Hungary’s year-on-year wage growth decelerated to 3.5% in June from 8.2% the month before, dropping below the rate of inflation, according to the Central Statistical Office (KSH).

The data for businesses and institutions with a minimum of five people employed reveal the gross monthly wage for full-time staff stood at 436,300 forints (€1,300). The average net wage was 290,200 forints (€831), reports Hungary Today.

The gross average wage was 350,000 forints (€1,001), with real wages declining by 1.7% in June.

Not taking into account the 85,800 Hungarians working full-time in fostered work schemes – earning an average 84,500 forints in June – the average gross monthly wage in the country was 447,300 forints.

In addition, the average gross wage within the business sector increased by 6.3% to 446,400 forints, not including fostered workers. Whilst the average gross wage in the public sector, excluding fostered workers, declined by 4.2% to 456,800 forints, highlighting the impact of the bonus for healthcare workers during the base period.

Moreover, employees in the Information and Communication Technology sector were June’s highest earners, receiving an average gross amount of 720,900 forints per month. Those earning the least were in accommodation and catering, with an average of 264,300 forints.

Data covering all full-time workers, not just businesses with five or more staff, reveal the average gross wage was 423,600 forints, with the average net wage at 281,700 forints in June. The average gross wage was 335,800 forints.

Not including fostered workers, full-stime employees earned a gross monthly 433,500 forints, net 288,300 forints.

According to Takarékbank chief analyst András Horváth, wage growth hit 7.7% in June – excluding bonuses and one-off payments – compared to the previous month’s 7.8% growth. Takarékbank forecasts full-year wage growth at 9%.