2357 SEK. This is how much the average employee’s salary has lost in value compared to last year.
Almost everything is getting more expensive, but wages just don’t keep up.
wages increased by 3%
Even though the average wage increased by 3 percent in December 2022 compared to the previous year, you couldn’t buy as much before.
This is because inflation was 10.2% in the same month.
You get less for your money
That means the median real wage fell 7.1 percent, according to new statistics from the Mediation Institute.
For those with mortgages, it gets even worse. If higher mortgage interest costs are factored into inflation, the salary value drops by as much as 9.2 percent, according to the Mediation Institute.
There are no signs of improvement
And it doesn’t look too bright in the future either.
– Compared to previous years, nominal wages are growing faster across the board in the private sector, but we still don’t see any signs of the decline in real wages slowing, Peter Hallberg, a macroeconomist at the Mediation Institute, says in a comment.
Real wages
The nominal salary is the number of kroner you receive in your salary.
The real salary is the amount that you can buy with your salary compared to the previous one.
If the nominal wage increases more than inflation, the real wage increases and you can buy more with your income. And if inflation increases more than the nominal wage, the real wage falls.
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