NewsRescue
Only three G20 countries saw real salaries increase last year, according to a new UN report released this week.
According to the analysis, China, Russia, and Mexico were the only leading economies to experience positive real wage growth in 2023. Real wages refer to the amount of money an individual keeps after accounting for the effect of inflation, or stated in terms of purchasing power rather than real income.
The International Labour Organisation prepared the paper, titled ‘World Employment and Social Outlook. Trends 2024’. According to the research, China and Russia enjoyed the largest benefits, since their labour productivity growth was among the highest.
However, other major economies saw real wages fall, with Brazil, Italy, and Indonesia experiencing the sharpest drops, according to the study.
“The vast majority of G20 countries with available wage data saw real wages fall in 2023, meaning that wage increases were unable to keep pace with inflation,” according to the research.
Last year, economic growth in Europe and Central Asia, as measured by the UN labour department, fell for the third straight year, according to the report. The World Bank, on the other hand, forecasts economic growth to pick up in 2024, owing in part to improved performance in Poland, Russia, and Turkey.
According to the World Bank’s latest predictions, Russia’s economy would grow by 1.3% in 2024 and 0.9% in 2025, after exceeding expectations in 2023.
