The average wage increase agreed upon in collective bargaining agreements registered through May was 3%, according to data updated yesterday by the Ministry of Labor. This percentage was reached for the first time this year, having climbed slowly in recent months from the 2.87% recorded at the start of the fiscal year.
Consequently, the average pay improvement has remained below the CPI (Consumer Price Index) for the third consecutive month. With CPI closing May at 3.2%, Spanish workers are once again losing purchasing power relative to current price trends… Though not all of them. This average includes wage freezes, and 5.65 million employees (71% of the total covered by agreements through May) will receive increases below 3%.
However, there is also a significant proportion of workers who have negotiated hikes above inflation with their companies. Specifically, 2.3 million employees covered by agreements (nearly 29% of the total 7.95 million through May) will earn 4.08% more this year—0.8 percentage points above the current CPI.
This figure is clearly higher than the 3.22% recorded in agreements signed this year through February, prior to the outbreak of the war, demonstrating that wage pressures in the labor market are trending upward.
