Analytics, Financial Services, Latvia, Wages

Compared to the 3^rd quarter of 2008 monthly average gross wages and salaries in the country decreased by 6.4% (from LVL 487 to LVL 456), in public sector – by 13.3% (from LVL 573 to LVL 497), but un private sector – by 3.7% (from LVL 447 to LVL 430).

Average monthly gross wages and salaries be sectors (LVL)

Number of employees, recalculated at full time units used to calculate monthly average wages and salaries, in the 3rd quarter of this year, if compared to the 2nd quarter, has reduced by 52.3 thsd or by 7.2%, but fund of wages and salaries – by LVL 108.9 mln or by 10.5%.

Compared to the 3rd quarter of 2008, number of employees diminished by 236.1 thsd or by 25.9%, but fund of wages and salaries – by LVL 408.3 mln or by 30.6%.

Compared to the corresponding period of last year, the most notable reduction of monthly average gross wages and salaries in the 3rd quarter of this year was recorded in such sectors as public administration and defence; compulsory social security – by 21.5%, arts, entertainment and recreation – by 16.3%, human health and social work activities  – by 13.2%, education – by 10.2%, as well as electricity, gas, steam and air conditioning supply – by 9.8%.

Changes of average monthly gross wages and salaries in breakdown by economic activities are the following:

Average monthly gross wages and salaries and the number of employees by kind of economic activity

(according to NACE Rev. 2 classification)

Data on the Baltic States shows that in the 3^rd quarter of 2009, compared to the same period of previous year, average monthly gross wages and salaries continue to decrease. The most notable reduction was observed in Lithuania – 7.7% (from EUR 672 to EUR 620), in Latvia – 6.4% (from EUR 693 to EUR 648), Estonia – 5.9% (from EUR 800 to EUR 752).

More information on wages and salaries in Latvia can be found in the data bases of the CSB, as well as in the informative leaflet “Changes of wages and salaries in the 3^rd quarter of 2009” which will be published in the middle of December.

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Explanations

Public sector is central and local government commercial companies, as well as companies with central or local government capital participation 50% and over, foundations, associations and funds, and their commercial companies. Data on foundations, associations and funds and their commercial activities are not included in information.

According to the European System of Accounts (ESA 95) the general government sector includes central and local government budgetary institutions, the social security fund and enterprises controlled and financed by central and local governments.

Absolute changes and changes in per cent are calculated from not rounded up data (wages and salaries with santims) or data not converted into thousands or millions.