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HomeWorldWage growth rates in...
September 7, 2023

Wage growth rates in Ukraine

By David
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    Raising wages in Ukraine is unsystematic and often does not cover inflation due to the difficult situation and Russia’s war against our country.

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    .

    This is stated in the macroeconomic and monetary review of the NBU.

    The regulator pointed out that the revival of demand for labor in the face of difficulties in finding qualified workers and a limited supply of labor in general put pressure on the growth of nominal wages. Budget payments also support household income. However, due to significant uncertainty, the situation with wage income remains difficult.

    According to a survey by the Institute for Economic Research, in the first half of 2023, the majority of enterprises (59%) did not change salaries. Those who raised wages (34% of respondents) increased it by an average of 12% since the beginning of the year in nominal terms.

    Only 14% of the surveyed enterprises plan to raise salaries until the end of 2023, 40% do not plan to raise wages, and 46% are undecided.

    The polls also indicated a further increase in labor market disparities – 38% of respondents surveyed by the IED in July noted a lack of qualified workers (in April there were 31%).

    Recall that the minimum wage in Ukraine from January 1, 2024 can be increased to UAH 7,100, and from July 1 to UAH 8,000.

    Source: Racurs

    David
    David

    I am David Wyatt, a professional writer and journalist for Buna Times. I specialize in the world section of news coverage, where I bring to light stories and issues that affect us globally. As a graduate of Journalism, I have always had the passion to spread knowledge through writing.

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