Companies Reluctant to Raise Wages Above Inflation

  • 12 Jul 2021 10:36 AM
  • Hungary Around the Clock
Companies Reluctant to Raise Wages Above Inflation
Most companies are ready to raise the wages of their employees to match inflation, the research institute of the Chamber of Commerce and Industry found in a survey.

Among respondents, 30% do not intend to change wages and 35% would increase them by 5% at the most, while 33% are ready to increase them by more than that.

Some 68% of companies are planning to increase pay this year, slightly down from 71% in 2020.

Last year, 45% of the companies planned a wage hike of over 5%.

Another 6% of companies lowered wages in 2020 but only 2% plan to do so this year.

Inflation is forecast to be in the 4-5% range this year, Portfolio adds.

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