Analytics, Employment, Estonia, Financial Services, Markets and Companies, Wages

According to Karina Valma, analyst at Statistics Estonia, we can continue to talk about wage growth, although it has slowed down compared to recent years. In the 3rd quarter, the average monthly gross wages and salaries were highest in Harju (1,583 euros) and Tartu (1,419 euros) counties and lowest in Valga (1,082 euros) and Hiiu (1,071 euros) counties. Year on year, wages and salaries increased the most in Lääne-Viru (8.4%) and Jõgeva (7.4%) counties, and declined the most in Lääne county (10.2%).

“In the second quarter, average monthly gross wages and salaries decreased year on year in almost half of the economic activities, but in the third quarter, wages decreased only in trade (8.9%) and accommodation and food service activities (4.3%). These economic activities have been affected the most by the coronavirus and related restrictions,” said Valma.

By economic activity, the average monthly gross wages and salaries were highest in information and communication (2,545 euros), financial and insurance activities (2,389 euros) and energy (1,977 euros). Compared to the 3rd quarter of 2019, the average monthly gross wages and salaries increased the most in mining and quarrying (8.5%), information and communication (7.9%) and in professional, scientific and technical activities (6.7%).

Average monthly gross wages and salaries and its change, 1st quarter 2017 – 3rd quarter 2020

The average monthly gross wages and salaries were highest in state institutions and enterprises (1,810 euros) and enterprises owned by foreign private entities (1,731 euros). “Compared to the third quarter of the previous year, gross wages and salaries increased the most in state institutions and enterprises and the least in enterprises owned by Estonian private entities,” added Valma.

The statistics are based on the questionnaire “Wages and salaries and labour force”. 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. Wage compensation received during the emergency situation is considered as remuneration paid by the employer. Social tax and unemployment insurance premium paid on the compensation are not considered as employer’s social contributions or unemployment insurance premium.

More detailed data have been published in the statistical database.