 5.2% rise in the previous three-month period. Wages and salaries per hour worked were up 3.1% (vs 5.2% in the previous quarter) while the non-wage component advanced by 4.2% (vs 5%). Within the bloc's economic activities, the largest labor cost increases were observed in construction (4.4% vs 6%), industry (4.2% vs 5.7%) and services (4.1% vs 5.7%). Among the largest economies, labour costs slowed in Germany (2.5% vs 5.6%), France (2.8% vs 3.2%) and Spain (5.2% vs 5.5%) while nominal labour costs in Italy declined 0.1% (vs +2%).