Data out: Hungarian wages worth less once again

Average net earnings in Hungary increased by more than 15% compared to a year earlier, according to the statement of the Hungarian Central Statistical Office (KSH) on Tuesday. This means that including benefits, a worker receives an average of HUF 383,500 (EUR 1006) every month. But the value of our wages fell again in August.

Average gross earnings rose by 15.2% and average net earnings by 15.1%, while real earnings fell by 1.0% compared to a year earlier, KSH reported. The average gross wage without benefits increased by 14.1 percent, to HUF 528,500 (EUR 1387).

Adding to data from a month earlier, the Ministry of Economic Development wrote in September that the decline in real wages could stop in the 9th month and then resume to increase as purchasing power of wages, consumption and economic growth recover.

Sándor Czomba, the state secretary for labour policy, said the data showed average wages had grown by HUF 73,000 in 2023, bringing wages to almost three times higher than those during Prime Minister Ferenc Gyurcsány’s tenure before 2010 (it is important to note that before 2010, the forint was much stronger than it is now – ed.).

Thanks to the government’s efforts to cut down inflation, the purchase value of wages is estimated to have stagnated in August. The trend will hopefully turn in September, he said. Growing real wages are expected to boost consumption and so to restore economic growth, he said.

Don’t forget to pay attention to the development of the Hungarian currency today:

• Forint in focus today: Interest rate decision on the table