Average collectively agreed nominal wage increases were lower in 2010 than in 2009 in all 13 European Union countries (EU27) with available data, except in Malta, according to a new report published by the European Industrial Relations Observatory (EIRO).

The highest reductions in nominal pay increases were in Slovakia (5.5% in 2009 to 2.2% in 2010), Austria (3.4% to 1.6%), the Netherlands (2.7% to 1%) and Belgium (2.5% to 1%). Taking into account inflation, 2010 marked a turning point in many countries as collectively agreed pay did not compensate for price developments.

Real increases in collectively agreed pay were negative in the UK (-1.5%), Belgium (-1.3%) and Austria (-0.1%), and only moderate increases were recorded in the Czech Republic (1.9%), Slovakia (1.5%) and Portugal (1%).

To read the full report please click here