Average wage increases 10.4% in Latvia

In Q3 2021, the average monthly gross salary in the country for full-time work was EUR 1 280. Compared to Q3 2020, the average monthly salary increased by EUR 121 or 10.4 %, but the hourly wages before taxes – by 4.4 % (from EUR 8.09 to EUR 8.44).
In Q3 2021, the average monthly gross salary increased by 3.4 % compared to Q2, while hourly wages decreased by 1.6 %, according to the data of the Central Statistical Bureau show that.
Average net wages and salaries (calculated based on labour taxes applicable on workplace) comprised EUR 940 or 73.4 % of the gross salary. It increased by 10.3 % during the year. The real increase in net wages and salaries, taking into account the rise in consumer prices, was 6.3 %.
The median gross wages and salaries for a full-time job in Q3 2021 was EUR 1 003. Compared to Q3 2020 (EUR 917), wages and salaries in the country increased by 9.3 %. In Q3 this year, net median wages and salaries after taxes (net) constituted EUR 749 and rose by 8.1 % over the year.
Median is calculated based on the information available in statistical surveys and the State Revenue Service.
The median is the average in the middle of the ascending or descending order of wages of the workers, i.e., half of the wages are higher than the median and the other half are lower. As median, compared to the mean arithmetic earnings, is not influenced by extremely high or low wages and salaries, it reflects typical earnings more precisely.
In Q3 2021, the average monthly gross salary in the private sector was EUR 1280, and it increased by 10.4 % during the year. In public sector, the average salary was EUR 1 287, growing at a slightly faster annual rate (10.9 %). General government sector, which includes central and local government institutions, as well as enterprises controlled and financed by the central and local government, average wages and salaries increased to EUR 1 260 or by 11.9 %.
Compared to Q2, in private sector average gross wages and salaries rose by 5.3 %, while in public and general government sector decreased– by 0.3 % and 0.6 %, respectively.