A more recent publication of this set of statistics is available.

Latest publication: Labour cost index 2019, 2nd quarter

Published: 10 June 2014

Cost of an hour worked increased by 1.6 per cent in January to March

In the private sector, labour costs increased by 1.6 per cent in January to March 2014 when compared with the respective period of the year before. Seasonally adjusted labour costs in the private sector rose by 1.2 per cent in January to March 2014. Labour costs excluding one-off items, such as performance-based bonuses, rose by 2.0 per cent compared with the respective period of the year before. In the corresponding period, the index of wage and salary earnings rose by 1.9 per cent in the private sector.

Year-on-year change in labour costs in the private sector from the respective quarter of previous year

Year-on-year change in labour costs in the private sector from the respective quarter of previous year

In the central government sector, labour costs grew by 2.7 per cent in January to March 2014 when compared with the respective period of the year before. Labour costs excluding one-off items, such as performance-based bonuses, rose by 2.7 per cent compared with the respective period of the year before. In the local government sector, labour costs increased 1.2 per cent and costs excluding one-off items rose 1.6 per cent in January to March.

Social insurance contributions increased at the beginning of the year. The increase in social insurance contributions raised the cost of an hour worked in all sectors. Without social security contributions, the cost of an hour worked increased by 1.4 per cent in the private sector, 2.0 per cent in the central government sector and by 0.8 per cent in the local government sector.

The series of the Labour cost index are seasonally adjusted with the Tramo/Seats method. The latest observations of the series adjusted for seasonal and random variation become revised with new observations in seasonal adjustment methods. Revisions especially at turning points of economic trends may be significant, which should be taken into consideration when using seasonally adjusted and trend data. Further information on the seasonal adjustment method: http://www.tilastokeskus.fi/til/tramo_seats_en.html .

Calculated by industry, the cost of an hour worked in all manufacturing went up by 1.3 per cent in January to March 2014 when compared with the respective period of the year before. The cost of an hour worked increased in the forest industry by 5.5 per cent and decreased in the metal industry by 1.6 per cent in January to March 2014 when compared with the respective period of the year before. In construction the cost of an hour worked increased by 2.6 per cent. In the business services sector the rise amounted to 1.9 per cent. In the financial and insurance activities the cost of an hour worked increased by 1.9 per cent. In the transportation and storage industry the costs went up by 1.2 per cent.

Seasonally adjusted cost of an hour worked increased by 1.0 per cent in all manufacturing in January to March 2014 when compared with the respective period of the year before. In the forest industry the cost of an hour worked increased by 5.0 per cent and in construction by 2.5 per cent. In the metal industry the cost of an hour worked decreased by 2.2 per cent. The rise in the cost of an hour worked in the business service activities was 1.7 per cent. In the transportation and storage industry the cost increased by 0.6 per cent. In the financial and insurance activities the cost of an hour worked increased by 2.4 per cent.

Annual changes in labour costs according to Standard Industrial Classification 2008, 1st quarter 2014

Code Industry Labour Costs,
Year-on-year change
Labour costs Labour costs,
excluding one-off items
Labour Costs, seasonally adjusted
B-S Total 1,6 2,0 1,2
B-E Industry 1,3 2,3 1,0
F Construction 2,6 2,1 2,5
G-N Business service sector 1,9 1,9 1,7
J-R State sector 2,7 2,7 ..
D-S Local government sector 1,2 1,6 ..

Source: Wages, Salaries and Labour Costs, Statistics Finland

Inquiries: Pekka Haapala 029 551 3460, Hanna Jokimäki 029 551 3667, tvkindeksi@stat.fi

Director in charge: Hannele Orjala

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Tables

Tables in databases

Appendix tables

Revisions in these statistics

Updated 10.6.2014

Referencing instructions:

Official Statistics of Finland (OSF): Labour cost index [e-publication].
ISSN=1798-3746. 1st quarter 2014. Helsinki: Statistics Finland [referred: 22.11.2019].
Access method: http://www.stat.fi/til/tvki/2014/01/tvki_2014_01_2014-06-10_tie_001_en.html