Analytics, Banks, Financial Services, Latvia, Wages

Swedbank chief economist in Latvia Lija Strasuna told LETA that, taking into account labor shortages, wages will increase in practically all industries next year. The average gross wage in Latvia will probably rise around 7 percent, which is a little less than this year when higher minimum wage also contributed to wage growth, while in 2019 the minimum wage will remain unchanged.

As a result, the average gross wage in Latvia could exceed EUR 1,070 next year, said Strasuna.

"Given that salaries of healthcare workers will be increased substantially next year, wages in healthcare will be among the fastest-growing wages next year," added Strasuna.

Luminor economist Peteris Strautins told LETA that the average gross wage in Latvia could increase by about 7 percent in 2019.

Wages will be growing the fastest in those industries where gross wages were below the average so far, for instance, in hospitality and public catering, where wages rose 11.6% in the third quarter this year. Salaries will be growing the fastest in health and social care. Wages will also increase in agriculture and forestry, believes Strautins.

On the other hand, financial services is one national economy sector where salaries have been growing the slowest, and the trend is likely to continue next year also. Jobs are replaced by technology in the sector, added Strautins.