Wages continued to increase in the last quarter and also in 2020 as a whole, the average wage exceeded EUR 1100 per month in the SR at the annual level

The average wage of an employee maintained its growth in 2020, despite the coronavirus pandemic, it only slowed its rate by a half to 3,8 % and amounted to the value of EUR 1 133. In the last quarter, the year-on-year growth rate of average wage was 5,8 %. At the end of the year, for the first time, average wages exceeded  EUR 1 000 in all eight regions of the SR.

The average nominal monthly wage of an employee in the economy of the SR reached EUR 1 245 in the 4th quarter last year, it was by 5,8 % higher year-on-year. Despite the fact that the year 2020 was marked by the Covid-19 crisis, the impact of dampening measures on economic performance affected a wage growth at the national level less than expected. Although average wages fell by 1,2 % year on year in the second quarter of 2020, they returned to a rising trend in the third and fourth quarters.

After taking into account the real inflation rate, the wage rose by 4,2 % in the 4th of 2020. Compared to the 3rd quarter of 2020, the seasonally adjusted average wage increased by 1,9 %.

Compared to the same period of 2019, the average nominal monthly wage increased in all monitored sectors, with the exception of the two most affected sectors, namely accommodation and food service activities, where an average earning fell by 14,4 % and in arts, entertainment and recreation by 1,5 %. In the other 17 sectors, wages increased, from 0,2 % in administrative service activities to 14,6 % in health care and social assistance. An increase in the average wage above 10% was recorded in education (by 10,3 %) and also significantly in public administration and defence (by 9,6 %).

From the territorial point of view, an increase in the average wage in all regions, the highest relative increase of 7,6 % was in Prešovský kraj and by 6,1 % in Trnavský kraj and also Žilinský kraj.

At the same time, for the first time, an average gross wage exceeded the level of EUR 1 000 in all eight regions of Slovakia (at the quarterly level) and ranged from EUR 1 007 in Prešovský kraj to  EUR 1 530 in Bratislavský kraj. As for the regions except the capital city´s region, the highest average wage was  in Žilinský kraj (EUR 1 152) in the last three months of 2020.

Average monthly wage of an employee in 2020

The average nominal monthly wage of an employee continued to increase in 2020, despite the coronavirus pandemic, it rose by 3,8 % to EUR 1 133. Wages thus increased by an average of EUR 41. Although the growth rate slowed by a half compared to 2019, wages still exceeded the level of EUR 1 100 on average.

In real terms, after taking into account a rise in consumer prices, the wage increased by 1,9 % year on year. Compared to the same period in 2019, a real wage growth was by 3,1 percentage points slower.

As for the nineteen sectors of the economy, 17 of them recorded a year-on-year growth, average earnings dropped in two sectors. A significant decrease at the quarter-round level, but also at the year-round level was reflected in accommodation and food service activities, where the average wage fell by 6,8 % to EUR 613. The lagging behind of remuneration for work in this sector, which has led the rankings of the lowest wages in the SR in the long-term, has thus deepened. Average wages also decreased in administrative service activities by 1,2 %.

In other sectors, the average nominal monthly wage increased, most significantly for employees in health care and in social assistance sector by 8,7 % and in public administration and defence by 8,5 %. The highest average wage approached the level of EUR 2000, in sectors that are leaders of wage tables in information and communication and in the sector of financial and insurance activities in the long-term.

In 2020, average wages grew in all regions, relatively fastest in Prešovský kraj (by 5,3 %), Banskobystrický kraj (by 4,8 %) and Nitriansky kraj (by 4,2 %), which are regions with lower average wage. Even in 2020, as in previous years, the average wage above the national average was only in Bratislavský kraj (EUR 1 412). At the same time, this region had the highest absolute increase in the average wage (by EUR 53), as a result of which regional differences in remuneration did not decrease compared to 2019.