Czech Republic sees 7.2% increase in average wages in Q4 2024

The average gross monthly nominal wage in the Czech Republic saw a significant rise in the fourth quarter of 2024, increasing by 7.2% year-on-year, according to data from the Czech Statistical Office (CZSO). In real terms, after adjusting for inflation, wages grew by 4.2%, reflecting positive wage growth amid stable economic conditions.

The latest figures reveal that the average gross monthly wage per full-time equivalent (FTE) employee in the national economy reached CZK 49,229, marking a CZK 3,322 increase compared to the same period in 2023. Over the same timeframe, consumer prices rose by 2.9%, reinforcing the real-term wage growth of 4.2%. The total volume of wages in the economy expanded by 7.4%, while the number of employees increased slightly by 0.1%. Seasonally adjusted data also showed a quarter-on-quarter wage increase of 1.7%.

Commenting on the report, Jitka Erhartová, Head of the Labour Statistics Unit at CZSO, highlighted the broader trend of wage growth throughout 2024. “For the whole year 2024, inflation stood at 2.4%, while nominal wages increased by 7.1%, leading to a real-term wage growth of 4.6%,” she stated. The annual average wage in 2024 was recorded at CZK 46,165, an increase of CZK 3,044 compared to the previous year.

Wage Growth by Sector

A sectoral breakdown of wage growth showed notable differences across industries. The highest increases were observed in real estate activities (16.0%), professional, scientific, and technical activities (12.2%), and accommodation and food service activities (10.3%). Meanwhile, more modest wage growth was recorded in mining and quarrying (1.2%), public administration and defence (2.3%), and education (2.3%).

Median Wage and Income Distribution

The median wage in Q4 2024 stood at CZK 41,739, reflecting a year-on-year increase of 4.2%. The data also showed a gender disparity, with the median wage for men reaching CZK 45,004, while women earned a median wage of CZK 38,643. Furthermore, 80% of employees had wages ranging between CZK 21,577 and CZK 80,431.

The wage growth data indicates a stable economic environment with positive real income growth for Czech workers. However, disparities between industries and gender wage gaps remain key points for economic policymakers to monitor in the coming year.