Salary rises but inflation reduces real earning in Q1

The index of wage and salary earnings, which measures the rise in the nominal earnings of full-time wage and salary earners, rose by 3.2 per cent in January to March 2023 compared to the stipulated period in the previous year, according to Statistics Finland.

Real earnings, however, decreased by 4.8 per cent because the rise in consumer prices was faster than that in the earnings level.

Non-recurring items contributed to the growth in the index of wage and salary earnings in the first quarter of 2023.

The index for regular earnings, which better describes a permanent change in the level of earnings, rose clearly less than the index of wage and salary earnings in the first quarter of 2023.