FRANKFURT, Nov 4 (Reuters) – Wage growth in the euro zone is likely to rebound slightly in the first nine months of next year based on the latest pay deals, the European Central Bank said on Wednesday.
The ECB, which kept interest rates steady last week but hinted at a hike at its next meeting, is on the lookout for any sign that the recent, energy-fuelled rise in inflation is spreading to salaries.
Its headline wage tracker, which covers active collective bargaining agreements, put pay hikes at 2.7% in the second half of this year.
The tracker, which smoothes one-off payments over 12 months, then points to a decline to 2.4% in the third quarter of next year, although the ECB cautioned this was based on a limited sample.
Excluding one-off payments, the ECB’s wage tracker increased from 2.6% in 2026 to 2.8% for first three quarters of 2027.
(Reporting by Francesco Canepa; Editing by Sharon Singleton)
