ECB Predicts Significant Wage Slowdown for 2025

Reported about 4 hours ago

The European Central Bank's Wage Tracker indicates a sharp decline in salary growth, projecting a rise of just 1.5% by the end of 2025, significantly down from last year's peak of 5.3%. This slowdown could help reduce inflation and prompt further interest rate cuts, though some economists warn that such a deceleration might risk a labor market downturn. ECB officials express confidence that, despite current wage trends, overall pay growth will moderate without causing negative employment outcomes.

Source: YAHOO

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