Wages - 3. quarter of 2008

In Q3 2008, the average gross monthly nominal wage was CZK 23,144 which is by 7.9% more in the year-on-year comparison, the real wage grew by 1.2%. In the business sphere, the average nominal wage rose by 9.1% and the real wage by 2.3%. In the non-business sphere, the average nominal wage increased by 3.7% and the real wage fell by 2.7%.
In Q3 2008, seasonally adjusted average gross monthly nominal wage (hereinafter only the “average wage“) per actual person increased by 1.8%, seasonally adjusted, compared with the previous quarter.

The average wage accounted for CZK 23,144 and was by only CZK 1,698 higher (7.9%) compared with the same period of 2007. Consumer prices sustained their big growth – for Q3 2008, compared with the same period of the previous year, they increased by 6.6% with the real wage rising by only 1.2%. The average wage increased by CZK 1,953 (9.1 %) to CZK 23,536 in the business sphere, with the real wage rising by 2.3%. In the non-business sphere the wage increase was markedly smaller, the average wage rose by CZK 766 (3.7%) to CZK 21,714, with the real wage falling by 2.7 %.

In Q3 2008, wage differences between industries increased markedly compared with the same period of 2007. The variation coefficient of average wages (by CZ-NACE division) increased by 4.9 percentage points to 41.0%.

The lowest relative growth of nominal wage (by CZ-NACE) was recorded in education (by 2.9%), public administration and defence; compulsory social security (by 3.7%) and health and social work (4.3%). The biggest growth was recorded in fishing (by 16.0%), mining and quarrying (by 15.3%) and agriculture, hunting and forestry (by 13.4%). The highest nominal wage (financial intermediation) was roughly 2.5times higher than the lowest nominal wage (hotels and restaurants).

Even greater difference is apparent in average wages according to institutional sectors. In the long term, the highest average nominal wages are reached in financial institutions (CZK 41,134). The lowest wages (CZK 15,067) were recorded in the household sector (i.e. wages of employees employed by unincorporated natural persons).

In Q1 - Q3 2008 the average gross monthly nominal wage accounted for CZK 22,942, in the year-on-year comparison the increase made CZK 1,833 (8.7%). Consumer prices rose in the given period by 6.9%, the real wage rising by 1.7 %. In the business sphere the average wage rose by CZK 2,147 (10.1 %) to CZK 23,456 , the real wage by 3.0 %. In the non-business sphere the average wage increased by CZK 682 (3.3%) to CZK 21,077, with the real wage falling by 3.4%.

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Note:
Contact: D. Holý, phone (+420) 274052694, e-mail: dalibor.holy@csu.gov.cz
Data source: CZSO direct quarterly survey – see the methodological note under the attached table for details
End of data collection: 4 November 2008
End of data processing: 21 November 2008
The data are preliminary; revised data will be available in March 2009.
Related publication: 3106-08 Registered Number of Employees and their Wages in the CR for Q3 2008, to be brought out in December 2008
(see also http://www.czso.cz/eng/edicniplan.nsf/p/3106-08 )

The average monthly wage is the share of wages and salaries (including premium pay for overtime, direct remuneration and bonuses, refund of wages, etc) per one employee/month. It does not therefore show what wage does each concrete employee receive. Results of structural statistics providing data on employees´ earnings show that almost two thirds of employees have a lower wage than the national average.
It should be mentioned that an employee receives net salary, while the gross wage is such from which the employer pays appropriate amounts on health and social insurance, policy of employment and advance income tax.