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Labor Costs Fall by 0.1% in the Euro Area in Q2 as the EU Region Eases Gains

September 15, 2021 by Forex Winner Leave a Comment

Labor Costs Fall by 0.1% in the Euro Area in Q2 as the EU Region Eases Gains

Source: Eurostat

Hourly labor costs fell slightly by 0.1% in the euro area in the second quarter of 2021 from the prior year, compared to a gain of 0.6% in the EU. DAX is down -0.12%, EURUSD is up +0.15%.

Fig: Hourly Labor Costs in the Euro Area and EU

Fig: Hourly Labor Costs in the Euro Area and EU

  • Both the euro area and EU had a fall in labor costs from the first quarter of this year where it increased by 1.3% and 1.6%, respectively.
  • The costs of wages and salaries per hour worked fell by 0.4% in the euro area in the second quarter from last year, while the non-wage component rose by 0.8%. The same components rose by 0.2% and 2.0%, respectively in the EU in the same period.
  • Hourly labor costs in the non-business economy were up by 1.7% in the euro area in the second quarter from the prior year, but dropped by 0.8% in the business economy.  The same components rose by 2.1% and fell by 0.1%, respectively in the EU in the same period. 

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