In 2017, the average monthly gross wages and salaries were 1,221 euros

While in 2016, the annual increase in the average monthly gross wages and salaries was 7.6%, the growth slowed down in 2017, dropping close to the level of 2014 and 2015, when the annual increase remained at around 6%.

In 2017, the annual increase in the average monthly gross wages and salaries was the slowest in the 1st quarter, accelerating near the year-end.

Real wages, which take into account the influence of the change in the consumer price index, increased compared to 2016, due to growing consumer prices, slower than the average monthly gross wages and salaries. Compared to 2016, real wages rose by 3%. While in 2016, real wages increased almost as fast as the average monthly gross wages and salaries, the growth in real wages slowed down in 2017.

In 2017, compared to the previous year, irregular bonuses and premiums per employee remained relatively stable, increasing 1.7%. Without irregular bonuses and premiums, the average monthly gross wages and salaries increased 6.7%.

In 2017, the average monthly gross wages and salaries continued to be the highest in information and communication (2,094 euros) and in financial and insurance activities (1,996 euros), and the lowest in other service activities, where the average monthly gross wages and salaries were almost three times smaller.

The year-over-year increase in average monthly gross wages and salaries was the fastest in mining and quarrying (11.1%), information and communication (10.2%) and energy (9.1%). The average monthly gross wages and salaries increased in almost all economic activities, excluding agriculture, forestry and fishing, where the average monthly gross wages and salaries remained close to the level of 2016 (0.4%).

In the public sector, including state and municipal institutions and enterprises, the average monthly gross wages and salaries amounted to 1,265 euros (year-over-year growth 7.9%), and in the private sector, including enterprises owned by Estonian and foreign private entities, to 1,206 euros (year-over-year growth 6.1%).

In 2017, by county, the average monthly gross wages and salaries continued to be the highest in Harju (1,353 euros) and Tartu (1,215 euros) counties and the lowest in Hiiu (883 euros) and Saare (876 euros) counties. The year-over-year growth in monthly gross wages and salaries was the fastest in Rapla, Ida-Viru and Võru counties. The average monthly gross wages and salaries remained relatively constant compared to 2016 in Hiiu, Lääne and Saare counties.

According to the Wages and Salaries Statistics Survey, in 2017, compared to the previous year, the number of employees converted to full-time units increased 4%. The biggest year-over-year increase in the number of employees in full-time units occurred in real estate activities, administrative and support service activities, agriculture, forestry and fishing, and in information and communication. The economic activities that saw a decrease in the number of employees in 2017 include transportation and storage, professional, scientific and technical activities, and public administration and defence; compulsory social security. In 2017, compared to 2016, the number of employees converted to full-time units decreased in state institutions and enterprises (2%) and increased the most in enterprises owned by Estonian private entities (7%).

In 2017, the average hourly gross wages and salaries were 7.40 euros; compared to 2016, the hourly gross wages and salaries increased 7.2%.

In 2017, the average monthly labour costs per employee were 1,648 euros and the hourly labour costs 10.99 euros. Compared to 2016, the average monthly labour costs per employee increased 6.5%.

4th quarter of 2017

The average monthly gross wages and salaries were the highest in the 4th quarter – 1,271 euros, having increased 7.5% compared to the 4th quarter of 2016. The average monthly gross wages and salaries were 1,231 euros in October, 1,251 euros in November and 1,330 euros in December. In the 4th quarter of 2017, the average hourly gross wages and salaries were 7.67 euros, having increased 8.3% compared to the 4th quarter of 2016.

In the 4th quarter of 2017, compared to the 4th quarter of 2016, the average monthly gross wages and salaries increased the most in real estate activities (14.4%), financial and insurance activities (14%) and in public administration and defence; compulsory social security (13.4%). The annual increase in average monthly cross wages and salaries was the slowest in arts, entertainment and recreation (1.8%) and in transportation and storage (2.7%).

In the 4th quarter of 2017, compared to the 4th quarter of 2016, irregular bonuses and premiums increased 11.4% per employee. Irregular bonuses and premiums affected the year-over-year increase in average monthly gross wages and salaries of the 4th quarter by 0.2 percentage points. Without irregular bonuses and premiums, the average monthly gross wages and salaries increased 7.3% compared to the 4th quarter of 2016.

Statistics Estonia conducts the Wages and Salaries Statistics Survey on the basis of an international methodology since 1992. In 2017, the sample included 12,349 enterprises, institutions and organisations. The average monthly gross wages and salaries have been given in full-time units to enable a comparison of different wages and salaries, irrespective of the length of working time. Calculations of the monthly gross wages and salaries are based on payments for time actually worked and remuneration for time not worked. The hourly gross wages and salaries do not include remuneration for time not worked (holiday pay, benefits, etc.). In short-term statistics, the average gross wages and salaries are measured as a component of labour costs. Labour costs include gross wages and salaries, employer’s contributions and employer’s imputed social contributions to employees.

The statistics are based on the questionnaire “Wages and salaries”, the deadline of which was 18 January 2018. Statistics Estonia published the quarterly summary in 30 working days. For the statistical activity “Wages and salaries”, the main representative of public interest is the Ministry of Economic Affairs and Communications, commissioned by whom Statistics Estonia collects and analyses the data necessary for conducting the statistical activity.