Filenews 14 July 2024 - by Theano Thiopolou
The average annual earnings of workers in Europe vary considerably from one another, and there are countries where workers are well paid on average, countries where a large mass of labour is offered 'crumbs' and countries where a satisfactory average annual income is guaranteed, in relation to the cost of living.
Patrick workers are mainly found in northern and western European countries and have the highest average net earnings, while plebeian workers are mainly many in eastern and southern European countries, earning on average much lower annual wages.
How to compare
Data recently published by Eurostat and compiled by "F" show that significant income differences exist even among Europe's richest countries, which are among the strongest economies.
Average annual net earnings are calculated by subtracting income taxes and social security contributions from gross annual earnings and then adding family allowances. Different family situations - for example whether you are single or married, the number of dependent children - affect net earnings.
The Euronews Business website also reported on the issue last week, highlighting through the data the wage gap prevailing in Europe. The question that needs to be answered is where are the average annual salaries in Cyprus, with 2023 as the reference year.
Switzerland higher
Switzerland tops the list of highest incomes, with an impressive average annual net income of €85,582, based on the net earnings of a single person without children, significantly higher than any other country in Europe, according to Eurostat.
The net average earnings of a couple with one income and two children in Switzerland are €98,667, for a couple with two incomes and two children it is €177,993 and for a couple with two incomes without children the average annual earnings are €167,235.
– In the EU-27 the average annual earnings of a single person without children are €28.217, the average earnings of a couple with one income and two children are €33.940, for a two-income couple with two children the average earnings are €60.447 and for a couple of two incomes without children the average annual earnings are €56.485.
– In the Eurozone, the average annual earnings of a single person without children are €31.150, the average earnings of a couple with one income and two children are €37.575, for a two-income couple with two children the average earnings are €60.737 and for a two-income couple without children the average earnings are €62.364.
Cyprus behind average
In Cyprus, average annual earnings for all scenarios are significantly below both the EU-27 average and the average number of employees in the euro area.
Specifically, the average annual earnings of a single person without children are €22.913, the average earnings of a couple with one income and two children are €24.096, for a couple of two incomes with two children the average earnings are €46.611 and for a couple of two incomes without children the average earnings are €45.827.
– In Greece the average annual earnings of a single person without children are €17.707, the average earnings of a couple with one income and two children are €19.921, for a couple of two incomes with two children the average earnings are €38.498 and for a couple of two incomes without children the average earnings are €38.252.
Inequalities
After Switzerland, workers in Iceland and Luxembourg earned an average of €53,885 and €49,035 respectively, according to Eurostat data.
Norway and the Netherlands also recorded net earnings of more than €45,000.
At the other extreme, workers in countries such as Turkey and Bulgaria have the lowest average annual net earnings, at €8,968 and €9,355, respectively. Workers in Eastern European countries such as Romania (€11,105), Croatia (€12,330) and Hungary (€12,456) are also at the lower end of the pay scale. The above amounts refer to the earnings of an unmarried person without children.
Incomes in the largest economies
Among Europe's leading economies, households in Germany had the highest net earnings (€38,086) for a single worker without children in 2023. For a couple with one income and two children the average annual income is €48.882, for a two-income couple with two children the average annual income is €82.793 and for a couple with two incomes without children it is €76.173.
– In France for a single worker without children the average annual income is €31.481, for a couple with one income and two children the average annual income is €36.083, for a two-income couple with two children the average annual income is €66.418 and for a couple of two incomes without children the annual income is €62.962.
– In Italy for a single worker without children the average annual income is €24.207, for a couple with one income and two children the average annual income is €29.457, for a two-income couple with two children the average annual income is €52.945 and for a couple of two incomes without children the annual income is €48.414.
Family incomes in the Baltic States and elsewhere
– In Slovakia for a single worker without children the average annual earnings are €12.744, for a couple with one income and two children the average annual income is €18.399, for a two-income couple with two children the average annual income is €30.288 and for a couple of two incomes without children the annual income is €25.488.
– In Lithuania for a single worker without children the average annual income is €14.557, for a couple with one income and two children the average annual income is €17.827, for a couple of two incomes with two children the average annual income is €31.172 and for a couple of two incomes without children the annual income is €29.114.
– In Slovenia for a single worker without children the average annual income is €17.546, for a couple with one income and two children the average annual income is €21.825, for a two-income couple with two children the average annual income is €37.534, and for a couple of two incomes without children the annual income is €35.095.
– In Estonia for a single worker without children the average annual income is €17.524, for a couple with one income and two children the average annual income is €20.245, for a two-income couple with two children the average annual income is €37.337, and for a couple of two incomes without children the annual income is €35.047.
Differences and quality of life
The data show how the number of dependent children and marital status significantly affect net earnings across Europe. While the ranking of some countries shifts under these different circumstances, the overall changes are generally not dramatic.
All these differences in net earnings have important implications for quality of life, economic stability and social equity in Europe. Policymakers and stakeholders are taking these findings into account in their efforts to tackle income inequality and promote balanced economic growth across the continent.
