Average net salary in Romania up 12.3% but under annual inflation
The average net salary in Romania was RON 3,977 (EUR 809) in June 2022, up by 1.2% relative to the previous month and 12.3% when compared to the same period of last year. Nevertheless, the average net salary could not keep up with the inflation rate, which stood at 15% the same month.
The highest wages were registered in the IT sector, where the average net salary was RON 9,331 (EUR 1,900), while the lowest were in the clothing industry (RON 2,186).
The real salary index was 97.6% in June 2022 compared to June 2021, and 100.4% compared to May.
The average net salary was still ahead of the inflation in February of this year. The first had an annual growth rate of 10.6%, while the second was at 8.5%. Fast-forward to April, wage growth was at 11.4% and inflation rose to 13.8%. Factoring in the inflation reveals that the real average net salary in Romania saw a decrease in the period under consideration.
Average wages increased in June in most sectors of the economy as a result of the granting of quarterly, half-year, annual, or performance bonuses or other financial rights, including meal vouchers. The increase can also be explained through the application of updated fiscal regulations regarding tax, contribution to social insurance, and contribution to social health insurance for certain categories of employees.
The most impressive increases in annual net wages were in the coal extraction sector (24.2%), the food industry (23.2%), and agriculture, hunting and connected activities (22.1%). The oil and mining industry also saw increases between 11.5% and 18%. Most sectors of the Romanian economy, however, saw an increase in annual average wages between 4 and 7%.
Other categories of employees experienced drops in their average net salaries. Those working in the manufacturing of tobacco products saw their wages decrease by 16.5%, while workers in crude oil and natural gas extraction experienced a 10% drop. Employees in real estate transactions, manufacturing of basic pharmaceutical products, and financial intermediation, among others, also saw drops between 1.5 and 6%.
(Photo source: Lupoianflaviu | Dreamstime.com)
