---
source: Eurostat (European Commission)
url: https://ec.europa.eu/eurostat/web/products-euro-indicators/w/3-17122025-bp
document_type: html
date_retrieved: 2026-03-19
period: Q3 2025 (published Dec 17, 2025)
parent_publication: Labour Cost Index - Euro Indicators
indicators_covered: [Wage Growth YoY, Labour Cost Index YoY, Non-Wage Costs]
---

# Wage Growth – Third Quarter 2025

**Release Date:** 17 December 2025  
**Reference Period:** Q3 2025  
**Publication:** Eurostat Euro Indicators  

## Headline Figures

In the third quarter of 2025, **hourly wages and salaries** (wage growth) increased by **3.0% in the euro area** and **3.5% in the EU**, compared with the same quarter of the previous year.

These figures are published alongside the **Labour Cost Index** and represent one of two main components of total labour costs (the other being non-wage costs).

## Regional Comparison (Q3 2025 vs Q3 2024)

### Euro Area
- **Hourly wage growth:** +3.0%
- **Total labour cost growth:** +3.3%
- **Non-wage cost growth:** +4.0%

### European Union (EU27)
- **Hourly wage growth:** +3.5%
- **Total labour cost growth:** +3.7%
- **Non-wage cost growth:** +4.2%

**Interpretation:** Non-wage costs (employer social contributions, employment taxes) are growing faster than wage costs in both regions, increasing structural labour costs for employers.

## Sectoral Breakdown – Wage Growth (Q3 2025, EU-wide)

### Highest Wage Growth by Sector

| Sector | Wage Growth |
|--------|-------------|
| Other service activities (S) | +4.5% |
| Construction (F) | +4.3% |
| Professional, scientific and technical (M) | +4.3% |

### Lowest Wage Growth by Sector

| Sector | Wage Growth |
|--------|-------------|
| Electricity, gas, steam, air conditioning (D) | +2.5% |
| Public administration and defence (O) | +2.8% |
| Financial and insurance activities (K) | +3.0% |

## Geographic Variation in Wage Growth (Q3 2025)

### Highest Annual Wage Growth

- **Bulgaria:** +12.4%
- **Lithuania:** +9.7%
- **Croatia:** +9.1%
- **Hungary:** +8.8%

### Lowest Annual Wage Growth

- **France:** +1.3%
- **Slovenia:** +1.6%
- **Spain:** +2.0%
- **Austria:** +2.1%
- **Italy:** +2.4%

**Malta:** -1.4% (the only Member State with declining wage costs)

## Business Economy Detail – Wage Components (Q3 2025)

### Euro Area Business Sector

| Component | Total | Wages | Non-Wage |
|-----------|-------|-------|----------|
| **Whole Business Economy** | 3.3% | 3.0% | 4.3% |
| Industry (B-E) | 3.3% | 2.8% | 4.7% |
| Construction (F) | 4.3% | 3.8% | 5.9% |
| Services (G-N) | 3.2% | 3.0% | 4.0% |

### EU27 Business Sector

| Component | Total | Wages | Non-Wage |
|-----------|-------|-------|----------|
| **Whole Business Economy** | 3.8% | 3.5% | 4.5% |
| Industry (B-E) | 3.7% | 3.4% | 4.8% |
| Construction (F) | 4.7% | 4.3% | 5.8% |
| Services (G-N) | 3.7% | 3.5% | 4.2% |

## Quarterly Trend (Euro Area)

| Period | Wage Growth | Total Labour Costs | Non-Wage Costs |
|--------|-------------|-------------------|-----------------|
| Q3 2024 | 4.5% | 4.7% | 5.2% |
| Q2 2025 | 3.8% | 3.9% | 4.3% |
| Q3 2025 | 3.0% | 3.3% | 4.0% |

**Trend:** Both wage growth and total labour costs have moderated from Q3 2024 to Q3 2025, though non-wage costs remain elevated.

## Data Definitions

### Wage and Salary Costs (WAG)

Includes:
- Direct remuneration
- Bonuses and allowances (cash or in kind)
- Payments to employee savings schemes
- Payments for days not worked (holidays, sick leave, etc.)
- Remuneration in kind (food, fuel, company cars, etc.)

**Measurement:** Hourly costs incurred by employers, in nominal terms (not adjusted for inflation).

### Coverage

The Labour Cost Index measures wage and salary growth across **all economic sectors (NACE Rev. 2 sections B to S)**, covering approximately 97% of the EU economy:

- Business economy (industry, construction, services, wholesale/retail trade, transport, accommodation and food service, information, financial services, real estate, professional services, administrative services)
- Non-business economy (public administration, education, human health and social services, arts and entertainment)

## Revision History

**Q2 2025 Revision:** The wage growth rate for Q2 2025 was revised upward from +3.8% to +3.8% in the euro area (no change) and from +4.3% to +4.3% in the EU (no change) based on new administrative data from Member States.

## Next Release Schedule

Eurostat publishes quarterly Labour Cost Index and wage growth data approximately 50 days after the reference quarter:

- **Q3 2025:** Early estimates released 19 November 2025; full release 17 December 2025
- **Q4 2025:** Early estimates scheduled 18 February 2026; full release 19 March 2026

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## Related Indicators

- **Labour Cost Index (total):** +3.3% (Euro area), +3.7% (EU)
- **Non-Wage Costs:** +4.0% (Euro area), +4.2% (EU)
- **Employee Compensation (Quarterly National Accounts):** Separate measure; available from Eurostat national accounts database

For detailed tables, country-level data, and time series, consult the [Eurostat Labour Cost Index database](https://ec.europa.eu/eurostat/databrowser/product/lc_iind).