Average gross wages in Hungary increased by 10.8 percent year-on-year to HUF 327,100 in October 2018, following a 10.4 percent gain in the previous month. Wages rose at a faster pace in both the public sector (9.6 percent compared to 8.5 percent in September) and the private (11.2 percent compared to 11.1 percent). Considering the first ten months of the year, average gross earnings went up 11.6 percent to HUF 324,400. Earnings growth was impacted by a boost in labour demand, rises of 8% in the minimum wage and 12% in the guaranteed minimum wage as well as salary adjustments affecting specific areas of the public sector and the employees of some state owned public service companies. Wage Growth in Hungary averaged 8.24 percent from 1999 until 2018, reaching an all time high of 26.19 percent in January of 2005 and a record low of -5.30 percent in January of 2009.
Wage Growth in Hungary is expected to be 10.30 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Wage Growth in Hungary to stand at 8.40 in 12 months time. In the long-term, the Hungary Gross Average Wages Growth is projected to trend around 6.00 percent in 2020, according to our econometric models.