Hungary has been in the EU for 20 years: how have labor costs changed?
On May 1, 2004, ten new states joined the European Union, including Hungary. In our series of articles, we use one indicator to explore how the situation of our country has changed during our 20-year EU membership. The subject of this article is the change in labor costs.
Changes in labor costs affect competitiveness both at the company level and at the national level. Businesses are interested in keeping labor costs low, and states are interested in creating an attractive economic environment for companies, one segment of which can be labor costs (attracting investors with low wages). But what determines labor costs?
In addition to wages and other benefits, taxes and contributions are included, but the regulatory side (minimum wage) also has a strong influence. In addition, demand and supply (labor shortage and unemployment) also drive labor costs. Changes in productivity also play an important role. If the population is more qualified, more productive, and performs work with higher added value, companies will be happy to pay higher wages.
Related news
How much student work can be used to earn the money for a festival ticket? – An expert answers
This year’s summer vacation is already in full swing and…
Read more >Employer Brand Research 2024 – Global Report
The latest global report of the Randstad Employer Brand Research…
Read more >Related news
Large companies are resistant to economic uncertainty
Restrained expectations characterize the domestic corporate sector for the next…
Read more >Company trend in 2024: a more positive half-year, but still a negative message
The lowest number of companies in the last five years…
Read more >The Hungarian Marketing Association for the supply of the profession
The Hungarian Marketing Association is actively working for the future…
Read more >