In 2023, hourly labour costs in Croatia were about half the euro area and EU averages, with a half lower share of non-wage costs, Eurostat data showed on Thursday.

In 2023, average hourly labour costs were estimated at €31.8 in the EU and €35.6 in the eurozone, an increase of 5.3% and 4.8% respectively compared to 2022.

The average values conceal “considerable differences” between the EU countries. The lowest hourly labour costs were recorded in Bulgaria (€9.3), Romania (€11) and Hungary (€12.8), while the highest were found in Luxembourg (€53.9), Denmark (€48.1) and Belgium (€47.1).

In Croatia, labour costs per hour were €14.4 in 2023, 14.2% higher than in 2022, the highest increase in the EU. In Poland, they stood at € 14.5 and in Lithuania at € 14.7.

The share of non-wage labour costs in total labour costs was 24.7% in the EU and 25.5% in the eurozone. The lowest shares were recorded in Malta (1.4%), Romania (5%) and Lithuania (5.4%) and the highest in Sweden (32.2%) and France (31.9%).

In Croatia, the share of non-wage labour costs was 11.7%. Luxembourg and Denmark were close behind at 12.4% and 12.7% respectively.