Wages - 2. quarter of 2005

In Q2 2005, the seasonally adjusted average gross monthly wage per actual person was 0.9% up on Q1 2005 (nominal terms).

The average gross monthly nominal wage (hereinafter referred to as the ‘average wage’ only) amounted to CZK 18 763, and was higher by CZK 965 than in the corresponding period of 2004. It rose by CZK 968 to CZK 18 863 in the business sphere and by CZK 949 to CZK 18 425 in the non-business sphere.

In both spheres, and thus in the whole of the CR, the average wage rose at the same rate: by 5.4%. This identical relative nominal wage rise corresponded, with consumer prices rising by 1.6%, to an identical real wage rise of 3.7% in both spheres and the country too.

Wage development in the non-business sphere, where the growth of wages slowed down considerably in comparison with Q1 2005, was influenced by adjustments to the pay of employees in public services and administration as of 1 January 2005 (see the CZSO’s analysis for details).

In January-June 2005, the average wage reached CZK 18 220, rising by CZK 966 (+5.6%) year-on-year. Consumer prices rose by 1.6% and the real wage by 3.9% in the same period. The business sphere saw its average wage grow by CZK 898 (+5.2%) to CZK 18 317, with the real wage rising by 3.5%. In the non-business sphere, the average wage went up by CZK 1 187 (+7.1%) to CZK 17 895 and an increase of 5.4% was recorded for the real wage.

In January-June 2005, wage differences between industries became wider compared to the corresponding period in 2004. The variation coefficient of average wages (by CZ-NACE division) grew by 2.7 percentage points to 37.5%.

The lowest relative growth of nominal wages was recorded in the following kinds of activities (CZ-NACE sections): hotels and restaurants (+1.6%), manufacturing (+4.2%), and health and social care (+4.4%), while the highest occurred in financial intermediation (+9.6%), public administration and defence, compulsory social security (+8.8%), and real estate, renting and business activities (+8.4%). The highest nominal wage (financial intermediation) was about three times the lowest nominal wage (hotels and restaurants).

The highest average wages are paid in the long run in internationally owned companies (CZK 23 189), and the lowest are recorded for entities owned by cooperatives (CZK 11 822).

Analysis - Commentary on the development of average wages of employees

---

Note
Contact: Ivo Makalouš, phone +(420) 274052159, e-mail: ivo.makalous@csu.gov.cz
Data source: CZSO direct quarterly survey – see the methodological note under the attached table for details
End of data collection: 15 August 2005
End of data processing: 22 August 2005
The data are preliminary; revised data will be available in November 2005.
Related publication: 3106-05 Registered Number of Employees and their Wages in the CR for the 2nd Quarter of 2005 , to be brought out in September 2005