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Iulian Ernst
Senior Editor

Iulian studied physics at the University of Bucharest, and he sees himself as a physicist in the broadest sense of the word. He also studied economics at Charles University in Prague and Central European University in Budapest, after a master’s program in business administration at Bucharest Academy of Economic Studies. Since recently, he’s been exploring coding and data analysis for business and economics. As a freelancer, he worked for nearly two decades as an analyst for ISI Emerging Markets, Euromonitor International, Business New Europe, but also as a consultant for OMV Petrom and UkrAgroConsult. Iulian was part of the founding team of Ziarul Financiar. At Romania Insider, which he joined in 2018, he is reviewing the latest economic developments for the premium bulletins and newsletters. He would gladly discuss topics such as macroeconomics, emerging markets, Prague, energy sector including renewable, Led Zeppelin, financial services, as well as tech start-ups and innovative technologies. Email him at iulian@romania-insider.com. 

 

Nominal wages in Romania up 2.8% in November to catch up with inflation

The average net wage in Romania rose by 2.8% in November, compared to October, to RON 3,645 (EUR 736.5), according to the statistics office INS.

It was among the highest monthly increases over the past couple of years, visibly encouraged by the rising inflation that has eroded households’ real incomes.

In real terms, the average net wage in November was 0.9% smaller than in the same month of 2020. 

It was the third month in a row when the net wage posted a negative real annual change. The deterioration was prompted by the sharp rise in consumer prices, as the headline inflation has doubled from 3.9% YoY in June to 7.8%-7.9% in October-November.

The volatile activity in some industries will generate more ample variations in the employees’ incomes from one month to another until the production chains return to the pre-crisis smooth functioning. In November, for instance, the wages in automobile production increased by 19% MoM after subdued activity (hence wages) in the previous months.

Overall, however, the pressures for pushing up the nominal wages in order to keep pace with the inflation and energy bills are likely to tighten. Consumers’ weaker confidence has already surfaced in the retail sales figures: the seasonally adjusted sales of non-food items contracted by 5% from April to November.

iulian@romania-insider.com

(Photo source: Shutterstock)

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Profile picture for user iuliane
Iulian Ernst
Senior Editor

Iulian studied physics at the University of Bucharest, and he sees himself as a physicist in the broadest sense of the word. He also studied economics at Charles University in Prague and Central European University in Budapest, after a master’s program in business administration at Bucharest Academy of Economic Studies. Since recently, he’s been exploring coding and data analysis for business and economics. As a freelancer, he worked for nearly two decades as an analyst for ISI Emerging Markets, Euromonitor International, Business New Europe, but also as a consultant for OMV Petrom and UkrAgroConsult. Iulian was part of the founding team of Ziarul Financiar. At Romania Insider, which he joined in 2018, he is reviewing the latest economic developments for the premium bulletins and newsletters. He would gladly discuss topics such as macroeconomics, emerging markets, Prague, energy sector including renewable, Led Zeppelin, financial services, as well as tech start-ups and innovative technologies. Email him at iulian@romania-insider.com. 

 

Nominal wages in Romania up 2.8% in November to catch up with inflation

The average net wage in Romania rose by 2.8% in November, compared to October, to RON 3,645 (EUR 736.5), according to the statistics office INS.

It was among the highest monthly increases over the past couple of years, visibly encouraged by the rising inflation that has eroded households’ real incomes.

In real terms, the average net wage in November was 0.9% smaller than in the same month of 2020. 

It was the third month in a row when the net wage posted a negative real annual change. The deterioration was prompted by the sharp rise in consumer prices, as the headline inflation has doubled from 3.9% YoY in June to 7.8%-7.9% in October-November.

The volatile activity in some industries will generate more ample variations in the employees’ incomes from one month to another until the production chains return to the pre-crisis smooth functioning. In November, for instance, the wages in automobile production increased by 19% MoM after subdued activity (hence wages) in the previous months.

Overall, however, the pressures for pushing up the nominal wages in order to keep pace with the inflation and energy bills are likely to tighten. Consumers’ weaker confidence has already surfaced in the retail sales figures: the seasonally adjusted sales of non-food items contracted by 5% from April to November.

iulian@romania-insider.com

(Photo source: Shutterstock)

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